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President Donald Trump It is increasing heat on pharmaceutical companies, calling them on Thursday, directed on Thursday to reduce drug prices in accordance with the executive order he signed in May.
But Trump has limited powers to actually force drug addicts to adjust the prices, according to experts, and his efforts are equated with pricing.
As a result, the use of pressure on society through these letters can become one of the tools it uses to force the company to perform, according to Benedic Hippolyta, a senior scholarship in the field of economic policy at the American Institute of the Enterprise Institute.
“One of the big questions was how much the administration could actually put pressure on these drug manufacturers to do what is at least nominally voluntarily,” said Ippolito Fox News Digital.
Trump’s screening to reduce drug prices has a public split. That’s what they say
President Donald Trump conducts executive orders for biomedical research at the White House Officer, May 5, 2025 (Alex Brandon/Associated Press)
In recent years, drug prices have risen sharply.
Prices for prescription medications According to the Department of Health and Human Services, more than 15% increased since January 2022 and January 2023, reaching an average of $ 590 per drug. Of the 4200 prescription drugs that are included in the list, 46% of price growth exceeded inflation rate.
The initial executive order of Trump, signed in May, directs the Department of Health and Human Services to establish price targets Manufacturers of Pharmaceuticals. Failure to comply with the requirements will push the Ministry of Justice and the Federal Trade Commission “to take actions on forced implementation against any anti-conceptual practices”, as well as other consequences.
In addition, Trump has presented plans to launch “drug most supportive drugs”.
“The principle is simple – no matter what the lowest price paid for drugs in other developed countries is the price that Americans will pay,” Trump said in the White House in May after signing the order. “Some prescription drugs and pharmaceutical prices will decline almost immediately by 50 to 80 to 90%.”
“We’re going to align,” Trump said. “We will all pay the same. We’ll pay what Europe pays.”
Ministry of Health and Human Services in Washington. (Mark Wilson/Andrew Harnica)
However, Hippolytus said Trump’s ability to actually reduce the cost of drugs will depend on the administration’s ability to represent drug addicts with a “reliable threat” to pressure them.
“The administration does not realistically have a ton of leverage to force drug producers to change their behavior,” said Hippolyt. “I think this is a practical reality.”
In addition, Hippolytus stated that Congress has great powers to establish new laws that would have “deep implications for drug markets”. But Trump’s views on this issue may not attract the support of his own party, he said.
“Republicans of Congress are usually more decided to do bold things at drug prices, and the administration, the president seems to have completely different views,” said Hipolit. “And so I think he probably looks at Congress and sees some people who cannot share their vision in this particular issue.”
Michael Kenon, Director of Health Policy Studies at the Cato’s Washington Libertarian Libertarian Institute, stated that this effort is to control the prices because the executive order is not limited to state programs-it concerns the free market and the private sector.
“This is government control over prices,” said Cannon Digital on Monday Fox News. “It’s even worse than state prices control because it is government control over prices without Congress.”
Price control occurs when the government comes to impose restrictions on how much you can pay for different goods or services in the free market.
While pricing can reduce costs for some consumers, they were heavily ineffective in American history. For example, President Richard Nixon has implemented control over the prices in the 1970s, trying to remedy wages and other expenses – which arose and led to a gas crisis and other deficiencies across the country.
President Trump assumes “great pharmaceutical” by signing an order to reduce drug prices
Price control occurs when the government comes to impose restrictions on how much you can pay for different goods or services in the free market. (Kevin Carter/Getti Image)
Meanwhile, Cannan said there are many other ways that can lead to a decrease in drug prices, including Medicaid, Medicare and Tax Code reforms. But all these options provide for the legislative industry.
“These things require Congress for the most part, and it is difficult to get something through a congress that would reduce health care costs,” said Cannon.
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On Thursday, the White House sent letters to the following drugs, advocating a decrease in drug prices: Abbvie, Amgen, Astrazeneca, Boehringer Ingelheim, Bristol Myers Squibb, Eli Lilly, Emd Serono, Genentech, Gilead, Johnson & JohnSon, Johnson & JohnSon, Johnson & Johnson Merck, Novartis, Novo Nordisk, Pfizer, Pfizer, Regeneron and Sanofi.
