The United States on Thursday started an investigation into Germany over its pharmaceutical pricing policies and other practices, in a move that could lead to fresh tariffs.
The probe seeks to determine if "persistent underpayment for innovative pharmaceutical products by Germany is unreasonable or discriminatory and burdens or restricts US commerce," said the US Trade Representative's office.
The move was launched under Section 301 of the Trade Act of 1974, and it comes months after the Trump administration tapped similar authorities to investigate dozens of trading partners over issues like forced labor and industrial overcapacity.
A federal register notice released by the USTR charged that "evidence indicates that Germany implements unfair pricing policies and practices with regard to innovative pharmaceutical products."
It added that reduced revenue associated with these practices also appeared to contribute to reduced investment for research and development, among other issues.
