Trump Moves to Require Lower Drug Prices in Medicare
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Trump’s Drug Pricing Push: MFN Deals and Medicare Pilots
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Trump’s Favorite Drug Pricing Policy
As his first term, Trump has promised to lower U.S. drug prices to levels charged in other rich countries. On friday, the administration announced most-favored nation deals with nine more drugmakers. Then CMS proposed two mandatory MFN pilot programs in Medicare.
Understanding the Most Favored Nation (MFN) Approach
The MFN approach, as proposed by the Trump administration, aims to tie the prices of certain drugs in the U.S. to the lowest prices paid in other developed countries. This is a important departure from the current U.S. system, where drug prices are largely resolute by market forces and negotiations between manufacturers and pharmacy benefit managers (