U.S. Medical Community Urges White House to Exempt Medical Devices from Tariffs Amid Industry Backlash
Johnson & Johnson
Medical Device R&D and Manufacturer
Source: Medical Device Distributors Alliance
Recently, the U.S. medical industry has been launching a joint campaign against tariff policies. On April 1,AdvaMed, the world's leading medical device association, joined hands with nine authoritative organizations including the American Dental Association and the American Association of Medical Colleges.Submit an open letter to the White House,Call for the exclusion of medical and dental equipment from the new round of tariff lists.The letter sharply pointed out: The imposition of additional tariffs will not only drive up the procurement costs of medical equipment but also exacerbate the operational pressures on medical institutions in remote areas, ultimately leading to a chain reaction of longer patient waiting times and reduced service accessibility.
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This document, co-signed by industry giants, specifically cites third-party research data: A survey by Black Book Market Research of 200 healthcare administrators shows,About 80% of the respondents predicted that hospital system expenditures would increase by at least 15% in the next six months due to a surge in import costs.Industry organizations emphasize that if policy pressures persist, investment in medical innovation may be forced to shrink, thereby affecting the development of diagnostic and treatment technologies in areas such as chronic diseases and pediatrics.
Coincidentally, on April 15, 2025, Johnson & Johnson released its first-quarter earnings report. The data showed that its revenue reached $21.9 billion, a year-on-year increase of 2.4%, with adjusted earnings per share at $2.77. Both core indicators exceeded market expectations. However, the "highlight" of this report was overshadowed by a risk warning — during the earnings call, company executives admitted that changes in global trade policies had an impact.An estimated financial loss of up to 400 million US dollars is expected by 2025.More than half of the risk exposure stems from its U.S. medical device exports to China. This warning quickly sparked widespread market discussion on the risk resilience of multinational healthcare companies' supply chains.
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