Trump to Sign Executive Order Slashing Drug Prices by Up to 80% Using Global Benchmarking

In a major move aimed at slashing prescription drug costs, President Donald J. Trump is scheduled to sign an executive order on Monday, May 12 at 9:00 a.m. in the White House, reinstating a “Most Favored Nation” (MFN) pricing model to reduce the amount Medicare pays for certain medications. Announced via a Truth Social post on Sunday, May 11, Trump described the forthcoming executive order as “one of the most consequential Executive Orders in our Country’s history,” claiming it would cut drug prices by 30% to 80% “almost immediately.” The announcement revives a policy originally introduced during his first term, which was halted by federal courts and later rescinded by the Biden administration. The executive order directs the Department of Health and Human Services (HHS) to tie Medicare Part B drug reimbursements to the lowest prices paid by other high-income countries, a strategy known as international reference pricing. This includes injectable drugs and treatments like cancer infu...