America’s biggest pharmaceutical companies are criticizing a pricing plan President Donald Trump says he will sign today, warning it will do little for patients and could drain research dollars from the world’s largest pharmaceutical market.The executive order would put the price Medicare pays for medications given in a doctor’s office to the lowest rate charged by any other country. Trump calls the proposal a “most favoured nation” policy and argues it will force companies to stop “ripping off” Americans.Stephen Ubl, head of the Pharmaceutical Research and Manufacturers of America, called the idea a “bad deal” that shifts costs without guaranteeing lower bills at the pharmacy counter. “Importing foreign prices will cut billions of dollars from Medicare with no proof it improves access,” said Ubl, adding it jeopardizes “the hundreds of billions our member companies are planning to spend in America.”.Industry executives have long argued that price controls threaten the flow of cash needed to discover new medicines. Trump accuses governments in Europe and other countries of using their buying power to push prices down, then relying on US consumers to fund the next generation of medications.Trump, who often accuses companies of “getting away with murder,” says taxpayers will reap large savings. A 2020 analysis by his first administration found the US pays roughly twice what other wealthy countries spend for the same physician‑administered drugs, with Medicare Part B costs reaching $33 billion USD ($46.1 billion CAD) in 2021.The new order is expected to cover only those drugs, such as cancer infusions, that seniors receive during office visits. .Common pills picked up at pharmacies would not be affected.Trump tried a similar rule in the final weeks of his first term, but a federal court blocked it after industry groups sued. President Joe Biden did not pursue the policy during his four years in the White House.Roughly 70 million Americans rely on Medicare. .While Democrats and Republicans alike talk about high drug costs, Congress has never agreed on a solution.Trump previewed Monday’s move with a social media blast promising savings “never even thought of before” and dismissing pharmaceutical lobbying as powerless. “We are going to do the right thing,” wrote Trump.
America’s biggest pharmaceutical companies are criticizing a pricing plan President Donald Trump says he will sign today, warning it will do little for patients and could drain research dollars from the world’s largest pharmaceutical market.The executive order would put the price Medicare pays for medications given in a doctor’s office to the lowest rate charged by any other country. Trump calls the proposal a “most favoured nation” policy and argues it will force companies to stop “ripping off” Americans.Stephen Ubl, head of the Pharmaceutical Research and Manufacturers of America, called the idea a “bad deal” that shifts costs without guaranteeing lower bills at the pharmacy counter. “Importing foreign prices will cut billions of dollars from Medicare with no proof it improves access,” said Ubl, adding it jeopardizes “the hundreds of billions our member companies are planning to spend in America.”.Industry executives have long argued that price controls threaten the flow of cash needed to discover new medicines. Trump accuses governments in Europe and other countries of using their buying power to push prices down, then relying on US consumers to fund the next generation of medications.Trump, who often accuses companies of “getting away with murder,” says taxpayers will reap large savings. A 2020 analysis by his first administration found the US pays roughly twice what other wealthy countries spend for the same physician‑administered drugs, with Medicare Part B costs reaching $33 billion USD ($46.1 billion CAD) in 2021.The new order is expected to cover only those drugs, such as cancer infusions, that seniors receive during office visits. .Common pills picked up at pharmacies would not be affected.Trump tried a similar rule in the final weeks of his first term, but a federal court blocked it after industry groups sued. President Joe Biden did not pursue the policy during his four years in the White House.Roughly 70 million Americans rely on Medicare. .While Democrats and Republicans alike talk about high drug costs, Congress has never agreed on a solution.Trump previewed Monday’s move with a social media blast promising savings “never even thought of before” and dismissing pharmaceutical lobbying as powerless. “We are going to do the right thing,” wrote Trump.
