President Trump Announces a New Initiative to Lower Pharmaceutical Prices

Washington May 11, 2018 – The Trump administration today rolled out a major new initiative in an effort to lower the cost of pharmaceutical drugs.

The plan will have four primary directive’s

1) increased competition between brand-name pharmaceuticals and generic

2) improve negotiations on pricing, and begin price negotiations where there are presently none. This will apply especially where there are sole source suppliers of a particular drug.

3) create incentives for pharmaceutical companies to keep from adding dramatic price increases

4) reduce the out-of-pocket costs for consumers of pharmaceuticals through a series of changes. There are some 50 individual items in the plan.

Administration is going to take a close look at the built in incentives that pharmaceutical companies use with doctors and others to market prescriptions

Administration’s first set of goals is to reduce the cost of pharmaceutical drugs for American consumers.

The second approach is to have foreign countries pay more of the “fair share”costs of pharmaceutical drug development, which is now overwhelmingly borne by American consumers.