Trump to launch 'TrumpRx', to make drugs cheaper for Americans, says report

After talks with US President Donald Trump, global pharma giant Pfizer is further expected to announce a $70 billion investment in research, development and domestic manufacturing

United States President Donald Trump will announce that Pfizer plans to lower the prices of several medications in the country, Reuters reported on Tuesday, citing White House sources.

 

The White House is also preparing to unveil a direct-to-consumer website, called TrumpRx, through which Americans will be able to purchase medicines at a lower price. Pfizer, which is one of the world's largest and most profitable pharmaceutical companies, will sell some of its drugs directly to consumers via this platform.

 

TrumpRx would allow people to pay cash for certain medicines directly from a government-run website, at prices negotiated by the administration. It is unclear how many drugs will be included or whether the initiative will benefit the majority of Americans, most of whom are already covered by private insurance, Medicare or Medicaid, The Wall Street Journal reported. 

Notably, TrumpRx appears similar to India’s Jan Aushadhi Kendra scheme, which operates retail outlets to provide high-quality, affordable generic medicines and surgical devices to the public.

 

These stores aim to offer alternatives to branded medicines, making healthcare more affordable and accessible for the poor.

 

Pfizer is also expected to announce a $70 billion investment in R&D and domestic manufacturing, the report said.

 

The development comes after Trump imposed a 100% tariff on imports of branded and patented drugs, effective October 1.

 

Analysts believe the Indian pharmaceutical sector is unlikely to be affected, as it primarily supplies generic drugs to the US. However, Indian pharma brands could face negative consequences.

 

According to the report, Trump sent letters to 17 leading drugmakers in July, instructing them to slash US drug prices to levels comparable to those overseas, a policy he has termed “most-favored nation pricing.” He asked for binding commitments by September 29.

 

Trump officials drove hard bargain

 

Health Secretary Robert F. Kennedy Jr. said during a cabinet meeting last month that the US administration had been holding one-on-one talks with pharmaceutical companies. He added that Commerce Secretary Howard Lutnick was using the threat of tariffs for leverage during negotiations with pharma companies.

 

In May, Trump signed a sweeping executive order demanding that drugmakers cut US medicine prices to match those abroad. He warned that if companies failed to comply, the government could use rulemaking to enforce price reductions or explore other measures, including the import of cheaper medicines.

 

US patients pay far more for prescription drugs than those in other developed countries, often nearly three times as much. At the same time, the country invests heavily in pharmaceutical research and development. Drugmakers argue that drastic price cuts would stifle innovation.