Medicare negotiations to reduce prices for the next party drugs

While President Trump praises his own executive orders to reduce drug prices, the negotiations of the Medicare price price that started during the Biden administration will go through behind the scenes.

Two companies – Novo Nordisk and Amgen – confirmed to NPR that they had received opening price offers from the government, which could last the negotiations until October. The Ministry of Health and Human Services did not respond to a request for comments on the status of negotiations.

Medicare negotiates the Prices of 15 medicinesIncluding Ozempic from Novo Nordisk. The government has until November 30 to announce the agreed prices of Medicare. The lower prices would take effect in January 2027.

“It’s a train that goes along the tracks in the background,” says Ben RomeA doctor from doctor and health policy at the Harvard Medical School. “And it seems that the Trump administration has given the green light to continue that process.”

Medicare negotiation of drug price is still relatively new. To the approval of the Inflative reduction law of 2022, Medicare Part D, which is covered More than 50 million seniorsDid not have the authority to negotiate drug prices. This is the second round of annual negotiations.

“Unless the Trump government wants to completely ignore the guidelines of the congress, this process will continue,” says Rome.

The first party of 10 drugs was negotiated last year and announced in August With price reductions ranging from 79% for diabetes drug of type 2 to 38% for cancer medicine Imbruvica. The lower prices for those medicines are expected to come into force in January 2026.

NOVO Nordisk nor Amgen, whose psoriasis and arthritis drug Otezla is for negotiation, would comment on the other negotiation process than to confirm that they had received opening offers.

On May 12, the Centers for Medicare and Medicaid Services Published design guidelines For the third negotiation round, which will start at the beginning of 2026.

President Trump has recommended his own drug price initiatives, including An executive order on the most favorite nation drug pricesHe would try to lower the American drug prices and force other countries to pay more for their medicines. However, the details about how this would work are unclear.

Project 2025, A Blueprint for changing the federal government Due to the Conservative Heritage Foundation that Trump has repeated in many of his actions, says Medicare Drug Price -Negotiation “must be withdrawn.” Until that can happen “an administration that is needed to implement it must do this in a way that is wise with its authority, which minimizes the harmful effects of the law policy and even worse unintended consequences are avoided,” says it.