President Trump announced on Sunday that he plans to sign an executive order to base U.S. drug prices on the prices paid by other countries, which are typically much lower than what Americans pay. This move is aimed at ensuring that the U.S. pays the same price as the nation that pays the lowest price for drugs anywhere in the world.
The policy, known as the “most-favored nation” policy, is not a new concept and was previously advocated by Trump during his first administration. However, there are still many unanswered questions about how this policy will be implemented and its potential impact on the pharmaceutical industry. It is expected that the pharmaceutical industry will challenge this executive order in court.
This announcement comes amidst ongoing concerns about the high cost of prescription drugs in the U.S. compared to other countries. Many Americans struggle to afford the medications they need, leading to widespread calls for action to lower drug prices.
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Overall, President Trump’s decision to base U.S. drug prices on what other countries pay could have significant implications for the pharmaceutical industry and the affordability of medications for Americans. It remains to be seen how this policy will be implemented and whether it will effectively lower drug prices for U.S. consumers.
