Trump Orders Major Drug Price Cuts To Match Global Rates

In a move that could reshape the pharmaceutical landscape in the United States, President Donald Trump has signed an executive order mandating drugmakers to slash prices significantly—by as much as 90% in some cases—within a 30-day window. This bold directive sets the stage for a major confrontation between the federal government and the pharmaceutical industry, with far-reaching implications for healthcare costs, consumer access, and industry practices.

Speaking at a press event in Washington, Trump declared that Americans have been unfairly subsidizing the rest of the world when it comes to drug costs. “Everybody should pay the same price,” he said, adding that pharmaceutical companies have long sold drugs cheaper abroad while charging Americans exorbitantly higher prices. Trump aims to rectify this through what he calls a "Most Favoured Nation" policy, whereby the price of drugs in the US would be tied to the lowest price paid by any developed nation for the same medicine.

Trump's order outlines steep price reductions—at least 59% across the board, with some medications seeing reductions up to 80% or 90%. One particular example cited by the President was Ozempic, a drug widely used for weight loss and managing obesity. According to Trump, the drug costs just $88 in London but a staggering $1,300 in the United States. “We’re not going to let Americans be suckers anymore,” he said, vowing that the days of inflated drug pricing in the US were over.

The executive order gives pharmaceutical companies 30 days to comply with the pricing demands. If they fail to do so, the administration will move forward with regulatory action, including but not limited to facilitating drug imports from other countries, enforcing export restrictions, and enabling direct-to-consumer international purchasing programs. Additionally, the Federal Trade Commission (FTC) has been instructed to ramp up investigations into alleged anti-competitive practices by pharmaceutical companies.

Joe Simonson, a spokesperson for the FTC, confirmed the agency’s support: “President Donald Trump campaigned on lowering drug costs and today he's doing just that. Americans are tired of getting ripped off. The Federal Trade Commission will be a proud partner in this new effort.”

This isn’t the first time Trump has tried to rein in drug prices. During his first term, he attempted a similar strategy, but those efforts were thwarted by legal challenges and court rulings. Legal experts anticipate a similar scenario this time around. Paul Kim, a health policy lawyer, pointed out that some of the measures suggested in the order—such as broad drug imports and direct-to-consumer international purchases—may exceed what current US laws allow. “The order’s suggestion of broader or direct-to-consumer importation stretches well beyond what the statute allows,” Kim said in an interview.

However, Georgetown Law professor Lawrence Gostin believes the legal battles will begin in earnest only after the government takes tangible actions. “At the point when there are actual consequences and we know what they are, and when companies feel that they have to lower the price of their drugs, at that point we’re going to have a flood of litigation,” Gostin noted.

Despite legal uncertainties, the political message is clear. Trump is moving aggressively to fulfill a campaign promise that resonates deeply with American voters—lowering the cost of healthcare. As inflation remains a major concern, particularly in everyday essentials like food, gas, and housing, drug prices are a critical part of Trump’s broader push to ease the financial burden on American families.

The pharmaceutical industry, predictably, has expressed concern. While no formal response was issued at the time of writing, insiders suggest that companies are preparing legal and lobbying strategies to combat the order. Industry advocates argue that drastic price cuts could threaten innovation, limit research funding, and create supply chain disruptions.

Nonetheless, Trump's executive order has energized parts of the electorate who view drug prices as one of the most egregious examples of corporate exploitation. The directive also positions the administration for a major policy fight ahead of the 2026 midterm elections, giving Trump a populist talking point on healthcare reform.

What remains to be seen is whether pharmaceutical firms will negotiate in good faith within the 30-day window or gamble on the likelihood that legal challenges will stall or reverse the order's implementation. Either way, the coming weeks are poised to be highly consequential for drug pricing policy in the United States.

As consumers, industry leaders, and lawmakers await the next steps, one thing is certain: the debate over drug prices in America has entered a new, more aggressive phase—led by a president determined to fulfill a campaign promise that has eluded his predecessors for decades.