Trump Sets Sept 29 Deadline For J&J, Pfizer, Other Pharma Firms To Lower US Drug Prices

US President Donald Trump on Thursday announced a deadline of Sept. 29 for pharmaceutical majors like Johnson & Johnson, Pfizer and others to lower drug prices.

Trump, in a letter issued to the chief executive officers of the top pharma companies, asked them to extend the "most-favored-nation" pricing to Medicaid. "Provide your full portfolio of existing drugs at MFN rates for every single Medicaid patient," he stated.

The president sought "guarantee MFN pricing" for newly launched drugs, while also calling upon the drugmakers to "return increased revenues abroad to American patients and taxpayers."

"Domestic MFN pricing will require you, and all manufacturers, to negotiate harder with foreign freeloading nations. U.S. trade policy will endeavor to support this. However, increased revenues abroad must be repatriated to lower drug prices for American patients and taxpayers through an explicit agreement with the United States," Trump stated.

Trump noted that a failure to comply with these directives by Sept. 29 would compel his administration to "deploy every tool in our arsenal to protect American families from continued abusive drug pricing practices".

Notably, the big pharma firms which have been issued the letter includes AstraZeneca, Bristol Myers, GSK, Merck, Novartis, Roche and Sanofi.

Trump said his move is aimed at stopping "global freeloading" and guarantee that Americans pay the same prices enjoyed by other developed nations.

"Right now, brand name drug prices in the United States are up to three times higher on average than elsewhere for the identical medicines," he claimed.

Moving forward, Trump said, he would look for a commitment from drug manufacturers that ensures relief from the "vastly inflated drug prices" and an end to the "free ride of American innovation by European and other developed nations".