Tariff deals with the US have bought time but investment momentum is elsewhere. Pharmaceutical companies have long complained Europe spends too little on drugs. It took the arrival of Donald Trump — threatening steep tariffs and accusing European countries of “freeloading” on the US — for the warnings to register. In response to the threats, European governments raced to strike deals. The UK secured a zero tariff arrangement in return for higher spending on medicines and lower costs for drugmakers. The EU and Switzerland accepted a 15% cap. The question is whether these concessions will be enough to reset relations between the sector and Europe. “Europe now has an opportunity to raise its game and keep pace with a sector that is moving forward,” said Nigel Layton, head of life sciences and pharma at Forvis Mazars. “Whether this agreement is enough will depend on what happens next, but for now, it’s a positive signal that progress is possible.” The message drugmakers have been at ...
