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Trump Unveils Disputed, Long-Shot Drug Rules Upending System

  • One rule ties Medicare payments to foreign prices
  • Second rule ditches traditional payments to drug liaisons
Donald Trump speaks in the James S. Brady Briefing Room of the White House on Nov. 20.

Donald Trump speaks in the James S. Brady Briefing Room of the White House on Nov. 20.

Photographer: Mandel Ngan/AFP via Getty Images

Updated on

The Trump administration Friday released two contentious drug policies: one that could cut profit margins for pharmaceutical companies and another that would allow them to make smaller payments to their partners.

Both moves culminate four years of presidential threats to companies in the drug supply chain to reduce prices or bow to regulations. It’s not clear how the incoming Biden administration will handle Trump’s legacy. Regardless the move could leave Biden with massive policies to either enact, change, or somehow dismantle. Lowering drug prices was a priority for both Republicans and Democrats before the pandemic hit, and one they vow to return to after the public health emergency ends.