Could \u201cTrumpRx\u201d be the prescription for lower drug prices?<\/p>\n
President Trump announced<\/a> a landmark deal with Pfizer to cut drug prices and sell them on TrumpRx, a new direct-to-consumer federal website that\u2019s slated to launch next year.<\/p>\n Prescription drug prices in the US are roughly 2.78 times higher on average than in 33 other high-income countries, a 2024 report<\/a> by the RAND Corporation found \u2014 but some savings on TrumpRx are expected to reach up to 85%.<\/p>\n Still, the new deal has left Americans with some burning questions: Who will benefit? How much less will they pay? And will other pharmaceutical companies soon join?<\/p>\n Here\u2019s a look at what the Pfizer deal and TrumpRx mean for American wallets.<\/p>\n President Trump announced an agreement with the pharmaceutical company Pfizer to voluntarily sell its medications through Medicaid at lower prices. The news conference was held on Tuesday, Sept. 30, 2025. Francis Chung\/UPI\/Shutterstock<\/p>\n Will everyone get cheaper drugs under TrumpRx?<\/p>\n The short answer: Most people will not.<\/p>\n Many of the details of the plan are still being ironed out, but some drug-pricing experts<\/a> were less than impressed with Tuesday\u2019s announcement, arguing that it will only help a sliver of the population.<\/p>\n \u201cAmerican citizens [will] continue to pay through the nose to get vital drugs into our bodies,\u201d Alan Sager<\/a>,\u00a0a professor of health law, policy and management at the Boston University School of Public Health, told The Post.<\/p>\n \u201cA few people will be better off \u2014 people who can afford to buy drugs that are not covered by their insurance through the website \u2014 because they\u2019ll pay lower prices than they do now,\u201d he added. \u201cBut that\u2019ll be a few people in every thousand.\u201d<\/p>\n Should people with insurance use TrumpRx?<\/p>\n The deals on the website are only available to people who are not using their health insurance, NPR reported<\/a>. Ninety-two percent of Americans had health insurance in 2023, according to Census numbers<\/a>.<\/p>\n It would likely cost less to use health insurance instead \u2014 if the insurance covers the drugs. <\/p>\n For example, a 30-day supply of Xeljanz XR extended-release tablets to treat rheumatoid arthritis can cost $5,940 without insurance, according to Drugs.com<\/a>.<\/p>\n Trump has been trying to lower prescription drug prices for years. REUTERS<\/p>\n The new deal could slash that price by 40% to about $3,600 a month.<\/p>\n There are no generic alternatives to Xeljanz, but GoodRx notes<\/a> that 96% of insurance plans cover the most common version of Xeljanz at a co-pay of $60 to $83.<\/p>\n Pfizer \u2014 which sells Xeljanz \u2014 has not agreed to reduce drug prices for employers, private insurance companies or Medicare.<\/p>\n How will the deal affect people on Medicaid?<\/p>\n Pfizer agreed to lower prescription drug prices for Medicaid recipients, who make up about 21% of the US population \u2014 or roughly 71 million<\/a> low-income people.<\/p>\n \u201cIt\u2019s going to have a huge impact on bringing Medicaid costs down like nothing else,\u201d Trump said at Tuesday\u2019s news conference.<\/p>\n Medicaid is a federal and state health insurance program that covers low-income people. Tada Images \u2013 stock.adobe.com<\/p>\n But experts note that Medicaid prices aren\u2019t that high to begin with.<\/p>\n \u201cIn the Medicaid program, most drugs are already priced extremely low compared to national averages \u2014 the net prices are among the lowest in the country,\u201d William Padula<\/a>, a professor of pharmaceutical economics at the University of Southern California, told The Post.<\/p>\n Any lower Medicaid prices will likely save state agencies and the federal government money \u2014 not enrollees.<\/p>\n If Medicaid beneficiaries have to make copayments, they are already \u201cnominal.\u201d<\/p>\n What drugs are included \u2014 and how much will people save?<\/p>\n Pfizer makes, markets or distributes over 313 drugs in the US<\/a>, including the blood thinner\u00a0Eliquis and the COVID-19 pill\u00a0Paxlovid. And more than 100 are<\/a> in the pipeline.<\/p>\n The Manhattan-headquartered company will offer the dermatitis ointment Eucrisa and the migraine nasal spray Zavzpret at 80% and 50% off their list prices, respectively, on TrumpRx.<\/p>\n Here\u2019s a look at how Trump\u2019s plan may affect prices of Pfizer\u2019s products. NY Post Design<\/p>\n A full list of the medicines that are part of the deal was not immediately available.<\/p>\n Most of those highlighted in Tuesday\u2019s news conference are not considered blockbuster drugs.<\/p>\n Pfizer said<\/a> it will also launch new drugs in the US at discounted prices as part of the deal, which includes a three-year grace period from new tariffs on imported medications.<\/p>\n Will other drug companies join TrumpRx?<\/p>\n The Trump administration indicated that other pharmaceutical companies inked similar agreements but did not identify them.<\/p>\n Any other benefits?<\/p>\n TrumpRx will help to illuminate drug prices, allowing patients to make informed healthcare choices, though hospitals are already required to publish pricing information for services and drugs.<\/p>\n The federal Hospital Price Transparency Rule took effect in 2021. Here\u2019s an example<\/a> of transparency tools.<\/p>\n What\u2019s the \u2018most favored nations\u2019 price model?<\/p>\n Trump has long promised to slash drug prices, telling Time in 2016<\/a>, \u201cI\u2019m going to bring down drug prices. I don\u2019t like what has happened with drug prices.\u201d<\/p>\n Sager noted that while the US represents about 4% of the world\u2019s population, it accounts for a disproportionately large share of global drug revenues.<\/p>\n Prescription drug prices in the US are roughly 2.78 times higher on average than in 33 other high-income countries, a 2024 report by the RAND Corporation found. Vedran \u2013 stock.adobe.com<\/p>\n Trump signed an executive order in 2020<\/a> to establish a \u201cmost favored nations\u201d (MFN) pricing model, including for Medicare Part B and Part D drugs.<\/p>\n MFN is designed to bring drug costs in line with the lower prices paid by other economically developed countries.<\/p>\n Trump\u2019s policy never took effect \u2014 it was blocked by federal courts<\/a> for not following proper rulemaking procedures. He reintroduced the MFN concept this year.<\/p>\n In May, he signed a new executive order<\/a> directing the Department of Health and Human Services (HHS) to set MFN price targets for certain brand-name prescription drugs.<\/p>\n Then in July, Trump sent letters to 17 leading pharmaceutical manufacturers<\/a>, giving them 60 days to reduce drug costs. The deadline was Monday.<\/p>\n Many unanswered questions about TrumpRx remain. AP<\/p>\n Concerns that Trump\u2019s plan doesn\u2019t go far enough<\/p>\n TrumpRx appears to be following in the footsteps of Danish pharmaceutical giant Novo Nordisk, which launched an online pharmacy<\/a> in March that allows uninsured or underinsured patients to shell out $499 a month for the prescription obesity drug Wegovy.<\/p>\n Direct-to-consumer drug platforms like TrumpRx and NovoCare Pharmacy help bypass middlemen like pharmacy benefit managers (PBMs), which administer prescription drug plans for health insurers, employers and other payers.<\/p>\n Andrew Spiegel \u2014 CEO of the Global Colon Cancer Association<\/a>, which promotes awareness, screenings and access to treatments for the devastating disease \u2014 said it\u2019s important to address tariffs and increasing fees from PBMs to lower drug prices.<\/p>\n