On September 30, the Trump administration announced a deal with major pharmaceutical company Pfizer, making the company the first to respond out of seventeen which received letters from Trump that demanded them to reduce drug prices.
Just as Trump utilized COVID-19 relief to promote himself via checks with his signature, the discounted medicine, cut by as much as 85% in cost, will be available on the TrumpRx website. Pfizer also announced that it would invest $70 billion in “manufacturing, research and development.”
Depending on how insurance companies respond, the prices may remain the same, or go down by a relatively small margin. This direct involvement in pricing comes despite Trump portraying himself as a free-market capitalist. It also remains to be seen if the price cuts can sustain changes in management at Pfizer, or if Pfizer will maintain the price cuts following Trump’s second term.
Following the announcement, Pfizer stocks increased by about 7% in value. Trump has invested in Pfizer as of summer 2024.
