Trump Launches TrumpRx to Cut Prescription Drug Prices

President Donald Trump announced this week the launch of TrumpRx.gov, a government-run website designed to connect patients directly with drugmakers offering sharply discounted medicines. The program, which the White House describes as a historic step toward lowering U.S. drug prices, will begin rolling out in early 2026 with Pfizer as its first participating company.

The announcement marks the first major deal under Trump’s new plan to brand direct-purchase arrangements with pharmaceutical manufacturers under the “TrumpRx” name. Trump signaled that more partnerships are expected in the coming months.

The “Most Favored Nation” Price

At the center of the initiative is a concept known as the “most favored nation” (MFN) price. Under this model, pharmaceutical companies agree to sell certain drugs to U.S. consumers at the lowest price available in other developed nations, including Canada, Germany, France, Italy, Japan, the United Kingdom, Switzerland and Denmark.

In practice, this means that if a participating drug is sold at a lower price in one of these countries, U.S. patients using TrumpRx would be eligible to buy it at that same rate. Pfizer said it will offer the “vast majority” of its primary-care treatments at reduced prices, along with select specialty medications that treat chronic and life-threatening conditions.

How TrumpRx Works

Unlike existing discount platforms such as GoodRx, which provide coupons for use at local pharmacies, TrumpRx will direct patients to purchase drugs directly from manufacturers through the official government site. The White House says the program is designed to simplify the process of accessing lower-cost medications and reduce reliance on middlemen such as pharmacy benefit managers.

Chris Klomp, director of Medicare, said the goal is to ensure that TrumpRx offers prices “often at the MFN price, and always at lower prices than currently available.”

Who Will Benefit Most?

Experts caution that the program may have limited impact for most Americans who already have health insurance. Roughly 90% of U.S. residents are covered by employer-sponsored plans, Medicare, or Medicaid, all of which typically provide negotiated discounts and rebates that lower the effective cost of drugs.

Craig Garthwaite, a professor at Northwestern University’s Kellogg School of Management, said that while TrumpRx could be attractive for the uninsured, it is unlikely to offer better prices for insured patients. “For most patients, they’re certainly better off buying from insurance,” Garthwaite noted.

The primary beneficiaries may be among the estimated 27 million Americans without insurance. Those who have the financial ability to pay for prescriptions out of pocket could see significant discounts through TrumpRx. Pfizer has estimated average savings of 50% on its participating drugs, though the company did not clarify whether those savings are relative to list prices or net prices after rebates.

Example Drug Discounts

According to a White House fact sheet, several well-known Pfizer treatments will be available through TrumpRx at reduced prices:

• Eucrisa, an eczema ointment with a list price of $692 per month, will sell for $162.

• Xeljanz, used for rheumatoid arthritis and other inflammatory diseases, carries a list price of $6,073 for a 30-day supply. It will be discounted by 40% on TrumpRx. While most insured patients already pay $20 or less out-of-pocket for Xeljanz, uninsured patients could benefit from the lower direct price.

• Zavzpret, a nasal spray for migraines, will also be included at a reduced rate.

These examples highlight both the promise and the limitations of the program. Patients without coverage could gain access to high-cost drugs at more manageable prices, while insured patients may see little advantage.

Impact on Medicaid

The administration has framed TrumpRx as a tool to help “vulnerable” patients, including Medicaid enrollees. However, experts note that Medicaid already secures some of the steepest drug discounts available by law, often paying less than any commercial insurer. Federal data shows that rebates reduced Medicaid’s net spending on brand-name drugs by more than 60% in 2020.

As a result, it remains unclear whether Medicaid patients will pay less under TrumpRx than they do under existing arrangements. In many states, Medicaid patients pay nothing out-of-pocket or a small copay of just a few dollars.

What Comes Next

Pfizer is the first company to formally sign on, but other drugmakers, including Eli Lilly, are reportedly in negotiations with the Trump administration. Trump has promised that additional agreements will be announced in the coming weeks.

While TrumpRx has been presented as a signature achievement of his administration’s healthcare policy, questions remain about its long-term impact. Analysts say the program could provide valuable relief to uninsured consumers but is unlikely to substantially alter the landscape of prescription drug costs for most Americans.

Still, with the U.S. continuing to spend more on prescription drugs per capita than nearly any other country, the TrumpRx initiative underscores a growing bipartisan focus on lowering pharmaceutical prices. Whether it becomes a transformative tool or a niche program will likely depend on how many companies ultimately participate and how attractive the discounts are relative to existing insurance coverage.

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