On Friday, December 19th, President Donald Trump held a ceremony at the White House Roosevelt Room, where he announced an agreement with the nine largest pharmaceutical companies globally to provide medication to Americans at lower prices.
The nine major pharmaceutical companies included in the agreement are:
Earlier this year, the Trump administration also signed similar agreements with five other companies, including AstraZeneca, EMD Serono, Novo Nordisk, Lilly, and Pfizer.
With this agreement, President Trump’s Most Favored Nation pricing proposal has garnered the approval of 14 out of 17 top global pharmaceutical manufacturers.
These companies have agreed to sell medications to Medicaid, Medicare, and other markets at prices similar to or lower than those in other wealthy countries. In some cases, they will also offer cash discounts to self-paying patients in exchange for incentives such as a three-year exemption from certain tariffs provided by the Trump administration.
President Trump’s Most Favored Nation pricing plan is receiving widespread support from top executives of pharmaceutical companies.
In May, President Trump issued an executive order to implement Most Favored Nation pricing, ensuring that prices paid by Americans are similar to or lower than those in other developed countries.
President Trump stated on Friday, “This is the single biggest victory in the history of U.S. healthcare in terms of what we’re doing for our patients, and it will have a tremendous impact on healthcare itself for every American.”
He pointed out that while only 4% of the world’s population resides in the U.S., pharmaceutical companies derive 75% of their profits from the country, making high drug prices unfair to Americans.
Health and Human Services Secretary Robert F. Kennedy Jr. previously highlighted the stark pricing differences for certain drugs manufactured in the U.S., showcasing the disparity between prices in London and the U.S.
President Trump emphasized the harmful economic disadvantage American consumers have faced for decades in terms of prescription drug prices, stating, “You can’t pay 13 or 14 times more than other countries and expect to have healthcare security.”
He explained, “That’s why I signed an executive order directing my government to do everything we can to bring down prescription drug prices for Americans while making other countries pay more.”
President Trump also credited his trade policy and tariffs for creating the necessary leverage in negotiating these complex agreements, saying, “Without tariffs, we’d never be able to do this.”
He concluded the meeting by announcing plans to convene with insurance companies soon to discuss further cost-saving measures.
A new federal government website, Trumprx.gov, is set to launch in January 2026, offering discounted prices for many prescription drugs. Prices for blood thinners will drop from $750 to $16, while medications for hepatitis B and C will see significant price reductions.
Future drugs under development will be sold at Most Favored Nation prices.
A senior White House official stated during a press conference on Friday that what was once deemed impossible has now become a reality due to decisive leadership decisions.
The official noted the initial industry hesitance has transformed into cooperation, turning this policy from a bold initiative into an industry standard rapidly.
The official lamented, “The days of American households subsidizing inexpensive drugs for other parts of the world are coming to an end!”
The official stated that drug prices for Medicaid patients will almost immediately match those under Most Favored Nation treatment, thereby protecting the most vulnerable citizens and relieving economic burdens to ensure elderly and others do not miss medication, delay treatment, or incur medical debts.
Health Secretary Kennedy stated these new agreements will benefit millions of Americans, emphasizing that none have excelled in enhancing consumer affordability to the level this policy does.
According to the new agreements, the signing companies will also invest over $150 billion in expanding their research and manufacturing operations in the U.S.
Furthermore, the pharmaceutical companies have donated drugs, including Merck’s 2.5 tons of antibiotics, GSX’s 200 pounds of inhaler components, and over 6.5 tons of blood thinners from the U.S.-based Biogen. The company has pledged a domestic business investment of $40 billion.
Cari Gallman, Executive Vice President of Biogen, stated during the event, “These investments embody our long-term commitment to collaborating with the government to enhance the lives of patients.”
(Sourced from the English version of Epoch Times)