A recently announced initiative between Pfizer and the Trump administration to lower U.S. drug prices will likely have minimal effects at the pharmacy counter, The New York Times reported Oct. 1.
On Sept. 30, Pfizer CEO Albert Bourla, PhD, said the company plans to sell nearly all of its drugs to Medicaid at similar prices found in other high-income countries, reduce medication costs for consumers between 50% and 100%, and invest $90 billion in domestic manufacturing — sidestepping President Donald Trump’s proposed tariffs on brand-name drugs.
The same day, the White House unveiled plans for a “TrumpRx” website, which would allow U.S. residents to purchase discounted Pfizer medications through a direct-to-consumer model. The website is expected to launch in early 2026, according to the Times.
Pfizer’s collaboration with the government includes a minor share of its medication portfolio, but if the initiative grew to more therapies, most savings would go to employers, private payers and Medicare, the Times reported.
The current TrumpRx plan pledges to lower drug costs for Medicaid beneficiaries, who already pay nearly nothing for medications, according to the report. Federal law caps prescription costs at $8 for people with the lowest incomes, and in some states, Medicaid beneficiaries have no out-of-pocket costs.
The direct-to-consumer website could benefit Americans prescribed a medication not covered by their insurance plan — but alternative options such as GoodRx and Mark Cuban Cost Plus Drug Co. would likely offer a better price, according to the Times.
Although other pharmaceutical companies have not officially joined Pfizer in the effort, several drugmakers have debuted similar direct-to-consumer websites in recent months, including Novo Nordisk, Eli Lilly and Novartis. Roche executives are also in discussions with HHS to launch a direct-to-patient drug distribution model. These offers have not included some of the most expensive medications, such as cancer drugs, according to the Times.
Following President Trump’s campaign to reduce U.S. drug prices — including floating 250% pharma tariffs — pharmaceutical companies have invested billions of dollars into domestic manufacturing to appeal to the federal government’s agenda.
