TaiMed Biologics (TPEX: 4147) today issued a statement regarding the latest U.S. trade policy. Following the executive order signed by Donald Trump on April 2, 2026, pursuant to Section 232 of the Trade Expansion Act, which proposes tariffs of up to 100% on imported patented pharmaceuticals and related ingredients, the Company stated that its product, Trogarzo, meets the exemption criteria and is eligible for zero-tariff treatment due to its orphan drug designation and “friend-shoring” supply chain structure.
While the executive order imposes significant tariffs on imported patented drugs, it also explicitly provides exemption mechanisms for products with orphan drug status. Trogarzo® (ibalizumab-uiyk) received orphan drug designation from the U.S. Food and Drug Administration in 2014, fulfilling one of the key eligibility requirements under the policy.
From a supply chain perspective, Trogarzo® is produced in South Korea by Samsung Biologics and packaged in the U.S.. This structure aligns with the U.S. government’s “friend-shoring” policy aimed at enhancing supply chain security and resilience. The Company has further confirmed with Samsung Biologics that South Korea qualifies as a jurisdiction under the “Trade and Security Framework Agreement” as defined in the executive order, strengthening the basis for exemption eligibility.
In addition, the U.S. import tariff classification applicable to Trogarzo® (HS Code 3002.15.0011) is explicitly included in Annex 1 of the White House directive as part of the exemption list. Combined with its orphan drug designation, Trogarzo® qualifies for the zero-tariff treatment outlined in the order.
Based on the above, TaiMed Biologics stated that the new U.S. pharmaceutical tariff policy will have no impact on the Company’s operations or financial performance in the U.S. market. The Company will continue to closely monitor policy developments and further optimize its global supply chain to maintain competitive advantages and support sustainable growth.