Trump Administration Lowers Drug Prices: MFN Agreements & TrumpRx Savings

Today, nine major pharmaceutical companies – Amgen, Bristol Myers Squibb, Boehringer Ingelheim, Genentech, Gilead Sciences, GSK, Merck, Novartis, and Sanofi – have reached agreements to lower prescription drug prices for American patients. The agreements aim to align U.S. prices with the lowest prices paid in other developed nations, a benchmark known as the most-favored-nation, or MFN, price.

Lower Costs Through New Agreements

The agreements cover drugs used to treat a wide range of conditions, including type two diabetes, rheumatoid arthritis, multiple sclerosis, asthma, COPD, hepatitis B and C, HIV, and certain cancers. Every State Medicaid program will have access to these MFN prices, potentially resulting in billions of dollars in savings. The agreements also seek to prevent other nations from utilizing price controls that could impact American innovation.

Did You Know? Since September 30, 2025, President Trump has announced 14 deals with major pharmaceutical manufacturers to lower drug prices in line with those paid in other developed nations.

Patients purchasing directly through TrumpRx are expected to see significant price reductions. For example, Amgen will lower the price of Repatha from $573 to $239, while Gilead Sciences will reduce the price of Epclusa from $24,920 to $2,425. Sanofi will offer its insulin products through TrumpRx at $35 per month’s supply.

Specific Price Reductions via TrumpRx

  • Amgen (Repatha): $573 to $239
  • Bristol Myers Squibb (Reyataz): $1,449 to $217
  • Boehringer Ingelheim (Jentadeuto): $525 to $55
  • Genentech (Xofluza): $168 to $50
  • Gilead Sciences (Epclusa): $24,920 to $2,425
  • GSK (Advair Diskus 500/50): $265 to $89
  • Merck (Januvia): $330 to $100
  • Novartis (Mayzent): $9,987 to $1,137
  • Sanofi (Plavix): $756 to $16

Investing in American Manufacturing and Health Security

The pharmaceutical manufacturers involved are committing to invest at least $150 billion in U.S. manufacturing. Additionally, companies are donating active pharmaceutical ingredients to the Strategic Active Pharmaceutical Ingredients Reserve (SAPIR). GSK will contribute 98.8kg of albuterol, Bristol Myers Squibb will contribute 6.5 tons of apixaban, and Merck will contribute 3.5 tons of ertapenem.

Expert Insight: Establishing a secure domestic supply chain for essential pharmaceuticals is a critical step toward bolstering national health security, particularly in light of recent global disruptions. The agreements’ focus on repatriating revenue and investment could have long-term implications for the U.S. pharmaceutical industry.

These agreements follow an Executive Order signed on May 12, 2025, directing the Administration to align American drug prices with those paid by other nations. An agreement with the United Kingdom on December 1, 2025, is expected to increase the net price of new prescription drugs in the U.K. by 25%.

Frequently Asked Questions

What conditions are covered by these agreements?

The agreements reduce prices on drugs that treat numerous costly and chronic conditions, including type two diabetes, rheumatoid arthritis, multiple sclerosis, asthma, chronic obstructive pulmonary disease (COPD), hepatitis B and C, human immunodeficiency virus (HIV), and certain cancers, among others.

How will patients access these lower prices?

Patients will be able to see price reductions when purchasing directly through TrumpRx.

What is the Strategic Active Pharmaceutical Ingredients Reserve (SAPIR)?

SAPIR is a reserve intended to reduce reliance on foreign nations and ensure the United States has an adequate supply of active pharmaceutical ingredients in the event of an emergency.

As these agreements are implemented, it remains to be seen how pharmaceutical companies will adjust their overall pricing strategies and whether these changes will lead to sustained affordability for all Americans.

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