President Trump issued a direct warning to 17 pharmaceutical companies, demanding that they stop inflating U.S. drug prices relative to other developed nations. The letter references a recent Executive Order focused on delivering Most-Favored-Nation (MFN) drug pricing to Americans, especially for Medicaid and newly launched drugs. The administration insists that American families should benefit from the same lower drug prices offered abroad and outlines concrete policy expectations to enforce price parity. Companies are given until September 29, 2025, to commit to these terms. Failure to comply will result in the administration using all available tools to counter what it deems abusive pricing practices.
Key Action Demands (Bullet Points):
-
Extend MFN pricing to Medicaid:
Apply the lowest international prices to all drugs provided under Medicaid. -
Guarantee MFN pricing for new drugs:
Ensure newly launched drugs are priced at MFN levels across Medicare, Medicaid, and commercial payers. -
Repatriate excess foreign revenues:
Companies must return overseas profits from inflated foreign pricing to benefit American patients and taxpayers. -
Direct purchasing at MFN pricing:
Support U.S. government efforts to purchase high-volume prescription drugs directly (DTC or DTB) at the same low prices offered to other nations.
Deadline for Commitment:
Enforcement Warning:
Companies who were sent letters include
- Eli Lilly
- Sanofi
- Regeneron
- Merck
- Astrazeneca
- GSK
- Pfizer
- Novo Nordisk
- Amgen
- Bristol Myers
- Abbvie
- Novartix
- Gilead Science
- Boehringer Ingelheim
- EMD Serono
