Teva in Talks with U.S. Government Over Proposed Generic Drug Tariffs, CEO Says

Teva Pharmaceutical Industries is actively seeking clarification from the U.S. government regarding the Trump administration's proposal to implement tariffs on imported generic drugs, CEO Richard Francis stated. The comments followed the Israeli drugmaker's release of its second-quarter financial results.

Seeking Clarity on U.S. Tariffs

Francis told Reuters that the company needs to understand the administration's objectives for the proposed tariff policy, which is planned to be imposed over the next two years. He emphasized Teva's position as a "major player in the U.S. healthcare ecosystem," which he said gives the company a "good seat at the table" in policy discussions.

The CEO confirmed that Teva is in talks with the U.S. government about the tariff issue and its potential impact. "Right now we are in a good position," Francis said, according to the report.

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Growth Strategy and Recent Acquisitions

Beyond the tariff discussions, Francis highlighted key growth drivers for the company's generics business. He identified the launch of new biosimilars in the coming years as the main engine for future growth in that segment.

Francis also commented on the company's June acquisition of Emalex Biosciences for over $700 million. He expects the deal to become accretive to earnings "very fast," though likely not until 2028. This timeline follows the anticipated launch of Emalex’s drug for Tourette syndrome in 2027.