AstraZeneca drug prices evolving in response to Trump policy, executive says
Impact of U.S. Drug Pricing Policies on AstraZeneca
Adjustments to Pricing Strategy
July 27 (Reuters) - AstraZeneca has been adjusting its pricing strategy for new drug launches in response to U.S. President Donald Trump's "most-favoured-nation" policy seeking lower drug prices for Americans, a senior company executive said on Monday.
Executive Insights on Pricing Evolution
"Our pricing approach across all of launches now has really evolved in response to MFN," David Fredrickson, AstraZeneca's executive vice president for the oncology business, told investors after the company reported second-quarter results.
Engagement with Global Payers
"With the U.S. now referencing a basket of countries and setting its price, we are seeing productive engagement with payers in the wealthy nations," he said.
Broader Effects of the Most-Favoured-Nation Policy
The U.S. policy seeks to tie some U.S. medicine prices to those paid in other wealthy countries, including in Europe. AstraZeneca is one of at least 17 major drugmakers to have signed pricing agreements with the White House.
Implications for European and U.S. Markets
AstraZeneca and other major drugmakers have warned that lower European prices could increasingly affect returns in the lucrative U.S. market. This has intensified pressure on cash-strapped European governments to pay more for new medicines.
Reporting Credits
(Reporting by Pushkala Aripaka, Raechel Thankam Job in Bengaluru and Maggie Fick in London; Editing by Arun Koyyur and Devika Syamnath)
