President Donald J. Trump’s tariffs are a big letdown for the medtech industry.

Within hours of the April 2 announcement on U.S. import tariffs, the industry’s largest trade group released a statement expressing its disappointment in the Trump Administration’s failure to exempt medical devices from the plan. 

“I am disappointed in the news of the Administration’s intent to levy broad tariffs that will negatively impact American medical technology and innovation,” AdvaMed, the Medtech Association President/CEO Scott Whitaker said. “Historically, industries with a meaningful humanitarian mission have been exempted from broad tariffs, and as a result we have seen no to low tariffs on medtech from all key trading partners.” 

Attempting to address the “injustices of global trade and drive economic growth,” President Trump’s tariff plan imposes a baseline 10% levy on all countries trading with the United States but increases those duties for partners with the largest U.S. trade deficits. Most countries importing goods to America will be charged more under the plan, set to take effect April 5. Chinese imports, for instance, will face a 54% tariff, Cambodian goods will face a 49% duty, and Vietnamese products are now subject to a 46% levy. Higher tariffs are also in store for Taiwan (32%), Thailand (36%), Sri Lanka (44%), India (26%), Japan (24%), and the European Union (20%).

“Today’s action simply asks other countries to treat us like we treat them. It’s the Golden Rule for Our Golden Age,” a White House fact sheet on tariffs stated. “The United States will no longer put itself last on matters of international trade in exchange for empty promises. Access to the American market is a privilege, not a right.”

That same fact sheet touted a 2024 study on the effects of President Trump’s tariffs in his first term, boasting the duties “strengthened the U.S. economy” and “led to significant reshoring” in industries like manufacturing and steel production.

However, the Tax Foundation estimates that tariffs on Canada, Mexico, and China (when fully imposed), the Section 232 tariffs on steel and aluminum, and the Section 232 tariffs on autos and auto parts will reduce U.S. gross domestic product by 0.4% and hours worked by 358,000 full-time equivalent jobs, before accounting for foreign retaliation.

AdvaMed’s Whitaker alleged Trump’s most recent round of tariffs will raise healthcare costs and stifle medtech innovation. “The medtech industry is an American success story made up of remarkable American companies that are saving, improving, and extending lives. If implemented as proposed, broad-based tariffs of this nature would act much as an excise tax. It will have a negative impact on innovation, cost jobs, and increase overall costs to the healthcare system,” he stated.

Earlier this year, Whitaker asked the Trump Administration to exempt the industry from tariffs, warning the levies could trigger industry-wide layoffs and resurrect a medical device tax-like “climate of concern.” Despite the rebuff, Whitaker pledged to continue communicating the industry’s concerns with the White House.

“While disappointed in this initial announcement, we look forward to continuing our conversations with the White House to help them understand the important role the medtech industry plays in our healthcare ecosystem, the value it provides to patients, and the importance of the industry to continued U.S. economic growth,” he remarked. “The medtech industry should be exempted from these tariffs.”