White House Implements New Drug Pricing Agreements

The White House announced new drug-price agreements with nine pharmaceutical companies, including Amgen, Boehringer Ingelheim, Bristol Myers Squibb, Genentech, Gilead Sciences, GSK, Merck, Novartis, and Sanofi.

These companies will charge the U.S. government no more for new drugs than the prices paid by other wealthy countries, bringing the total to fourteen companies in what the administration calls most-favored-nation pricing deals.

The agreements will allow state Medicaid programs to access lower prices and are expected to result in billions of dollars in savings. Additionally, the companies committed to invest at least $150 billion in U.S. manufacturing operations.

Consumers will soon be able to access lower prices for some popular medications through a new government website called TrumpRx.com, launching in early 2026. For instance, the price of Merck's Januvia will be reduced from $330 to $100, and Amgen's Repatha will drop from $573 to $239 when purchased through TrumpRx.

In exchange for these concessions, the drugmakers will be exempt from potential administration tariffs for three years. The extent of savings for consumers remains unclear, as Medicaid beneficiaries already pay some of the lowest drug prices.

President Trump also expressed intentions to engage with health insurers to lower their prices during a press event.