Mark Cuban Sounds the Alarm: Trump’s Tariffs Will Force Cost Plus Drugs to Raise Prices

Billionaire entrepreneur Mark Cuban is warning that the pharmaceutical industry—and particularly his company, Cost Plus Drugs—will be forced to raise prices due to new tariffs on Indian imports imposed by former President Donald Trump.

A Major Blow to Affordable Medication

During an interview on the Somebody’s Gotta Win With Tara Palmeri podcast, Cuban expressed deep concerns over the economic impact of Trump’s 25% tariff on Indian goods, which is set to take effect on April 2.

“If you only have a 15% markup and there’s a 25% tariff, we’d have to lose money on every single medication,” Cuban explained, emphasizing that Cost Plus Drugs won’t have a choice but to increase prices for consumers.

How Indian Imports Sustain U.S. Prescriptions

India plays a crucial role in supplying affordable medication to American consumers. A recent study found that 40% of all prescriptions filled in the U.S. in 2022 came from Indian manufacturers. More significantly, for key treatment areas such as hypertension, mental health, lipid regulation, nervous system disorders, and antiulcerants, Indian companies provided more than half of all prescriptions.

Tariff War Intensifies U.S.-India Trade Tensions

India already charges a weighted average tariff of 11% on U.S. imports—8.2 percentage points higher than the U.S. tariffs on Indian exports in 2023, according to Citi Research analysts cited in Reuters. Trump’s new reciprocal tariffs could escalate tensions, unless India negotiates a trade deal to prevent economic fallout.

The Ripple Effect on American Consumers

Cuban has built Cost Plus Drugs on the promise of low-cost, transparent pricing for prescription medications. But with tariffs driving up supply costs, millions of Americans relying on affordable generics could face significant price hikes.

As trade talks between India and the U.S. continue, the question remains: Will policymakers act to prevent a major disruption in drug prices, or will American consumers pay the price?