Trump announces more prescription drug savings, projected to save Americans $600 billion
byCAITLYN FROLO | The National News Desk
Mon, August 31, 2026 at 2:49 PM
UpdatedMon, August 31, 2026 at 4:06 PM
9VIEW ALL PHOTOS
WASHINGTON, DC – AUGUST 31: U.S. President Donald Trump, accompanied by (L-R) Commerce Secretary Howard Lutnick, Health and Human Services Secretary Robert F. Kennedy Jr., and Administrator for the Centers for Medicare & Medicaid Services Dr. Mehmet Oz, delivers remarks on healthcare affordability in the Oval Office at the White House on August 31, 2026 in Washington, DC. President Trump announced that nearly a dozen pharmaceutical manufacturers have agreed to lower the price of their medications to match their prices outside of the United States. (Photo by Kevin Dietsch/Getty Images)
WASHINGTON (TNND) —President Donald Trump announced an expansion of his Most Favored Nation drug pricing initiative on Monday afternoon from the White House
The president shared that nine new pharmaceutical companies have committed to deliver their lowest drug pricesfor Americans. According to a 2024 report, prescription drug prices are on average nearly three times higher than in foreign countries
With today’s announcement, we now have 26 companies representing 90% of the domestic pharmaceutical market,” Trump said. “These agreements are projected to save Americans more than $600 billion.”
Trump made the announcement alongside some of the executives from the companies that are part of the agreement, as well as HHS Secretary Robert F. Kennedy Jr, CMS Administrator Dr. Mehmet Oz and Commerce Secretary Howard Lutnick
The agreements bring the total number of pharmaceutical companies with MFN deals to 26, which covers 89% of the branded drug market, a White House fact sheet explains
The nine manufacturers include:
- Alcon
- Astellas Pharma
- BeOne Medicines
- BridgeBio
- CSL
- Kyowa Kirin
- Sun Pharma
- Teva Pharmaceuticals
- UCB
The agreements include a reduction in the cost of drugs that treat costly, chronic and rare diseases like hemophilia, Parkinson’s disease, macular degeneration, glaucoma, liver disease, skin conditions, and forms of cancer
They also provide every State Medicaid program in the U.S. with access to the MFN drug prices on the products made by the nine companies. The White House said this will result in billions of dollars in savings for Americans
The agreements ensure foreign nations can no longer use price controls to freeride on American innovation by guaranteeing MFN prices on all new innovative medicines the nine companies bring to market,” the fact sheet said.
The nine companies have also committed to invest at least $19.6 billion collectively in U.S. manufacturing in the “near term.”
Additionally, as part of the agreements, several companies are donating active pharmaceutical ingredients for key products to the Strategic Active Pharmaceutical Ingredients Reserve (SAPIR). The White House said this will reduce reliance on foreign nations and “ensure the United States has an adequate supply of such products in the event of an emergency.”
Last week, Bloomberg reported that the drugmakers were expected to agree to give discounts on drugs to state Medicaid programs so that the prices states pay align with the cost charged to foreign countries. In exchange, the outlet reported that the Biotech companies would be exempt from pilot programs mandating similar discounts in Medicare. Medicaid already gets generous discounts from companies under federal law, so it isn’t immediately clear how the new deals will impact what you pay out of pocket.
The Trump administration has been working to highlight healthcare affordability ahead of the midterms. The president is calling on Congress to pass the Great Healthcare Plan,which he describes as a comprehensive plan to lower drug prices, lower insurance premiums, hold big insurance companies accountable, and maximize price transparency
Previously, Trump announced the “most-favored-nation” drug pricing dealswith 17 pharmaceutical companies likePfizer,Eli Lilly and Novo Nordisk
The agreements effectively lower prescription drug costs to align with what other countries pay. In May 2025, Trump signed an executive order to revive the MFN policy
Many of the companies already part of the MFN deals are spending billions to bring manufacturing back to the United States, in exchange for warding off thethreat of tariffs
Many are also offering their medications onTrumpRx, the president’s portal where Americans can purchase their prescriptions at reduced costs
Since the launch of TrumpRx in February, the White House said patients have saved more than $700 million through the website
This includes discounts on costly medications to treat obesity and infertility
“In July of 2026, senior citizens without access to GLP-1 coverage to treat obesity gained access for just $50 per month. In the two months since the launch of this program, over 500,000 seniors have saved a total of $216 million on these life-changing medicines,” the White House said
The Council of Economic Advisors estimates the total savings from Trump’s MFN deals will reach $600 billion over the next decade
