Trump says that the goal of the new proposal is lower in some drug prices in the US. UU
Trump says that the goal of the new proposal is lower in some drug prices in the US. UU
Less than two weeks before the medium term. choices, president Donald Trump has announced a plan to lower the prices of some prescription drugs, saying it would stop unfair practices that force Americans to pay much more than people in other countries for the same drugs.
"We are pointing to the global burden that compels US consumers to subsidize lower prices in foreign countries through higher prices in our country," Trump said in a speech delivered Thursday at the Department of Health and Human Services.
"The same company, the same box, the same pill, made in the same place, and you would go to some countries and it would be 20 percent of the cost of what we paid," said Trump, who predicted that the plan will save thousands of dollars. millions to the Americans. "We're fixing it."
But consumers take note:
- The plan would not apply to the drugs that people buy at the pharmacy, only those that are administered in a doctor's office, as well as many anti-cancer drugs and medicines for immune system problems. Medications administered by a doctor can be very expensive, but pharmacy drugs represent the vast majority of what consumers buy.
- Do not expect immediate setbacks. Officials said the complex proposal could take more than a year to be implemented.
In another twist, the plan is structured as an experiment through a Medicare innovation center empowered to seek savings under the Affordable Care Act. That is the law also known as "Obamacare", which Trump is committed to repeal.
Trump has long pledged far-reaching action to attack drug prices, both as president and when running for the White House. He made his final announcement just before the November 6 election, with medical attention high among voter concerns.
According to the plan, Medicare payment for drugs administered in doctors' offices would gradually change to a level based on international prices. Prices in other countries are lower because governments negotiate directly with manufacturers.
The drug manufacturers rejected immediately, arguing that the plan amounts to government pricing.
"The administration is imposing foreign price controls from countries with socialized health care systems that deny their citizens access and discourage innovation," Stephen Ubl, president of Pharmaceutical Research and Manufacturers of America, said in a statement. "These proposals are to the detriment of American patients."
Trump is linking the prices that Americans complain about with one of their long-standing complaints: foreign countries, according to the president, are taking advantage of advances in US research. UU
Drug pricing expert Peter Bach of the Memorial Sloan Kettering Center for Health Policy and Outcomes called the plan "a very important proposition" but faces "serious political challenges."
"The rhetoric about how to finally deal with the foreign cargo suggests that we are going to take measures so that other countries pay their fair share for innovation," Bach added. But that is "literally the opposite of what is being proposed." What is being proposed is that we free ourselves from the ability of other countries to negotiate more effectively.
The Democratic leaders in the Capitol were disdainful. House minority leader Nancy Pelosi of California said that if Trump wants to save seniors money, he should seek congressional approval for Medicare to negotiate the prices of his main prescription drug program, " Part D ". Senate Democratic leader Chuck Schumer of New York said that "it is difficult to take the administration of Trump and the Republicans seriously about reducing health care costs for seniors two weeks before the election."
The health insurance industry, in disagreement with drug manufacturers over prices, praised the administration's action.
Matt Eyles, president and CEO of America's Insurance Insurance Plans, said: "Drug prices are out of control and we congratulate the Administration for its continued commitment to reduce drug prices."
As an experiment, the proposal would apply to half of the country. The officials said they are looking for information on how to select the areas that will participate in the new pricing system. The secretary of HHS, Alex Azar, said that the policy would have nothing to do with that.
Before Trump's speech, HHS published a report that found that the prices of the main drugs administered in the offices of the United States are almost double that in foreign countries. The list includes many anti-cancer drugs. Medicare pays directly for them under your "Part B" coverage for outpatient care.
Medications administered by a doctor cost Medicare $ 27 billion in 2016. HHS says the plan would save Medicare $ 17.2 billion in five years. The beneficiaries would save an estimated $ 3.4 billion through lower cost sharing.
The plan could encounter resistance not only from drug manufacturers but also from doctors, who now pay a percentage of the cost of the drugs they administer. However, HHS officials said the plan is designed not to reduce doctors' reimbursements.
Azar said that more plans are being developed on the costs of medicines.
"This is not the end of the road, the end of the trip," he said. "There's more to come."
Trump has harshly criticized the pharmaceutical industry, once claiming that the companies were "getting away with it". But it has largely been the usual business for drug makers, even when Trump predicted "massive" voluntary price cuts.
A recent Associated Press analysis of the prices of brand name drugs found much more increases than cuts in the first seven months of this year. The analysis found 96 price increases for each price cut. The number of increases was reduced a bit and were not as pronounced as in previous years, the AP found.
The Trump administration proposal is open for public comment for 60 days.
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