In a significant move aimed at making medicines more affordable for Americans, the White House has confirmed that President Donald Trump will announce a series of new agreements with leading pharmaceutical companies this Friday, December 19. The announcement is scheduled for 1 p.m. Eastern Time at the White House.
Major Pharma Players in the Spotlight
According to reports from Reuters and Bloomberg News, the list of companies expected to participate in this latest round of agreements includes some of the biggest names in the industry. AbbVie, Bristol Myers Squibb, Gilead Sciences, and Merck are among the US-based firms involved. Swiss pharmaceutical giants Novartis and Roche are also reportedly part of the new deals.
When approached for comment, AbbVie and Merck chose not to respond. Novartis stated it remains committed to discussions with the administration, while Roche expressed support for President Trump's goal of reducing drug costs and urged other nations to better reward biopharmaceutical innovation.
The 'Most-Favored-Nation' Push: A Background
This development follows a directive issued by President Trump in July of this year. At that time, he sent letters to the leaders of 17 major pharmaceutical companies. The letters directed these firms to offer what are known as 'most-favored-nation' prices to the US government's Medicaid program, which serves low-income individuals.
The administration also instructed the companies to ensure that any new drugs launched in the US would not carry prices higher than those in other wealthy nations. This policy directly addresses a key point Trump has repeatedly highlighted: the stark disparity between drug prices in the United States and those in other high-income countries, where government-run health systems actively negotiate for discounts.
Previous Agreements and Remaining Holdouts
Friday's announcement does not mark the beginning of this initiative. The administration has already secured agreements with five major drugmakers. Pfizer, Eli Lilly, AstraZeneca, Novo Nordisk, and EMD Serono (the US division of Germany's Merck KGaA) have previously reached deals to control prices.
The remaining 12 companies that received the July letters, and are now the focus of the latest negotiations, include: Sanofi, Regeneron, Merck, Johnson & Johnson, AbbVie, Amgen, Gilead, Boehringer Ingelheim, Bristol Myers, GSK, Novartis, and Genentech (which is Roche's US unit).
The upcoming announcement signals a continued and aggressive push by the Trump administration to fulfill a longstanding campaign promise of bringing down the cost of prescription medications for American consumers. The success and scope of these new agreements will be closely watched by patients, the healthcare industry, and policymakers alike.
