Trump slaps steep new tariffs on trucks, furniture and branded drugs starting Oct. 1

President Donald Trump rolled out another round of trade penalties late Thursday, saying new import taxes will hit several big-ticket categories as soon as Oct. 1. Heavy-duty trucks are set for a 25% levy, upholstered furniture will carry a 30% rate, and kitchen cabinets and bathroom vanities will face a 50% tariff. Pharmaceutical products could be hit hardest of all, with duties of up to 100% on branded or patented drugs — unless the manufacturer is actively building a plant in the United States, a carve-out the White House says is meant to nudge more production onshore.

The announcement, made on social media, immediately raised familiar questions about how the measures will actually work. Economists noted the administration didn’t clarify whether these charges stack on top of existing tariffs or how they mesh with current trade deals. That uncertainty matters as businesses try to price products and plan investment. As Columbia Business School’s Brett House put it, the real impact hinges on implementation — and the ambiguity alone tends to push prices up and investment down.

Inflation concerns are front and center. Furniture costs have outpaced overall inflation in recent months, and trucking is a key input for everything from groceries to building materials. Slapping 25% on heavy trucks risks lifting transportation costs just as households are already feeling squeezed by higher bills for shelter, food, health care and electricity. Industry groups have been warning the administration for months that basic supply chains — not to mention consumers — could end up footing the bill.

Health care may feel the shock most acutely. A 100% duty on branded drugs would, on paper, double the price of medicines still sourced abroad, even if many are finished or packaged domestically. Hospitals have cautioned that the United States relies on foreign suppliers for a significant share of active pharmaceutical ingredients; any broad tariff could ripple through formularies and insurance premiums. The carve-out for companies “building” US plants offers an escape hatch, but it opens new questions: What counts as “under construction”? How will exemption claims be verified? And can this approach survive legal scrutiny?

Abroad, allies are bracing. Major sources of truck and furniture imports include countries like Mexico, Canada, Japan and Vietnam, while Europe is a significant supplier of high-value drugs. Some governments have already labeled the move unfair and are weighing how it intersects with bilateral agreements that cap tariff rates. The US Chamber of Commerce previously urged caution on truck duties, pointing out that top import sources are allies posing no national security threat.

Politically, the tariffs fit a broader push to revive domestic manufacturing and reduce reliance on foreign supply. The White House argues the measures protect US jobs and bolster national security. Critics counter that tariffs act like a tax on American consumers and businesses, are inflationary at the margin, and risk snarling trade relationships just as global negotiations — and court fights over earlier rounds of duties — are still underway.

For now, the clock is ticking. If the new rates hit as advertised on Oct. 1, shoppers could see higher furniture and cabinet prices heading into the holidays, freight operators might face costlier rigs, and drugmakers will either seek exemptions, accelerate US projects, or pass on higher costs. The biggest unknown remains the same as ever with tariff policy: what comes next.

With input from the Washington Post, Bloomberg, and Reuters.