 |
Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] SEOUL, August 6, 2025 — South Korean biopharmaceutical companies are accelerating efforts to localize production in the United States amid growing concerns over potential tariffs of up to 250% on imported pharmaceuticals, a policy recently hinted at by former U.S. President Donald Trump.
In an interview on August 5 (local time), Trump stated that he would begin by imposing small tariffs on drug imports, which could rise to 150% within a year or year and a half — and up to 250% thereafter. “We want ‘Made in USA’ drugs,” he emphasized.
In response, leading K-Bio firms including Celltrion, SK Biopharmaceuticals, and Samsung Biologics are taking preemptive steps to mitigate risk and secure access to the world’s largest pharmaceutical market.
Celltrion, one of the most proactive players, has stockpiled over two years' worth of its biosimilar drug inventory in the U.S. The company is also investing approximately KRW 700 billion (approx. USD 540 million) to acquire a production site in the United States. The acquisition is expected to close by October, with commercial production of flagship biosimilars starting before the end of the year.
SK Biopharmaceuticals, which generates most of its revenue from the U.S. with its epilepsy drug cenobamate (brand name: Xcopri), has established a manufacturing base in Puerto Rico. The company is preparing to activate local production swiftly if tariffs are enacted.
Celltrion currently derives over 30% of its revenue from the U.S., a figure expected to rise further with the launch of its new drug Zympentra. SK Biopharmaceuticals has also seen strong performance, with U.S. sales of Xcopri exceeding USD 100 million in Q2 2025 alone — securing its position as a blockbuster therapy.
Meanwhile, Samsung Biologics is also considering acquiring or building a production facility in the U.S. The company is reportedly assessing strategic investment opportunities to strengthen geographic access and secure local clients. Its biosimilar affiliate, Samsung Bioepis, is closely monitoring the evolving U.S. tariff environment.
Korean industry insiders believe that proactive U.S. localization will be critical not only to avoid punitive tariffs but also to align with growing ‘America First’ policy momentum in the pharmaceutical space.
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
