Trump, Pfizer announces the agreement to reduce the US medicinal product prices
US President Donald Trump announced on September 30, 2025 in Washington, DC, a contract with Pfizer to reduce medication prices for medication in the Oval Office of the White House.
Win McNamee | Getty pictures
President Donald Trump has announced an agreement on Tuesday Pfizer In order to voluntarily sell his medication for less, since his administration urges the US drug prices to combine with cheaper abroad.
Pfizer has agreed to take measures to reduce US drug prices, including the sale of its existing medication to medical patients at the lowest price in other industrialized nations or what Trump describes the most suitable prize, according to the President. Pfizer also guarantees the same prices for “most added nations” for its new medication for Medicare, Medicaid and trading payers.
As part of the deal, Pfizer also approved a period of three years in which the company’s products are not exposed to pharmaceutically specific tariffs. The company plans to invest 70 billion US dollars in the production and research institutions for domestic medicines.
Pfizer’s shares rose by more than 4%on Tuesday after the announcement.
“Pfizer has agreed to provide our consumers some of the most popular current drugs at a much reduced prices between 50% and even 100%,” said Trump, adding that these medication are available for direct purchase online on a website. The administration calls Trumprx.gov.
Trump said he was working with other drug makers to make similar agreements in the next week and added that Pfizer was the first.
“If we don’t finish a deal, we will label them,” he said about the drugs of the other companies.
The deal comes when Pfizer and 16 other drug manufacturers are exposed to Trump’s Monday period to take steps to reduce drug prices, as stated in letters from the President. Trump signed an executive regulation in May that repeated a controversial plan to combine the “most preferred nation” policy, which aims to connect the prices of some medication in the United States to the significantly lower abroad.
During the press conference, Albert Bourla, CEO von Pfizer, said the company all four inquiries that Trump outlined in his letter. For the other steps, there is a persecution of harder price negotiations abroad and the introduction of models that sell its medication directly to consumers or companies.
“The big winner will clearly be the American patients, there is no doubt,” said Bourla. “They are those who have a significant impact on their ability to buy medication.” But he said “American innovation and the American economy” will also be “winner” with the agreement.
Pfizer’s reduced drugs
Pfizer said that, according to a publication of the company, a large proportion of its treatments for provision and certain medication with special brands with discounts of 50% and up to 85%.
In a separate explanation on Tuesday, Pfizer said that more than 100 million patients are affected by diseases that treat these medication, such as migraines, rheumatoid arthritis, menopause and atopic dermatitis.
The company provided examples of reduced medicines at Trumprx.gov. Duavee, treatment for certain symptoms of menopause, will be available on the website for only 30 US dollars, which corresponds to a discount of 85% at the current price.
Patients can also only pay $ 162 $ 80% against the current price-for-eucrisa of the prescription ointment that is used to treat light to moderate eczema. Tovias, a medication for an overactive bladder, will also be available for trumprx.gov for only 42 US dollars, which corresponds to a discount of 85% at the current price.
Pfizer also said that it is planning to offer products such as Abrilada for autoimmune diseases with a 60% discount, Xeljanz for rheumatoid arthritis with a discount of 40% and the Migraine medication ZAZV interpretation with a 50% discount.
These drugs do not seem to be significant income drivers for Pfizer. The company’s quarterly and year-olds only include profit reports for Xeljanz, which generated sales of $ 349 million worldwide in 2024. The turnover of the drug fell from 2023 primarily due to the global lower demand and lower net prices in the USA in the operation of 29%.
The deal comes when drug manufacturers prepare Trump’s planned tariffs for pharmaceuticals imported into the country. In a social post of truth on Thursday, Trump said that the United States will impose a 100% tariff “any brand or patented pharmaceutical product” from October 1.
The measure does not apply to companies that build drug manufacturing systems in the USA, said Trump. He added that the exception covers projects where the construction started, including locations that have broken the ground or are under construction.
In a note on Tuesday, the BMO Capital Markets Analyst Evan Seogerman said that the deal was positive for Pfizer’s shares and the broader pharmaceutical sector, since this “adds the certainty and the potus guidelines may be removed from pharmacy”.
“Today’s deal seems to create a way for other pharmaceutical actors who enable themselves with heading prices and a Trump victory without criminal implementation of the most preferred nation policy or tariffs, he added.
