The price of prescription drugs has been a problem in the United States for years now. Consumers have been growing increasingly frustrated with the fact that their medicine has been highly expensive. There are many low-income houses that rely on certain medications, but unfortunately due to the cost of them, they aren’t easy to obtain.
The Trump administration is looking to crack down on that. By increasing competition among various pharmaceutical companies, the Trump White House is looking to ultimately lower prices for consumers. This could be a major win for American families who are sick and tired of spending far too much on their medications.
Donald Trump is also looking to cut down on government inefficiency that is currently plaguing Medicare. Ultimately, this inefficiency is what’s really putting a weight on Americans’ shoulders. At the end of the day, they’re the ones harmed by the government’s inability to function properly and provide them with the low drug prices they desperately need.
Trump Signs Executive Order to Tackle Soaring Healthcare Costs
In a decisive step to address the escalating costs of healthcare, President Donald Trump signed an executive order on Tuesday, targeting inefficiencies in government practices and promoting competitive drug pricing. This comprehensive initiative seeks to reshape the landscape of prescription drug costs, streamline Medicare negotiations, and ensure affordable access to life-saving medications like insulin.
The executive order introduces a series of actions designed to enhance the efficiency of drug pricing across the United States. A White House official, speaking during a press call attended by The Daily Wire, emphasized that “every action” in the order is crafted to optimize the system, particularly by fostering “competition for high-cost prescription drugs” and reducing insulin costs for low-income Americans.
Reflecting on his first term, Trump highlighted his administration’s proactive stance in the executive order: “My first term included numerous significant actions, including some of the most aggressive in recent history, to deliver lower prescription drug prices to American patients.” He further stressed a commitment to fairness, stating, “The message was clear: no longer would the executive branch sit idly by as pharmaceutical manufacturers charged patients in our Nation more than those in other countries for the exact same prescription drugs, often made in the exact same places.”
Reforming Medicare and Aligning Costs
A cornerstone of the order is ensuring Medicare secures the same discounted prices as other healthcare providers. A White House official noted, “Hospitals often get heavily discounted drugs, sometimes it’s as low as 35% lower, below what Medicare is paying.” To address this disparity, the order mandates a survey to guide potential rule-making, aligning Medicare payments with providers’ acquisition costs.
The administration also aims to overhaul the Medicare drug price negotiation program, with projections to surpass the savings achieved under the Biden administration. According to a White House fact sheet, the goal is to achieve 22% savings in the program’s first year. Additionally, the order seeks to standardize Medicare payments for prescription drugs, including critical cancer treatments, “regardless of where the treatment is administered,” according to the White House.
Streamlining Approvals and Expanding Access
To further drive down costs, the executive order directs the Food and Drug Administration to “streamline” the approval process for generic drugs and facilitate the importation of medications from countries like Canada. It also calls for a report examining “anti-competitive” practices by pharmaceutical companies, signaling a push for greater transparency and fairness in the industry.
Reviving Affordable Insulin Access
One of the order’s standout provisions is the revival of a program from Trump’s first term, enabling low-income and uninsured individuals to access insulin for as little as three cents per vial and injectable epinephrine for $15 through the 340b program. This initiative allows qualified healthcare providers to purchase drugs at significantly reduced rates, passing those savings directly to patients.
A White House official explained, “What the executive order does is resurrect something that we had pursued last term, which is to ensure that those 340b discounts are being passed through for insulin and epipens to low-income individuals.” The official emphasized the program’s impact, noting that “in some cases the 340b program, the acquisition cost of things like insulin are literally pennies on the dollar.” The Biden administration had previously terminated this program, citing concerns over increased costs for providers and administrative burdens.
The executive order comes at a time when healthcare costs continue to spiral, a challenge that has intensified since the passage of “Obamacare” under former President Barack Obama. By leveraging existing programs and introducing bold reforms, Trump’s administration aims to deliver meaningful cost savings and restore affordability to the healthcare system.
With these sweeping measures, the executive order marks a significant effort to prioritize American patients, ensuring they are no longer burdened by exorbitant drug prices. As the administration moves forward, the focus remains on delivering tangible results for those who need it most.
Do you think Trump’s executive order will successfully bring down medication costs? Let us know what you think in the comments!
