Why Donald Trump Has Announced a Major Price Cut for Ozempic and Wegovy

President Donald Trump said his administration has reached a deal to lower the cost of the blockbuster GLP-1s Wegovy and Zepbound, a move that could significantly expand access to the wildly popular weight loss drugs. Under the deal, the monthly out-of-pocket cost of these could range from $50 to around $350, depending on the dosage. At present, Eli Lilly's Zepbound and Novo Nordisk's Wegovy are both above $1,000 a month – even though both companies have introduced lower cost options for patients who are paying in cash and purchasing the drugs directly through their websites. Mostly, those with insurance coverage do pay much less than the list price. But many insurers do not cover them. According to experts, millions across the United States

struggle to have access to the medicines, even though it is not clear who would benefit, since some of these are covered for Medicare patients with certain medical conditions. The new costs, as it remains, are high for many patients.

Prescription drug costs are going down

During a briefing at the White House, Trump said Medicare “will finally cover the cost of the weight loss drugs for millions of patients suffering from obesity.” According to NBC News, which quoted senior officials, on TrumpRx — the federal discount platform that helps you buy prescription drugs with cash – the monthly cost for Wegovy and Zepbound will start at $350 and drop to $250 within the next two years. Medicare and Medicaid cover GLP-1 drugs for diabetes and some other medical conditions, including Ozempic and Zepbound. The government will pay the price of these drugs to the drugmakers who have voluntarily agreed to reduce the prices to $245 a month across all non-starting doses. People on Medicare will pay no more than a $50 copay, who typically do not pay a copay. Both drugmakers are expected to get relief from pharmaceutical tariffs for three years. "Lilly is in a unique position to work with the US government to rebalance the global system, expand access and lower costs for Americans," David Ricks, Eli Lilly's chief executive, said in a statement. Since July, Trump has been pressuring pharmaceutical firms to lower drug prices. He sent letters to 17 drug companies in the summer, giving them 60 days to respond to his demands for lower prices. Pfizer was the first major drug maker to reach a deal with Trump, slashing prices for some medicines by up to 85 per cent on the TrumpRx site. Pfizer also agreed to lower prescription drug prices for Medicaid. AstraZeneca and EMD Serono have also reached deals with the administration in recent weeks.