US tariffs of up to 145% on Chinese APIs, devices, and other pharma inputs are driving up costs, disrupting supply chains, and increasing the risk of drug shortages and higher prices in the US market. These 2025 measures are reshaping the healthcare and pharmaceutical industry, with experts estimating roughly a 15% rise in healthcare operating costs and at least a 10% jump in drug costs due to reliance on Chinese APIs. Major pharma companies are responding by reassessing sourcing strategies and committing to new US manufacturing investments, but the shift to more domestic production will take years to fully ease these pressures