Pharma Giants Halt European Drug Launches Amid U.S. Pricing Pressure
Pharmaceutical companies are delaying new drug launches in Europe due to U.S. pricing pressures and policy shifts under Trump. The decision aims to maintain higher U.S. prices by avoiding lower European prices. This strategic pause has complicated drug distribution plans and affected global pricing strategies.
Pharmaceutical companies have slowed the release of new medicines in Europe as a result of price policy shifts and pressure from the U.S. administration led by President Donald Trump, according to industry insiders.
The U.S. traditionally pays more for prescriptions than other affluent countries, prompting Trump's administration to push for linking American drug prices to those in Europe—a policy known as 'most-favoured-nation' pricing. Consequently, drugmakers are hesitant to introduce new products in Europe, fearing it could adversely affect U.S. market prices.
Since international reference pricing was introduced in May, the rollout of new drugs in Europe dropped by approximately 35%, as per GlobalData. This delay helps sustain higher prices in the U.S., but complicates relations with European health policymakers and affects patients awaiting new treatments.
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