President Trump Seeks Voluntary Drug Price Cuts From Pharma Amid Global Benchmark Push

President Trump has implemented a strategy to lower prescription drug prices for Medicaid by adopting "most-favored-nation" pricing, which aims to match the lowest prices found in peer countries, in collaboration with Pfizer. Despite the administration's demand for voluntary price reductions from 17 drugmakers, no U.S. manufacturers have significantly lowered prices, although some, like Eli Lilly and Bristol Myers Squibb, have made pricing adjustments or commitments in the UK. Experts note that Trump's executive order lacks enforcement mechanisms, raising uncertainty about its effectiveness, with concerns that companies may circumvent regulations by direct-to-consumer sales or other methods. The administration's approach relies heavily on voluntary commitments from pharmaceutical companies, food producers, and insurers to reduce costs and improve public health, but critics argue that without mandatory regulations and enforceable policies, these efforts may be insufficient. Former FDA officials emphasize the importance of regulatory authority to enforce drug pricing policies, cautioning that voluntary industry cooperation might prioritize corporate profits over public health goals. The unfolding response from drugmakers and the administration's next steps will test the viability of this voluntary strategy to address high drug prices in the U.S.