President Trump Urges Pharmaceutical Companies to Reduce Drug Prices or Face Consequences

On July 31, 2025, U.S. President Donald Trump issued a strong warning to major pharmaceutical companies, demanding they lower the prices of prescription medications or face potential punitive measures. This directive comes amid ongoing concerns about the high costs of medicines in the United States, which are significantly higher than those in other developed nations—more than three times the price paid by consumers elsewhere.

In a series of letters published on his platform, Truth Social, Trump urged 17 drug companies to collaborate with his administration to implement necessary reforms within a 60-day window. Without specifying exact penalties, Trump indicated that if companies refuse to comply, his administration is prepared to deploy all available tools to protect American families from what he described as 'abusive drug pricing practices.'

The White House highlighted that Trump’s efforts are a continuation of a broader initiative launched in May, which included an executive order aimed at tackling the U.S.'s exorbitant drug prices.

Central to this initiative is the proposed 'Most Favored Nation' policy, which would link U.S. Drug prices to the lowest prices paid in other countries for the same medications. Trump emphasized his desire to extend this pricing approach to drugs used by older Americans under Medicaid and to apply it to new medications entering the market.

In his communications, Trump highlighted the public's demand for more affordable medications and expressed a firm stance that the industry must address these concerns promptly. The administration aims to enforce pricing reforms that could significantly impact the pharmaceutical industry and potentially lower drug costs for American consumers.

This move signals a notable shift in efforts to regulate drug prices in the U.S., reflecting the ongoing debate over drug affordability and government intervention in healthcare pricing. Source: Medical Xpress