Trump Demands Drugmakers Cut Prices Amid US Supply Chain Concerns

President Donald Trump has intensified his efforts to lower prescription drug prices in the U.S. by sending letters to 17 major pharmaceutical companies demanding they reduce prices to levels comparable with other wealthy countries by September 29. He called for companies to offer Medicaid patients prices aligned with those in OECD countries with at least 60% of U.S. GDP per capita and to guarantee these prices for Medicare, Medicaid, and commercial payers, while also encouraging new distribution models and repatriation of foreign earnings. However, these demands lack clear legal authority, making them voluntary requests rather than enforceable mandates, which has led to skepticism about their effectiveness. The administration has threatened further regulatory actions, including expanded drug importation and antitrust investigations, if companies do not comply. The pharmaceutical industry, through groups like PhRMA, has pushed back, warning that such price controls could harm innovation and long-term drug development. This move is seen both as part of Trump's election-year rhetoric and an attempt to fulfill campaign promises, though it faces significant resistance from entrenched industry interests and market uncertainty.