Pfizer chief executive, Albert Bourla, has told investors that the issues surrounding the tariffs imposed by United States President Donald Trump have limited the company from investing in more factories and research labs in the US. According to his speech at the first quarter earnings call, Bourla was asked about the assurances the company could use from trade negotiators to boost domestic investments.

According to CNBC, Bourla made it clear that the pending levies on drugs entering the United States are a major challenge. Meanwhile, the Trump administration has mentioned that such levies would encourage manufacturing on American soil.

“If I know that there will not be tariffs, then there are tremendous investments that can happen in this country, both in R&D and manufacturing,” Bourla said. He added that Pfizer is looking for “certainty” before committing to new projects. He also mentioned that in periods of doubt like this one, companies always watch their spending closely.

“In periods of uncertainty, everybody is controlling their cost as we are doing, and then is very frugal with their investment, as we are doing, so that we are prepared for the future. So that’s what I want to see,” he said. In terms of tax, Bourla mentioned that the 15% OECD global minimum tax announced last year has not made the United States an attractive destination for investments. He added that the inclusion of incentives and clear policies around the tariffs have continued to hamper investment in the United States.

“Now [Trump] I’m sure — and I know because I talked to him that he would like to see even a reduction in the current tax regime, particularly for locally produced goods,” Bourla said. He also suggested that further cuts on domestic production could be an attraction for companies that intend to build plants and labs in America.

Pfizer holds onto its full-year financial forecast despite trade uncertainties

Unlike most companies facing trade-policy shifts, Pfizer left its full-year forecast intact on Tuesday. In its earnings release, the company pointed out that its guidance “does not currently include any potential impact related to future tariffs and trade policy changes, which we are unable to predict at this time.”

However, on the earnings call, Dave Denton, the chief financial officer of Pfizer said, “Included in our guidance that we didn’t speak about is there are some tariffs in place today,” he continued. “We are contemplating that within our guidance range and we continue to again trend to the top end of our guidance range even with those costs to be incurred this year,” Denton added that the existing duties would be about $150 million.

The company reaffirmed its full-year 2025 sales target of $61 billion to $64 billion, forecasting that its COVID-related products will perform at roughly the same level seen in 2024. Bourla said Pfizer has set up a dedicated team to weigh different tariff scenarios and come up with plans to lessen any fallout, both in the near term and over the longer haul. That group is focused on managing current inventory levels in key regions, leaning on Pfizer’s U.S. factories, and other steps to keep the business running smoothly.

“Should we be impacted by further tariffs in the future, we will assess the impact of the policies enacted and provide information at the appropriate time,” Bourla said, signaling that the company will continue to watch Washington’s trade moves before making any major new commitments.

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