Pfizer's Hesitation on US Expansion Amid Tariff Uncertainty

Albert Bourla, CEO of Pfizer Inc., expressed his concerns on Tuesday regarding the uncertainty surrounding President Donald Trump's proposed pharmaceutical tariffs. This uncertainty, according to Bourla, is a significant deterrent for the company's plans to expand its operations within the United States. "If I know that there will not be tariffs ... then there are tremendous investments that can happen in this country," Bourla stated, pointing to potential growth in both research and development and manufacturing sectors.

The Impact of Uncertainty on Investment Decisions

Bourla emphasized the critical need for predictability in the business environment. "In periods of uncertainty, everybody is controlling their cost ... and is very frugal with their investment," he noted. He also mentioned that while the global minimum tax has altered investment incentives abroad, the lack of clarity or support in the US makes it a less attractive option for investment at the moment.

Financial Performance Amid Challenges

These remarks followed Pfizer's announcement of its financial results for the first quarter of 2025. The company reported an 8% year-on-year revenue increase, reaching $13.7 billion. However, net income saw a 5% decline to $2.97 billion, with diluted earnings per share dropping to $0.52.