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[BUSINESS] · United States, Australia, India · 29 sources

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Trump expands drug pricing deals with nine pharmaceutical companies

The Trump administration has expanded its Most Favored Nation (MFN) drug pricing initiative by reaching voluntary agreements with nine additional mid-sized pharmaceutical companies. These companies include Alcon, Astellas Pharma, BeOne Medicines, BridgeBio, CSL, Kyowa Kirin, Sun Pharma, Teva Pharmaceuticals, and UCB.

Under these deals, the manufacturers will provide outpatient drug discounts to all state Medicaid programs, ensuring U.S. prices align with the lowest rates charged in other developed nations. The initiative, which now includes 26 companies covering approximately 90% of the domestic branded drug market, is projected to save Americans more than $600 billion. The agreements cover treatments for various chronic and rare diseases, such as cancer, Parkinson’s, and hemophilia.

In exchange for these pricing commitments, participating companies will receive multiyear tariff relief. Additionally, the nine companies have pledged a collective investment of at least $19.6 billion in U.S. manufacturing to bolster domestic production and supply chain security. Several firms, including Astellas, Sun Pharma, Teva, and UCB, have also agreed to contribute active pharmaceutical ingredients to the U.S. strategic reserve to reduce foreign dependency.

Entities

CSL · Centers for Medicare and Medicaid Services · Department of Health and Human Services · Donald Trump · Medicaid · Robert F. Kennedy Jr. · Sun Pharmaceutical Industries Ltd · Teva Pharmaceuticals · UCB · White House

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