The White House has announced new agreements with nine additional pharmaceutical manufacturers, bringing the total number of companies participating in what the administration terms "most-favored-nation pricing deals" to fourteen.
Participating Companies
The companies included in the latest announcement are Amgen, Boehringer Ingelheim, Bristol Myers Squibb, Genentech, Gilead Sciences, GSK, Merck, Novartis, and Sanofi.
Terms of the Agreements
Under these agreements, the participating drugmakers have committed to charging the U.S. government prices for new drugs that do not exceed those paid by other high-income countries. This provision is intended to allow state Medicaid programs to access reduced prices from these nine companies, which the White House projects will result in billions of dollars in savings.
Additionally, the pharmaceutical companies have agreed to invest at least $150 billion in U.S. manufacturing operations, aligning with the administration's objective to increase domestic pharmaceutical production.
Consumer Access and Incentives
The companies also committed to offering some of their widely used medications at reduced prices to consumers who pay out-of-pocket, accessible through a government-initiated website, TrumpRx.com, which is scheduled to launch in early 2026. This platform is designed to direct consumers to pharmaceutical companies' direct-to-consumer ordering sites. Examples provided include Merck's Januvia, a Type 2 diabetes medication, which would be priced at $100 (down from $330) via TrumpRx, and Amgen's Repatha, a cholesterol-lowering drug, at $239 (down from $573).
In exchange for these concessions, the pharmaceutical companies will receive a three-year exemption from potential administration tariffs.
Potential Impact on Savings
The full extent of consumer savings resulting from these agreements remains to be determined. Medicaid and its beneficiaries currently access some of the lowest drug prices available. Individuals with health insurance may find their copayments for medications to be lower than the cash prices offered through direct pharmaceutical company purchases.
Additional Statements
In a related development, President Trump indicated his intention to convene a meeting with health insurance companies to discuss reducing their prices.