Summary
President Trump plans to sign an executive order aimed at reducing medication costs for Medicare by implementing a “Most Favored Nation’s Policy,” which ties U.S. drug prices to the lowest prices paid by other countries. This proposal, which targets drugs administered in doctors’ offices, faced obstacles during Trump’s first term due to legal challenges and was abandoned by the Biden administration. The pharmaceutical industry opposes the policy, arguing it could harm innovation and profits, while Trump claims it could save the government trillions of dollars.