WASHINGTON — The Trump administration is postponing a proposal aimed at addressing a loophole that permits drug manufacturers to evade Medicare price negotiations for certain products through minor modifications. This delay raises concerns among industry stakeholders regarding the administration’s commitment to reforming drug pricing practices.
While President Trump has been vocal about urging pharmaceutical companies to align U.S. prices with those in other affluent nations, he has not emphasized the existing Medicare negotiation framework established by the Inflation Reduction Act under former President Biden. This program, which enables Medicare to negotiate drug prices, was passed without bipartisan support, highlighting the contentious nature of drug pricing reform in the U.S.
Insiders and analysts have suggested that Medicare officials under Trump may be pursuing more aggressive negotiations compared to their predecessors. However, this recent decision reflects a pattern of leniency toward drugmakers, following previous policies that exempted orphan drugs from negotiation and delayed price discussions for those initially approved for rare diseases but later expanded for broader use.
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