President Trump has secured historic voluntary pricing agreements with 14 major pharmaceutical companies, slashing costs of critical medications like Ozempic and Wegovy by up to 65% while enabling first-time Medicaid coverage for obesity treatments—delivering on promises the Biden administration failed to achieve.
Story Highlights
- Trump negotiated voluntary deals with 14 of 17 targeted drugmakers, cutting high-cost medications to European pricing levels
- Ozempic and Wegovy prices drop from over $1,000 to $350 monthly, with $50 co-pays for Medicare patients
- New TrumpRx platform launches January 2026, allowing direct consumer purchases bypassing insurance markups
- Medicaid gains first-ever coverage for obesity drugs, saving taxpayers billions compared to Biden-era proposals
Trump Delivers Where Biden Failed
Trump’s most-favored-nation pricing strategy represents a decisive victory over pharmaceutical giants who have exploited American patients for decades. The voluntary agreements with Eli Lilly, Novo Nordisk, and 12 other major manufacturers stem from Trump’s May 2025 Executive Order demanding alignment with European drug prices. This aggressive approach contrasts sharply with the Biden administration’s failed negotiations, which would have cost taxpayers significantly more while providing less coverage.
The deals target America’s most expensive medications, including GLP-1 drugs for diabetes and obesity that previously cost over $1,000 monthly. Under Trump’s agreements, Ozempic and Wegovy now cost $350 monthly through the new TrumpRx platform, while Medicare patients pay just $50 co-pays. These reductions represent genuine relief for working families crushed by medical costs during the previous administration’s inflationary policies.
Voluntary Compliance Avoids Government Overreach
Trump’s negotiation strategy successfully pressured 14 of 17 targeted pharmaceutical companies into voluntary compliance without resorting to heavy-handed mandates. Companies like Eli Lilly agreed to price Mounjaro at $346 monthly and Zepbound at reduced rates, while Novo Nordisk committed to $350 pricing for Ozempic and Wegovy. This market-based approach respects free enterprise while protecting consumers from predatory pricing practices.
The voluntary nature of these agreements demonstrates Trump’s superior dealmaking compared to typical government coercion. Pharmaceutical companies retain autonomy while Americans gain access to life-saving medications at reasonable costs. Only three holdouts—AbbVie, Johnson & Johnson, and one undisclosed company—continue negotiations, showing the overwhelming success of Trump’s pressure campaign.
TrumpRx Platform Bypasses Insurance Middlemen
The new TrumpRx.gov platform, launching January 2026, will enable Americans to purchase medications directly at negotiated prices, bypassing insurance company markups and pharmacy benefit manager schemes. This innovative approach cuts through bureaucratic layers that inflate costs while providing no value to patients. Cash-paying customers will access European-level pricing without insurance restrictions or prior authorization delays.
This direct-purchase model represents a fundamental shift toward consumer empowerment and market transparency. Americans will finally see true drug costs without the hidden fees and administrative bloat that characterize our current healthcare system. The platform particularly benefits self-employed individuals and those with high-deductible plans who face full retail prices under existing arrangements.
Medicaid Expansion Benefits Taxpayers
For the first time, Medicaid will cover obesity medications, providing access to treatments that address America’s obesity epidemic while generating long-term healthcare savings. The negotiated pricing ensures taxpayers receive maximum value, contrasting with previous proposals that would have cost significantly more. These agreements also guarantee most-favored-nation pricing for future drug releases, protecting against pharmaceutical industry manipulation.
The deals include commitments for U.S. manufacturing expansion and foreign revenue repatriation, strengthening American pharmaceutical independence. Companies must maintain domestic production capabilities while providing oral GLP-1 formulations at $150 introductory pricing. These provisions ensure lasting benefits beyond immediate cost reductions, supporting American jobs and reducing dependence on foreign drug manufacturing that proved problematic during recent supply chain crises.
Sources:
Trump Announces Pricing Deals With 9 Drugmakers, Expanding Most-Favored-Nation Drug Pricing Strategy
