The decision, published in the US Federal Register on Tuesday (September 29, 2026), enforces full duty exemptions for eligible nations while levying an ad valorem tariff on specialized drug imports from non-exempt countries. The policy stems from an executive order signed on April 2 by President Donald Trump targeting patented pharmaceuticals, biologics, and active ingredients to incentivize domestic production. Under the newly established guidelines, exempted products include treatments for rare diseases, fertility therapies, cell and gene therapies, antibody-drug conjugates, and specialized veterinary medicines. Alongside Bangladesh, the exempt group includes India, Japan, South Korea, Switzerland, Taiwan, Thailand, Vietnam, the United Kingdom, and European Union member states. The US Department of Commerce noted that these nations were selected based on existing or developing bilateral trade and security frameworks.