Peptide News Digest

#Dr-Reddys

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Industry · View digest

Indian Pharmaceutical Stocks Continue Monday August 3 Morning Selloff Following President Trump's Truth Social Post Confirming the Phased Generic-Drug Tariff Schedule (Zero Duty for Two Years Starting August 1 2026, Then 100% Starting August 1 2028, Then 200% Starting August 1 2029); Nifty Pharma Slumps Nearly 2% Making It the Worst-Performing Sectoral Index on the National Stock Exchange in Early Trade With Gland Pharma Leading Losses Down 4.54%, Cipla Down 1.95%, Sun Pharma Down 1.29%, and Dr Reddy's Down Similarly Given India Supplies Approximately 50% of US Generic Prescriptions by Volume

Indian pharmaceutical stocks continued the Monday August 3, 2026 morning selloff following President Trump's Truth Social post confirming the phased generic-drug tariff schedule. The Nifty Pharma index slumped nearly 2% in early trade, making it the worst-performing sectoral index on the National Stock Exchange. Individual stock movements: Gland Pharma led losses down 4.54% to Rs 2,362.5; Cipla, Sun Pharma, and Dr Reddy's Laboratories were among the top early losers at down 1.29-1.95%; Ajanta Pharma, Alkem Laboratories, Mankind Pharma, and Divi's Laboratories all traded 1.3-3% lower. Sensex fell over 400 points; Nifty slipped below 24,150. The tariff schedule: zero duty for two years starting August 1, 2026, then 100% starting August 1, 2028, then 200% starting August 1, 2029. Tariffs on patented and branded medicines (separately governed by Section 232) remain unchanged. India supplies approximately 50% of US generic prescriptions by volume (over 90% of US prescriptions overall are generics). US production costs would be 25-30% higher than in India, making the two-year transition challenging for large-scale onshoring. Analyst commentary suggests creating a viable US generic manufacturing ecosystem would take at least five years.

Regulatory · View digest

President Trump Announces Tuesday July 21 That Imported Generic Drugs Will Face Zero Tariffs for Two Years Starting August 1, 2026 Before a 100% Levy Takes Effect in August 2028 and Rises to 200% One Year Later — The Phased Schedule Is Designed to Push Generic Drugmakers to Onshore US Manufacturing; The Policy Directly Affects the Sandoz Generic Tirzepatide ANDAs Accepted by the FDA on June 29 and the Indian Generic Semaglutide Launches That Biocon, Dr. Reddy's, and Hetero Rolled Out in March-April 2026

President Donald Trump announced Tuesday July 21, 2026 via social media that imported generic drugs will face zero tariffs for two years starting August 1, 2026 before a 100% levy takes effect in August 2028 and rises to 200% one year later. Trump described the escalation as 'a penalty' for companies that do not build manufacturing plants in the US within the grace period. India is the largest exporter of generic medicines to the US ($10.5 billion in fiscal year 2024-25), with pharmaceuticals among India's top three exports to America. Companies with the greatest exposure include Teva, Viatris, and Apotex, all of which manufacture a large share of US-sold products overseas. Sandoz (Novartis' generic subsidiary), which had two Abbreviated New Drug Applications for generic tirzepatide (Mounjaro and Zepbound) accepted by the FDA on June 29, 2026, told CNBC it was 'too early to assess' the proposal because 'further details on the implementation and scope of the measure are still required.' The tariff timeline collides with the tirzepatide patent expiration (2036 in the US) and the Indian generic semaglutide launches from Biocon, Dr. Reddy's, and Hetero that rolled out in March-April 2026. Patented and branded drugs remain unchanged under the April 2 Section 232 100% patented pharma tariff.