Pharmaceutical Policy in Motion Continued: Trump Inks Nine New Drug Pricing Deals

Since our last update, the Trump administration has continued to pressure pharmaceutical manufacturers to reduce U.S. drug costs.  The Trump administration has secured additional deals with pharmaceutical manufacturers, rounding out 2025 by announcing drug pricing agreements with Amgen, Bristol Myers Squibb, Boehringer Ingelheim, Genentech, Gilead Sciences, GSK, Merck, Novartis, and Sanofi.  These nine new pricing deals add to the growing list of manufacturers willing to agree to the terms set forth in President Trump’s July 31st letters, which already include Pfizer, AstraZeneca, EMD Serono, Novo Nordisk and Eli Lilly. 

Nine New Manufacturer Deals to Reshape Drug Pricing

The nine manufacturer agreements announced on December 19, 2025, follow in the footsteps of predecessor deals, with each manufacturer agreeing to reduce, or offer discounts on, the price of certain drugs in exchange for securing immunity for 3 years from potential Section 232 tariffs:

• Amgen: Since launching its direct-to-patient program, AmgenNow, Amgen will offer eligible patients 60-80% discounts on Aimovig (migraine treatment), Amjevita (autoimmune symptom treatment), and Repatha (high cholesterol treatment).  These medications will also be offered on President Trump’s direct-to-consumer (DTC) platform, TrumpRx.gov.
• Bristol Myers Squibb: BMS is committing to making Eliquis, a widely used blood thinner medication, available to the Medicaid program for free. It also offers five medications, including HIV medication Reyataz, at 80% off current list prices.  Reyataz may be purchased at the discounted price through TrumpRx.gov.  BMS also plans to launch new to market drugs at balanced prices across developed nations.
• Boehringer Ingelheim: Boehringer will offer its type 2 diabetes medication, Jentadeuto, at a nearly 90% discount through TrumpRx.gov.
• Genentech: Genentech is making commitments to increase the availability of medications in Medicaid and expand its DTC program for essential flu medicines.  For example, Xofluza will be made available for 70% off through the DTC program and TrumpRx.gov.
• Gilead Sciences: Gilead will roll out MFN prices on certain medicines within the Medicaid program and pursue pricing parity with other developed nations.  In addition to launching its own DTC program, Gilead will make its discounted Hepatitis C treatment and cure, Epclusa, available through TrumpRx.gov.
• GSK: GSK’s agreement, also covering ViiV Healthcare, the pharmaceutical company’s joint venture with Pfizer, endeavors to lower prices in Medicaid, launch new products with a balanced pricing approach, and provide respiratory medication, including its popular asthma inhaler Advair Diskus 500/50, at a 66% discount through TrumpRx.gov
• Merck: Merck will offer key products through TrumpRx.gov at approximately 70% off the current list price.  These products include Januvia, Janumet, and Janumet XR, all of which are type 2 diabetes medications.
• Novartis: Novartis will improve access to medicines through the Medicaid program, launch new drugs at comparable prices across high-income countries, and provide substantially discounted drugs through TrumpRx.gov, including Mayzent, its multiple sclerosis medication.
• Sanofi: Sanofi will reduce prices by an average of 61% for certain medications that treat diabetes, cardiovascular and neurological conditions, and cancer, for the benefit of the Medicaid program.  It will also offer substantially discounted medications that treat infections and cardiovascular and diabetic conditions, including its insulin products at $35 per month, through TrumpRx.gov and other DTC platforms.  As with some of the other manufacturers, Sanofi will aim to balance pricing across developed nations.

Additional Manufacturer Commitments to United States-Based Pharmaceutical Production 

As with prior deals we have reported on, the nine manufacturers referenced above have also committed to investing, collectively, at least $150 billion dollars in United States-based pharmaceutical manufacturing. Among these nine manufacturers, GSK, Bristol Myers Squibb, and Merck, have also agreed to donate substantial quantities of active pharmaceutical ingredients for key products to the Strategic Active Pharmaceutical Ingredients Reserve as a way to “reduce [the United States’] reliance on foreign nations and ensure [it] has an adequate supply of such products in the event of an emergency.” 

United Kingdom Commitment to Paying for Innovative Medicines

In addition to these drug pricing agreements, on December 1, 2025, the U.S. government reached an agreement with the United Kingdom to, among other things, “increase the net price of new prescription drugs by 25% in the United Kingdom.” As noted in the White House’s December 19th announcement, this arrangement is intended to “hel[p] ensure [the United Kingdom] pay[s] [its] fair share for innovative medicines.” 

The United Kingdom’s drug pricing concessions, which were negotiated as part of the US-UK Economic Prosperity Deal, were paired with reciprocal benefits. In return, the United States agreed to (i) exempt the United Kingdom from potential Section 232 tariffs on UK-based pharmaceuticals, pharmaceutical ingredients, and medical technology, and (ii) “refrain from targeting [United Kingdom] pharmaceutical pricing practices in any future Section 301 investigation for the duration of President Trump’s term.”

New Manufacturer Deals on the Horizon

AbbVie, Johnson & Johnson, and Regeneron are the last of the pharmaceutical manufacturers included in President Trump’s original list of 17 manufacturers to receive MFN demands and have yet to reach a deal with the Trump administration. During the White House press release unveiling the nine new MFN deals, President Trump alluded to reaching deals with these three manufacturers, most notably Johnson & Johnson, following the holidays.

We will continue to monitor drug pricing policy and the Trump administration’s efforts to address prescription costs and will provide updates in the next edition of the Mintz IRA Update. 

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