Fact Sheet: President Donald J. Trump Announces First Deal to Bring Most-Favored-Nation Pricing to American Patients The White House September 30, 2025
ADVANCING MOST-FAVORED-NATION
PRICING: Today, President Donald J. Trump announced the first agreement
with a major pharmaceutical company, Pfizer, to bring American drug prices in
line with the lowest paid by other developed nations (known as the most-favored-nation,
or MFN, price).
- The agreement will provide every State
Medicaid program in the country access to MFN drug prices on Pfizer
products, resulting in many millions of dollars in savings and continuing
President Trump’s historic efforts to strengthen the program for the most
vulnerable.
- The agreement ensures foreign nations can
no longer use price controls to freeride on American innovation by
guaranteeing MFN prices on all new innovative medicines Pfizer brings to
market.
- The agreement requires Pfizer to
repatriate increased foreign revenue on existing products that Pfizer
realizes as a result of the President’s strong America First U.S. trade
policies for the benefit of American patients.
- The agreement requires Pfizer to offer
medicines at a deep discount off the list price when selling directly to
American patients.
DELIVERING REDUCED COSTS: Today’s actions will result in tangible cost
savings to American patients and the healthcare system as a whole. Taken
together, more than 100 million patients are impacted by the diseases Pfizer’s
medicines treat, and many of those will benefit from the President’s successful
negotiation of lower prices for Americans. Examples include:
- Eucrisa, a topical ointment for atopic
dermatitis, will be made available at an 80% discount to patients
purchasing directly.
- Xeljanz, a widely used oral
medication for rheumatoid arthritis, psoriatic arthritis, and ulcerative
colitis, will be available at a 40% discount to patients purchasing
directly.
- Zavzpret, a commonly utilized
treatment for migraines, will be sold directly to patients at a 50%
discount.
ENDING GLOBAL FREELOADING ON AMERICAN PHARMACEUTICAL
INNOVATION: President Trump is taking decisive action to rebalance a
system that allows pharmaceutical manufacturers to offer low prices to other
wealthy nations while charging Americans significantly higher
prices.
- According to recent data, the prices
Americans pay for brand-name drugs are more than three times the price
other Organization for Economic Cooperation and Development nations pay,
even after accounting for discounts manufacturers provide in the U.S.
- The United States has less than five
percent of the world’s population, yet roughly 75% of global
pharmaceutical profits come from American taxpayers.
- Drug manufacturers benefit from generous
research subsidies and enormous healthcare spending by the U.S.
Government. Instead of passing that benefit through to American consumers,
drug manufacturers then discount their products abroad to gain access to foreign
markets and subsidize those discounts through high prices charged in
America. Americans are subsidizing drug-manufacturer profits and foreign
health systems, both in development and once the drugs are sold.
DELIVERING ON PROMISES TO PUT AMERICAN PATIENTS FIRST: President Trump is
delivering on promises for American patients that the political establishment
did not believe were possible.
- On May 12, 2025, President Trump signed an
Executive Order titled: “Delivering Most-Favored-Nation Prescription Drug
Pricing to American Patients” directing the Administration to take
numerous actions to bring American drug prices in line with those paid by
similar nations.
- On July 31, 2025, President Trump sent
letters to leading pharmaceutical manufacturers outlining the steps they
must take to bring down the prices of prescription drugs in the United
States to match the lowest price offered in other developed nations
- President Trump has been relentless in his
effort to address the unfair and outrageous prices Americans pay for
prescription drugs:
- President Trump: “In case after case, our citizens pay massively higher prices than other nations pay for the same exact pill, from the same factory, effectively subsidizing socialism aboard [abroad] with skyrocketing prices at home. So we would spend tremendous amounts of money in order to provide inexpensive drugs to another country. And when I say the price is different, you can see some examples where the price is beyond anything — four times, five times different.”
Comments
The Pfizer Deal is the blueprint for the other Drug Manufacturers. All Drug Prices are expected to be reduced in the US and will be the same prices for all Developed Countries. Drug prices will be lower in Underdeveloped Countries.
Norb Leahy, Dunwoody GA Tea Party Leader
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