Medtech stocks continue to slide as China hits back at Trump tariffs

1 week ago 4

Robert Barrie

Wed, Apr 9, 2025, 9:32 AM 3 min read

Share prices successful immoderate of the largest medtech companies continued to autumn into the mid-week arsenic the fallout surrounding US President Donald Trump’s planetary commercialized warfare showed nary motion of abating.

Stakes successful the planetary commercialized marketplace went a measurement higher connected 9 April aft China retaliated with an 84% tariff connected US imports. Representing the 2nd largest medtech marketplace successful the satellite aft the US, the Asian state has been deed with a 104% tariff.

Shares successful astir each the large aesculapian instrumentality players had already slumped earlier successful the year. Following the imaginable of tariffs being implemented by Trump, stocks slid adjacent further connected 5 April erstwhile wide tariffs took effect. On 9 April, a time aft the import tariffs kicked in, medtech stock prices opened adjacent further down – a reflection of the wider turmoil being experienced by planetary banal marketplace trackers.

The Advanced Medical Technology Association (AdvaMed) has said that the broad tariffs volition negatively interaction US aesculapian exertion and innovation, with the commercialized association’s CEO Scott Whitaker calling for medtech immunity. This was the lawsuit with the pharmaceutical industry, a tract that appeared to flight Trump’s commercialized war. However, Trump has since stated that “major tariffs” volition beryllium applied to pharma imports soon, meaning healthcare has go embroiled successful the commercialized war.

GE HealthCare has had a peculiarly tumultuous time, compounded by the Chinese government’s anti-dumping probe that is evaluating whether definite devices were exported astatine a little terms than their mean value.

With an imaging concern heavy reliant connected the Chinese market, GE HealthCare has been heavy impacted by the probe that started alongside Trump’s tariffs. Shares successful the institution opened a further 1.6% down contiguous astatine $57.79, meaning it is present trading 38% little than the 2025 marketplace unfastened precocious successful mid-February. Over the past month, the fig drops to 32%. Siemens Healthineers besides mislaid a chunk of its stock terms since aboriginal March, trading 18% little astatine marketplace unfastened terms of €42.74.

Boston Scientific, Medtronic, and Johnson & Johnson, meanwhile, were each trading 6-8% down astatine marketplace unfastened contiguous (9 April) compared to prices past month.

Despite the wide downturn successful banal markets, immoderate companies are amended positioned to withstand economical headwinds, arsenic per a William Blair probe enactment published connected 7 April and sent to Medical Device Network.

Analyst Margaret Kaczor Andrew highlights diabetes manufacturers Abbott, Dexcom, and iRhythym Technologies arsenic stocks that could outperform the existent environment. Andrew says that these companies run successful ample and resilient end-markets and person caller merchandise cycles that assistance walk connected pricing headwinds to consumers.