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Americans pay significantly more for prescription drugs than other countries, sometimes up to 10 times more. Pharmaceutical companies generate two-thirds of their profits in the U.S., effectively making Americans subsidize healthcare in other countries.
The administration is introducing a "most favored nation" pricing model, ensuring the U.S. pays the lowest price available globally for drugs. For example, a breast cancer drug costing over $16,000 in the U.S. is a fraction of that price in Australia and Sweden. Similarly, an asthma drug costs almost $500 in the U.S. but less than $40 in the UK.
The plan involves directing investigations into foreign nations that block drug products unless they accept low prices, and the U.S. will defend drug companies from unfair pricing demands. The administration aims to cut out middlemen and facilitate direct drug sales at the most favored nation price. If companies don't comply, the U.S. will use its trade powers and open the market to safe, legal drug imports.