Biotech experts warned that newly implemented pharmaceutical tariffs—up to 100% on patented drugs and ingredients—are adding costs and uncertainty while discouraging development and investment, especially for smaller innovators. Compliance confusion is compounding the effect, with many companies unsure about how to meet exemption criteria and which patents will qualify. The Biotechnology Innovation Organization (BIO) cited that small- to medium-sized biotechs account for 71% of industry output and 54% of new drug applications, raising the risk that the burden falls disproportionately on firms that drive innovation pipelines. The policy backdrop reflects U.S. national security framing from Section 232, but industry concerns emphasize supply-chain disruption and reduced patient access if manufacturing and reporting burdens cannot be managed quickly by small companies.