US medtech stocks buffeted by Trump administration’s import probe

The US Department of Commerce has opened an investigation to assess the national security implications regarding the importation of medical devices and other healthcare equipment, prompting a dip in medtech stock prices on 25 September.

Trump’s Section 232 investigations have looked at national security implications across a plethora of goods, including steel, automobiles, and pharmaceutical products. Tariffs have largely been the outcome of such reviews this year.

Salient for those in the medical device and related industries within the scope of the review is that the US Department of Commerce (DOC) states that the feedback gained from the Section 232 notice published in the Federal Register on 26 September will guide its thinking around whether additional measures, including tariffs or quotas, are necessary to “protect national security”.

Initiation of the investigation spooked investors. GE HealthCare and Becton Dickinson’s stock prices on 25 September dipped by more than 4% to closes at $71.50 and $180.59, respectively, while Intuitive Surgical and Insulet also experienced declines.

The DOC’s probe is seeking comment within a 21-day response window on the effects on national security of the import of medical devices and equipment, medical consumables, and personal protective equipment (PPE), as per the Section 232 notice.

Issued by Julia Khersonsky, the DOC’s deputy assistant secretary for strategic trade, the probe seeks feedback on a range of factors surrounding the aforementioned items within 21 days of the notice’s publication on the Federal Register.

Areas the DOC is particularly interested in include the potential for export restrictions by foreign nations, including the ability of foreign nations to weaponise their control over supplies of the goods, the feasibility of reducing import reliance, and the impact of foreign government subsidies and predatory trade practices on the competitiveness of the respective goods.

Commenting on the investigation, the Advanced Medical Technology Association (AdvaMed) struck a cautiously optimistic tone.

AdvaMed CEO Scott Whitaker said: “We look forward to continuing our work with the Administration, including through the DOC’s investigation, to strengthen our already-robust and uniquely American industry.

“We believe this process will reinforce the fact that US medtech manufacturing is strong and lower tariffs will fuel more manufacturing and job growth in the US, which means greater access to lifesaving technologies and lower costs to American hospitals and patients.”

As with many other industries throughout 2025, tariffs and their implications have been top-of-mind for many in the medtech space. However, many companies have revised the assumed impact of tariffs for the fiscal year in their most recent quarterly financial reports, with Medtronic, Zimmer Biomet and Philips all revising their expected tariff impacts down by upwards of $100m.

“US medtech stocks buffeted by Trump administration’s import probe” was originally created and published by Medical Device Network, a GlobalData owned brand.

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