Pfizer agrees to lower drug prices amid pressure from Trump

In the United States, President Donald Trump announced a substantial deal with pharmaceutical giant Pfizer on September 29, 2025, aimed at reducing prescription drug prices. This agreement is part of Trump's broader initiative to make medications more affordable for Americans, particularly aligning with his policies that advocate for 'most favored nation' pricing, which seeks to ensure American drug prices match those in other countries where costs are significantly lower. The announcement of this deal closely followed increasing pressure from the Trump administration on pharmaceutical companies to lower their prices. Trump had issued an executive order in May that mandated drugmakers to match the lowest prices they offer in peer countries, threatening significant consequences for those who did not comply. This escalation of demands reflects Trump's ongoing commitment to addressing growing concerns about high prescription drug costs, which have burdened U.S. consumers for years. As part of the agreement, Pfizer would not only lower the prices of some of its medications for Medicaid but also make broader commitments towards reducing costs across other consumer markets. Trump asserted that this would modernize how Americans access their medications and would contribute to savings for both consumers and taxpayers. The anticipated launch of a new direct-to-consumer website, named TrumpRX, will further facilitate access to discounted medications, though the specific operational details remain under wraps. Critics, however, have raised concerns about the implications of these price reductions potentially leading to increased costs elsewhere, especially given Trump’s proposals for 100% tariffs on imported pharmaceuticals unless companies demonstrated domestic manufacturing capabilities. Overall, while the Pfizer agreement has been hailed as a significant step in lowering drug prices, experts are wary about the long-term effects it may hold for both consumers and the pharmaceutical industry as a whole.