Shares of pharmaceutical companies got hammered down in the Monday stock market meltdown amid the tariff war set in motion last week by the U.S. with its reciprocal tariffs.
All 20 companies forming part of the Nifty Pharma were in the red even as the sectoral index of the National Stock Exchange ended 2.75% lower at 19,995.50 points. Of them, shares of as many as six companies touched their 52-week low.
While Aurobindo Pharma, Dr. Reddy’s Laboratories and Zydus Lifesciences shares opened at their 52-week low, Gland Pharma, Natco Pharma and JB Chemicals and Pharmaceuticals shares touched a new low intra-day on the NSE. Cipla shares on BSE touched 52-week low.
The decline in the shares prices of the 20 companies part of Nifty Pharma index ranged from less than 1% to as much as 6% with Biocon ending 5.99% lower at ₹308.15 each.
Though pharma did not figure in the list of goods that face the reciprocal tariff, the fear of being slapped with the levy remains for the drug makers. Hours after unleashing reciprocal tariffs, U.S. President Donald Trump had told media the tariff for pharma and semiconductors is also on the cards. It will “happen in near future… under review right now. Looking at pharma as a separate category and will be announcing that in not too distant future,” he had said, adding the tariff will be at a level never seen before.
