When U.S. President Donald Trump recently floated the idea of imposing 200% tariffs on imported pharmaceuticals, headlines were quick to react—but for Canadian pharmacists, this is no time for passive concern. It’s time to prepare.
Though these tariffs are aimed primarily at India and China, where most generics and raw pharmaceutical ingredients originate, the ripple effects could hit Canada hard. In fact, Canada’s own exports—about $3 billion worth of generics annually to the U.S.—could become collateral damage, threatening our domestic drug supply, our pharmacy operations, and our patients’ access to affordable care.
What’s at Risk for Canadian Pharmacies?
1. Generic Drug Access Could Collapse
Generic medications run on thin margins. If Canadian manufacturers lose access to the U.S. market, it may no longer be viable to produce certain drugs, even for Canadians. For example, if a facility in British Columbia stops making metformin because it can’t export 60% of its output, pharmacists across Ontario and beyond could be left scrambling to source a staple treatment.
2. Your Drug Prices Could Spike
If U.S. wholesalers start buying up Canadian supply to bypass tariffs, domestic drug prices may rise overnight. Community pharmacies like Centrum operate on narrow margins. Even a 10% wholesale increase on generics could force difficult choices: absorb the loss, or pass costs on to patients. Either way, it’s the community that suffers.
3. Independent Pharmacies Face a Retail Squeeze
Independent, community-based pharmacies like ours risk being having to dispense drugs below cost without ant margin to pay for employees or business expense, let alone make any profit in a market where price instability becomes the new norm. That’s bad news for patients who depend on consistent, compassionate care—not just quick transactions.
But There’s Hope—If We Act
While this looming crisis is serious, Canada’s pharmaceutical sector has two key advantages:
- Global Trust: Canadian-made generics are seen as safe and high-quality.
- Agility: Our manufacturers can pivot quickly and strategically.
Some companies are already rebranding their products to highlight Canadian regulatory standards and quality assurance, a move that could attract U.S. buyers desperate for alternatives to Chinese or Indian supply chains.
This also comes as Canada approaches a July 21 trade deadline with the U.S., and policymakers are pushing hard for pharmaceutical exemptions. But even with political efforts, frontline healthcare workers must stay alert.
What Centrum Pharmacy Is Doing
At Centrum Pharmacy, we’re already:
- Monitoring critical inventory to avoid disruptions.
- Communicating with suppliers to understand pricing and availability shifts.
- Keeping patients informed and offering options when substitutions are needed.
We believe in Complete, Comprehensive, Caring, and Connected Care, and that includes advocating for pharmacist-led drug access planning—even in the face of international policy chaos.
This moment may test our healthcare system—but it may also position Canada as a world leader in ethical, high-quality drug production.
Let’s be ready.
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Disclaimer: The medical information on this site is provided as an information resource only and is not to be used or relied on for any diagnostic or treatment purposes. This information does not substitute for professional diagnosis and treatment. Please do not initiate, modify, or discontinue any treatment, medication, or supplement solely based on this information. Always seek the advice of your healthcare provider first. Full Disclaimer.
