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The organizations urge a 'zero-for-zero' tariff policy on medical product trade between the two countries.
May 7, 2025
By: Michael Barbella
Managing Editor
AdvaMed, the Medtech Association is enlisting some help in lobbying for a tariff exemption on medical products.
The organization and the Association of British HealthTech Industries (ABHI) are seeking reciprocal “zero for zero” tariffs between the two countries and greater regulatory convergence due to the medtech industry’s importance in transatlantic trade.
“Our industry produces innovative and essential products that save and improve lives and enable the delivery of quality health care in both countries,” AdvaMed and ABHI noted in a joint statement. “The medical technology sector is a cornerstone industry for both the U.K. and U.S. economies, driving advancements in health care, enabling health systems to function at their highest potential, driving economic growth and employment, and contributing significantly to improved health outcomes. Recent trade tensions and the threat of tariffs are posing a serious threat to our respective health technology industries and to the health systems, health care professionals and patients who depend on us to ensure timely access to treatment.”
The groups issued their joint statement as the United States and China meet this week to try to de-escalate an increasingly volatile trade war between the two countries. In his second term, President Donald J. Trump has imposed new import taxes on Chinese goods of up to 145%; Beijing has responded with levies on some U.S. goods of 125%.
Related: Could Medtech Tariff Exemptions Be on the Way?AdvaMed President/CEO Scott Whitaker has repeatedly urged the Trump administration to exclude medical devices from tariffs, contending the increased levies would threaten U.S. medtech’s global leadership and provide an unfair advantage to foreign competitors. In a two-page editorial in The Baltimore Sun last month, Whitaker claimed tariffs would lead to job cuts at medtech companies and increased costs to taxpayer-funded healthcare programs (Medicare, Medicaid, U.S. Department of Veterans Affairs).
AdvaMed and ABHI make the same arguments in their joint statement: “Any national revenue raised through tariffs could be offset by higher costs to the taxpayers who fund those programs. Furthermore, medtech companies often operate in a generally fixed-reimbursement environment through multi-year contracts established with the tens of thousands of hospitals and clinics across the United States and the United Kingdom.”
The joint statement calls for the United States and United Kingdom to continue developing a regulatory system in which the U.K. accepts regulatory approvals and clearance from the U.S. Food and Drug Administration for medical technology, a concept known as “regulatory convergence.” Such an acceptance would expand access to innovation for U.K. patients and ensure the United Kingdom continues to be a strong global partner with the United States in medical technology research and innovation.
AdvaMed and ABHI urge elected officials in their respective countries to adopt a zero-for-zero trade policy on medical products. “This would allow our industry to continue to allocate its resources to the greatest benefit for patients and the health care systems, ensuring the quality, innovation and availability of our industry’s wide range of lifesaving and life-improving products,” the joint statement reads.
The groups warn that tariffs are beginning to negatively impact the supply chain. However, they claim there is still time to avoid a full-fledged crisis.
“Medtech supply chain leaders across the industry are reporting that ‘procurement timelines have already slipped within the first week of the new tariffs—especially for surgical kits, diagnostic components, and imaging devices,’” AdvaMed and ABHI declare. “This is concerning news, yet there is still time to ensure it does not devolve into a crisis.”
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