These medications are part of a list of drugs sold by prescription to Medicaid beneficiaries. “Starting next year, drug prices in the United States will drop dramatically and will soon be the lowest in the developed world,” the president said. To achieve this goal, Trump mentioned that he plans to offer tariff exemptions for at least three years, provided that commitments to keep prices low are met. The list of pharmaceutical manufacturers includes Amgen, Boehringer Ingelheim, Bristol Myers Squibb, Genentech, Gilead Sciences, GSK, Merck, Novartis, and Sanofi, who will offer discounted medications through TrumpRx, the website created for selling drugs at low prices. Furthermore, the medications that will be included in the exemptions are those used to treat chronic diseases such as type 2 diabetes, rheumatoid arthritis, multiple sclerosis, asthma, chronic obstructive pulmonary disease, hepatitis B and C, human immunodeficiency virus, and certain types of cancer.

Previously, drug prices through Medicaid were 30 to 40% higher than costs in other countries. Therefore, these agreements seek to ensure equity in healthcare and dignified access to medicines and medical innovations for Americans, on par with other developed countries.