President Donald Trump has unveiled a sweeping new initiative with pharmaceutical giant Pfizer aimed at cutting prescription drug costs for millions of Americans.
The programme, known as TrumpRx, will launch in early 2026 and allow patients to purchase medications directly from manufacturers at discounted rates. Under the agreement, Pfizer has pledged to slash prices on select medicines by up to 85% while aligning US drug prices with those in other developed countries through a Most-Favoured-Nation (MFN) pricing model.
In return, Pfizer will receive a three-year exemption from tariffs on imported drugs and has committed to invest $70 billion (£52.08 billion) in US-based research, development and manufacturing.
What Is TrumpRx?
TrumpRx is a government-backed online platform set to debut in 2026 at TrumpRx.gov. The site will serve as a central hub for Americans — particularly uninsured and underinsured patients — to access discounted medications.
According to the White House, the initiative is designed to end what Trump has described as a system where 'foreign nations can no longer use price controls to freeride on American innovation'.
Pfizer's Commitments
Pfizer will offer deep discounts on a range of medications including Eucrisa, Xeljanz, and Zavzpret, with reductions between 40% and 85%. The company will also apply MFN pricing to all new drugs, ensuring US patients pay the same or less than those in other developed nations.
A White House statement confirmed: 'The agreement will provide every State Medicaid program in the country access to MFN drug prices on Pfizer products, resulting in many millions of dollars in savings.'
Examples outlined in the press release include:
- Eucrisa, an atopic dermatitis ointment, at 80% off list price.
- Xeljanz, a treatment for rheumatoid arthritis and colitis, at 40% off.
- Zavzpret, a migraine therapy, at 50% off.
Pfizer said the certainty provided by the deal would allow it to expand investment in innovation and bring manufacturing back to the US.
Ending Global Price Gaps
TrumpRx is being billed as a major shift in US pharmaceutical policy. The White House noted that Americans pay 'more than three times the price other OECD nations pay for brand-name drugs, even after discounts', with US taxpayers effectively subsidising lower prices abroad.
'In case after case, our citizens pay massively higher prices than other nations pay for the same exact pill, from the same factory, effectively subsidising socialism abroad with skyrocketing prices at home,' Trump said in remarks quoted in the press release.
Industry Reactions and Outlook
The announcement has prompted mixed reactions across the pharmaceutical sector. Some drugmakers have expressed interest in similar partnerships, while others raised concerns about the long-term impact on revenues.
Analysts say the success of TrumpRx will hinge on participation from additional companies beyond Pfizer, and on whether the MFN model proves sustainable. For now, Trump is framing the deal as proof of delivering on a campaign pledge to lower drug costs.
'President Trump is delivering on promises for American patients that the political establishment did not believe were possible,' the White House said, adding that the deal covers over 100 million patients treated with Pfizer medicines.
