WASHINGTON – Former U.S. President Donald Trump announced on Monday that he plans to sign a sweeping executive order aimed at slashing prescription drug prices by up to 59%.
Posting on Truth Social, Trump revised his earlier estimate of drug price reductions from 30–80%, saying the finalized plan would lead to a 59% cut. He added that this move would align U.S. drug prices with those in other wealthy nations.
The United States currently pays the highest prices for prescription drugs in the world, with some medications costing up to 30 times more than in countries like Japan or Sweden. Trump blamed the pricing gap on decades of political failure and industry influence.
The announcement sent pharmaceutical stocks sliding, with several U.S. drugmakers seeing a 2% to 3% drop in share value. Industry lobbyists fear the executive order may focus on the Medicare program, which covers seniors and people with disabilities.
While President Biden’s Inflation Reduction Act allowed limited price negotiations under Medicare, critics argue the savings have been small. For example, the blood thinner Eliquis still costs \$606 in the U.S., compared to \$114 in Sweden and just \$20 in Japan.
Trump is expected to reveal more details during a White House event with U.S. Health Secretary Robert F. Kennedy Jr. on Monday morning, as pressure builds for bipartisan action on drug pricing.