Trump Secures Pfizer Deal: U.S. Drug Prices to Plummet
President Biden has secured a deal with Pfizer to significantly lower the prices of many of its popular medications. The agreement, which comes with a three-year reprieve on planned pharmaceutical tariffs, is part of the administration's push for 'most favored nation' pricing to match lower drug prices in other countries.
Under the agreement, Pfizer will sell many of its drugs at heavily discounted prices, with reductions ranging from 50% to 100%. This move is expected to benefit up to 100 million Americans, according to a White House official.
The deal also aims to boost domestic pharmaceutical manufacturing. Pfizer has committed to investing $70 billion to build new manufacturing facilities in the U.S. Additionally, the administration has launched a direct-to-consumer website where Americans can buy drugs at prices up to 80% lower than current prices, bypassing middlemen and increasing transparency.
The President has set a Monday deadline for 16 other pharmaceutical manufacturers to follow suit and lower their drug prices. However, the names of these companies have not been made public.
The agreement with Pfizer is a significant step towards lowering drug prices in the U.S. It remains to be seen whether other pharmaceutical companies will meet the President's deadline and follow Pfizer's lead. The direct-to-consumer website is also a novel approach to increasing transparency and reducing costs for consumers.
