China has reduced its 30% import duty on Indian medicines to zero, giving a big push to India’s pharmaceutical industry.
This change means Indian drug makers can now export to China without paying customs duties.
The move could open up billions of dollars in revenue and change the direction of global pharmaceutical trade.
Relief at a Time of Rising US Tariffs
This decision comes as US President Donald Trump has raised import tariffs on medicines to 100%, which threatens India’s drug export business worth over $25 billion.
With the US market becoming tougher, China’s new policy offers Indian exporters a major chance to reach its massive population and fast-growing healthcare market.
Why It’s Important for Indian Pharma
India, known as the “pharmacy of the world,” is a top supplier of affordable generic drugs and vaccines. But until now, high import duties in China had restricted India’s entry into that market.
The removal of these tariffs puts Indian companies on equal footing, letting them compete on both price and quality while expanding strongly in the world’s second-largest pharmaceutical market.
Impact on Trade, Jobs, and Global Role
Experts believe this change could help balance India-China trade, which has usually favoured China.
It is also expected to create thousands of jobs, boost drug manufacturing, and strengthen India’s position in global healthcare supply chains.
With the US becoming less attractive and China opening its doors, Indian pharma now has the chance to diversify exports and further cement its role as a global leader in affordable medicines.
