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Harvey Sawikin's avatar

What about potential U.S. tariffs on pharma?

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FatAlpha's avatar

Pharma final tariff still under investigation (link below). But let's assume 10%. US revenues were c58% of Novo (DKK167b). Novo already manufactures in the US, acquired a firm (Catalent, link below) also manufactures in US and Novo has USD 4.1b planned expansion of manufacturing in the US (link below). That investment could get them exempt or a small impact on imports only. I haven't seen a disclosure on US manufacturing size, and this piece is just a first look. But if we assume a 50% import on the 58% sales then that's DKK 84b. A 10% impact (or DKK 8.4b) is only 2.9% of total sales or 5% of US sales. Best guess they either pass that on, or partially pass on, or spread across all products, or find other ways to offset.

https://www.reuters.com/markets/us-initiates-section-232-investigations-into-pharmaceutical-semiconductor-2025-04-14/

https://www.catalent.com/catalent-news/novo-holdings-completes-acquisition-of-catalent/

https://www.euronews.com/business/2024/06/25/wegovy-and-ozempic-maker-novo-nordisk-throws-weight-behind-billion-dollar-us-plant

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Apr 17
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FatAlpha's avatar

I'm glad you liked the article. Please don't spam in comments. You posted the same comment 10 hours ago, hence it looks like you are spamming. I was forced to delete that duplicate comment.

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