Anil Singhvi believes Trump's executive order cuts U.S. drug prices to Indian medicines
Today's pharmaceutical stocks, today's pharmaceutical stocks fell today: Even after India-Pakistan agreed to a ceasefire, the markets made substantial gains on the expected lines on Monday’s trade (May 12, 2025), the Pharma Pack was the only laggard, while the sector metering rule dropped by as much as 1.6% to around 10:30 am. Losses in drug backpacks after U.S. President Donald Trump said he would sign an executive order to lower the price of drugs in the U.S.
Trump mentioned that he would reduce the price of drugs in the United States by 30-80%, while in other parts of the world, pharmaceutical prices will rise. Despite this, he did not implement the above.
This move is harmful to Indian pharmaceutical companies because they hold high rates in the U.S. market.
The sharp losses, reflecting wider market growth, Nifty Pharma also turned positive at around 10:31 a.m., with TAD gaining 0.06%.
In the Nifty Pharma Pack, 13 of the 20 index components traded on earnings, while 6 counters made cuts and another one that remained unchanged.
Sun Pharma is the highest Nifty Pharma loser, with over 3% appeal, followed by Glenmark and Divi's labs. Meanwhile, stocks like Dr. Reddy's lab, Human Pharmaceuticals, Indian Pellets and Aurobindo Pharma reversed the trend of 3-4%.
Asian pharmaceutical stocks are also cautious in trading
After Trump commented, Asian drugs, especially stocks that flow in U.S. trade today. Chugai Pharmaceutica, Daiichi Sankyo and Takeda Pharmaceutical in Japan fell 7%. Similarly, South Korea's SK Biopharmaceuticals and Samsung Biologics fell 4%, while Australian vaccine maker CSL fell a little bit.
Anil Singhvi's opinion on Trump's executive order
Anil Singhi of the development said U.S. President Donald Trump will announce that pharmaceutical companies should cut prices by 30-80%. He added that the news will hit the country's Pharma specialty significantly.
