The Trump administration has backed off a key part of its plan to bring down US drug prices.
That puts pharmaceutical companies at risk from another Trump administration proposal that focuses on the much lower prices that other countries pay for drugs, said Veda Partners analyst Spencer Perlman.
Especially threatened by such a policy are drugmakers like Swiss pharma giant Roche and biopharmaceutical companies Amgen and Regeneron, according to Perlman.
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The Trump administration just yanked a policy that it had proposed earlier this year in an effort to bring down the cost of prescription drugs for patients.
The Trump proposal would have banned payments called rebates in two government-funded health programs: Medicare, which covers the elderly and some disabled individuals, as well as parts of the Medicaid program for low-income people. The policy change was first reported by Axios.
“The Trump administration is encouraged by continuing bipartisan conversations about legislation to reduce outrageous drug costs imposed on the American people, and President Trump will consider using any and all tools to ensure that prescription drug costs will continue to decline,” White House spokesman Judd Deere said in a statement.
The decision …read more
Source:: Businessinsider – Finance