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American Focus > Blog > Health and Wellness > Trump’s EU Tariff Deal Will Add $13 Billion To Drug Costs
Health and Wellness

Trump’s EU Tariff Deal Will Add $13 Billion To Drug Costs

Last updated: July 30, 2025 6:35 pm
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In this week’s edition of InnovationRx, the impact of Trump’s tariffs on drugs made in Europe, Halle Berry’s menopause startup, Ambience Healthcare’s $243 million fundraise, and more are discussed. The trade deal between the U.S. and the European Union will result in a 15% tariff on medicines imported from Europe, affecting blockbuster drugs like Keytruda and Wegovy. The cost of the tariff is expected to be passed on to American consumers, leading to an estimated $13 billion increase in drug costs once stockpiled medicines are depleted. Companies may also cut spending in other areas, such as research and development, to offset the impact of the tariffs.

Halle Berry, known for her acting and modeling career, has shifted her focus to menopause with the launch of her startup, Respin. After her own misdiagnosis of perimenopause, Berry rebranded Respin as a menopause-focused healthcare company. With less than $5 million in funding, Respin is in its early stages, offering telehealth visits since July. Berry’s work highlights the growing attention to menopause, with other startups like Midi Health also raising significant funding for menopause-related initiatives.

In the biotech and pharma sector, Sarepta Therapeutics has resumed shipping its gene therapy Elevidys for Duchene muscular dystrophy patients after a voluntary hold was lifted by the FDA. The FDA’s top vaccine and gene therapy official, Vinay Prasad, resigned abruptly after criticism over his handling of the Sarepta situation. Ambience Healthcare, backed by Open AI, raised $243 million in a Series C funding round, increasing its valuation to over $1 billion. Sword Health, a digital health startup valued at $4 billion, launched a new AI division to improve operational efficiency for payers and providers.

See also  US strikes on Iran add to global travel disruptions and flight cancellations

In the medtech field, the Cleveland Clinic presented case studies of aortic valve replacement surgeries performed using robots through patients’ necks, allowing for quicker recovery and resumption of daily activities. In public health and hospitals, the implementation of work requirements for Medicaid coverage for students poses challenges due to undefined terms and administrative complexities.

Recent developments in healthcare include the discovery of treatable autoimmune conditions in some psychiatric patients, the use of AI to spot flags for diseases of extreme tiredness, a major outbreak of chikungunya in China, and the resumption of NIH grants following the scrapping of a halt by the Office of Management and Budget. Tribal health officials are working to fill vaccination gaps amid a measles outbreak in the U.S., while UnitedHealth Group’s profit fell in the second quarter. Shares of Novo Nordisk also dropped after cutting sales and profit guidance for the year.

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