Key Takeaways
- The 90-day pause on the Trump administration’s tariffs brought some relief, but both small and large biopharma firms are preparing for the possibility of pharmaceutical-focused tariffs.
- Smaller companies are assessing their domestic versus off-shore manufacturing processes and how they can adjust to limit the impact of tariffs.
- The uncertainty over US economic policy is adding to financial strain for the biotech sector and could threaten to further discourage potential acquisitions by larger companies.
The 90-day pause on most of President Trump’s planned tariffs may have had a somewhat stabilizing effect on the stock market, but there is still
Pre-commercial biotech companies may face less exposure to tariff policies than big commercial companies, but the smaller firms are also more vulnerable to setbacks, as they have less diversification and more financial pressure. Between the implications for supply chains, the stock market downturn and the ramifications for capital markets, startup and pre-commercial firms are facing a crunch. Adding to that are the recent layoffs at the US Food and Drug Administration – more than 200 biotech and investors
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