President Donald Trump has announced his intention to sign an executive order on Monday aimed at reducing the cost of prescription drugs and pharmaceuticals by 30% to 80%. Trump made this announcement on Truth Social on Sunday, expressing concerns about the significantly higher prices of these products in the United States compared to other nations. He criticized the reasoning provided by pharmaceutical companies for these high prices and emphasized his commitment to lowering healthcare costs for American citizens.
Trump highlighted his administration’s efforts to standardize Medicare payments for prescription drugs, including those used for cancer patients, with the goal of reducing prices for patients by as much as 60%. The executive order also aims to align the Medicare payment for certain drugs with the prices that hospitals pay for them, potentially lowering costs by up to 35%. Additionally, steps will be taken to lower insulin prices for low-income patients and uninsured individuals, as well as reduce prices for injectable epinephrine used in treating allergic reactions. The order also seeks to assist states in securing deals on medications for conditions like sickle-cell disease through Medicaid.
Overall, Trump’s executive order is expected to bring significant savings to the healthcare system in the United States and promote fairness in drug pricing for American consumers.
An order from Health and Human Services, led by Robert F. Kennedy Jr., has been issued to seek feedback on the Medicare Drug Price Negotiation Program. This program, authorized by the Biden administration through the Inflation Reduction Act, enables Medicare to directly negotiate prescription prices with drug companies. Recent years have seen a significant increase in drug prices, with a more than 15% rise between January 2022 and January 2023, leading to an average price of $590 per drug product. The Department of Health and Human Services reports that 46% of the 4,200 prescription drugs analyzed had price increases surpassing the inflation rate. In past efforts to address rising prescription drug costs, the Trump administration set a cap of $35 for insulin under Medicaid prescription drug plans. This information was contributed to by Fox News Digital’s Diana Stancy and Alec Schemmel. [Original source: Trump to sign executive order he says will slash drug prices by up to 80%]
