Drug pricing has emerged as a key topic to watch for pharmaceutical companies and investors in 2025. As President Donald Trump pushes for lower medicine prices for Americans, the sector is facing additional pricing pressure from a Biden-era law called the Inflation Reduction Act.
The IRA, voted into law in 2022, allows the Centers for Medicare & Medicaid Services (CMS) to negotiate prices for a number of drugs each year for patients in Medicare, the federal health insurance program for seniors. It’s now making waves also across the Atlantic.
While these changes are taking place firmly in the U.S., pharmaceutical companies across the globe are finding themselves increasingly exposed to the American market.
A number of European companies have announced sizeable U.S. investments to placate Trump and his aggressive tariff agenda, while AstraZeneca is moving toward another direct listing on the NYSE to tap into the deeper pockets of U.S. capital markets. Meanwhile, Novo Nordisk has cited a failure to deal with changes in the U.S. market as part of the reason for recent leadership changes.
Late Tuesday, the CMS announced newly negotiated prices for 15 blockbuster drugs from 2027, including Novo Nordisk’s
