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Trump, Merck KGaA announce deal to cut some IVF drug prices
Published by Global Banking & Finance Review®
Posted on October 16, 2025
3 min readLast updated: January 21, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on October 16, 2025
3 min readLast updated: January 21, 2026
Trump and Merck KGaA announce a deal to cut IVF drug prices, offering significant discounts and expanding insurance coverage for fertility treatments.
By Patrick Wingrove
(Reuters) -U.S. President Donald Trump and Germany's Merck KGaA on Thursday said they had struck a deal that would cut the cost of some drugs needed for in-vitro fertilization in exchange for protection from future tariffs.
Trump also said Merck would offer all new drugs launched in the U.S. at the prices it charges in other developed countries.
Trump said the German drugmaker's U.S. arm, EMD Serono, had agreed to sell its fertility treatments, including Gonal-f, Ovidrel and Cetrotide, directly to consumers. Merck said when all three drugs are used in IVF, patients will get a combined discount of 84% off list price.
"We're also taking historic steps to vastly expand access to insurance coverage for fertility care, including IVF, something that, as you know, was not covered," Trump said from the Oval Office.
Senior administration officials said the cuts would save families $2,200 per cycle.
Merck said it had made a deal with the U.S. Commerce Department to exclude its drugs from industry-specific tariffs, if those are introduced, provided the company invests in U.S. manufacturing and research.
In February, Trump signed an executive order directing the government to expand access to IVF and reduce the costs of the popular fertility treatment.
IVF involves combining eggs and sperm in a laboratory to create an embryo for couples having difficulty conceiving. The costs for IVF can range from $12,000 to $25,000 per cycle and multiple cycles may be needed to get pregnant.
Merck KGaA is one of the world's largest manufacturers of fertility treatments. Its most popular treatment, Gonal-f, generated $973 million in sales last year.
Merck's discounted drugs will be available in early 2026 through TrumpRX, a website the administration plans to launch to help consumers buy some medicines directly from manufacturers, Trump said.
Trump, in an effort to lower drug costs for U.S. patients who pay far more than in other wealthy nations, has so far struck deals with Pfizer and AstraZeneca to lower their prescription drug prices in the Medicaid program for lower-income Americans in exchange for tariff relief.
The company also said it planned to seek U.S. approval for its fertility drug Pergoveris under the FDA Commissioner's National Priority Voucher, a new program intended to shorten review times to one to two months from the typical timeline of about 10-12 months.
Trump also said on Thursday that the administration would make it legal for companies to offer supplemental insurance plans specifically for fertility.
To further expand access to IVF treatment, the U.S. Treasury, Labor, and Health and Human Services departments would issue guidance on what they call an employer benefit option to encourage companies to offer IVF and broader infertility coverage directly to workers, senior administration officials said.
The guidance allows small businesses to offer infertility coverage separately, a move the White House expects will expand the benefit.
The White House will not provide any subsidies for employers that offer the coverage, and there will be no mandate that they participate, according to the officials.
(Reporting by Patrick Wingrove in New York and Sriparna Roy in Bengaluru; Editing by Alan Barona, Alistair Bell and Lisa Shumaker)
A discount is a reduction in the usual price of a product or service. Discounts can be offered for various reasons, such as promotions or bulk purchases.
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