President Donald J. Trump has finalized agreements with nine major U.S. and European pharmaceutical companies to lower drug prices for American consumers, according to White House announcements this Friday. The deals were announced during a White House event on Friday afternoon alongside executive leadership from the participating firms.
The agreements include Amgen, Bristol Myers Squibb, Boehringer Ingelheim, Genentech, Gilead Sciences, GlaxoSmithKline (GSK), Merck, Novartis, and Sanofi. Under these terms, the companies will sell treatments to Medicaid patients at the lowest “most favored nation” price—meaning U.S. prices align with those charged in other countries.
Speaking at the event, President Trump stated that 14 out of the 17 largest pharmaceutical companies have now agreed to drastically lower drug prices for American patients. He described the progress as “the greatest victory for patient affordability in the history of American health care” and claimed every American would benefit from the reductions. Johnson & Johnson executives were noted as being scheduled to finalize their own agreement next week, though they did not participate in the initial group.
The White House emphasized that the agreements aim to reduce prescription costs by implementing most-favored-nation pricing models, a policy President Trump has repeatedly accused other nations of undermining through what he calls “global freeloading.” The pharmaceutical industry’s trade association, PhRMA, had previously opposed such measures but has not publicly challenged the new arrangements.
