How the 2025 Tariffs Threaten U.S. Healthcare—and What Clinical Practices Can Do
As we look ahead to 2025, one of the most pressing—and underdiscussed—threats to the U.S. healthcare system isn’t clinical or regulatory. It’s economic: the impact of the upcoming tariffs on medical devices, IT systems, and essential supplies.
These tariffs, aimed at strengthening domestic industries, may instead trigger a wave of unintended consequences for the medical community, patients, and insurers. From price hikes on everything from syringes to servers, to delays in technological innovation and even threats to service access, the ripple effects are already being felt.
The Tariff Effect: A Closer Look
Most U.S. hospitals and clinics rely on globally sourced products. New import taxes will significantly increase costs on critical items like catheters, diagnostic tools, PPE, and MRI machines.
A recent industry survey found:
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88% of healthcare executives expect equipment prices to rise 18% or more by late 2025.
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94% predict even steeper increases—33%+—for products tied to China and the EU.
Hospitals are left with few options: absorb these costs or pass them along. Unfortunately, nearly 90% of hospital finance leaders say they’ll raise prices for patients and insurers. The result? Higher bills, fewer services, and reduced capacity for innovation.
Healthcare's Fragile IT Backbone Is Also Under Pressure
The tariffs don't stop at clinical equipment—they hit the backbone of healthcare IT. New duties on imported server equipment, storage arrays, networking hardware, and diagnostic systems mean that:
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Major IT upgrades are being delayed.
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Projects like EHR modernization and AI integration are paused.
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Security risks rise as hospitals keep outdated systems online longer than is safe.
Margins Are Tight. The Pressure Is Real.
And it’s not just the big systems that are feeling the pain. Smaller clinics and rural providers—often operating with limited reserves—face the greatest risk. Some are considering mergers or even closures.
Insurance Premiums Are on the Rise
As provider costs rise, insurers are reacting with premium hikes. Already, companies in Oregon, Maryland, and New York have announced 2–4% increases for 2026, citing tariff-related uncertainty. More states are likely to follow.
What Can Clinical Practices Do to Advocate?
While these developments may feel overwhelming, clinical practices are not powerless. Here’s how you can make a difference:
1. Engage Policymakers
Reach out to your local, state, and federal representatives. Share specific stories and data showing how tariffs are impacting your practice, patients, and ability to innovate.
2. Join Collective Advocacy Efforts
Participate in campaigns organized by professional associations like the American Hospital Association and the Association of Orthopedic Executives. Lend your voice to open letters, surveys, and testimony.
3. Educate Your Patients and Community
Patients are often unaware of how policy decisions affect their care and costs. Help them understand what’s at stake, and encourage them to raise their voices too.
4. Collaborate with Vendors
Work with your suppliers and IT partners to explore cost-saving measures, alternative sourcing, and shared solutions to manage tariff-related increases.
5. Share Your Data
Contribute to surveys, industry research, and public commentary to help advocacy groups build strong, evidence-based cases for policy change.
6. Use Resources Wisely
Reevaluate current budgets and prioritize spending that directly supports patient care and infrastructure resilience. Every dollar saved today strengthens your position to advocate tomorrow.
The Bottom Line
Tariffs may serve an economic purpose—but when they endanger access to quality healthcare, they deserve a second look. As healthcare professionals, we must lead the charge to ensure that economic policies do not come at the cost of care.
Together, we can advocate for smarter policies, protect patient access, and preserve the integrity of our healthcare system.
Zelda Rariden, MS, MBA, HCA, is a member-at-large on the AAOE Advocacy Council