Unraveling the Secrets Behind Trump's New Weight-Loss Drug Prices

US President Donald Trump has taken a bold step towards making popular weight-loss drugs more affordable, unveiling new deals that promise to lower costs significantly. During a recent announcement at the White House, Trump, flanked by executives from Eli Lilly and Novo Nordisk, detailed agreements that will bring the prices of obesity treatments like Wegovy and Zepbound down to between $245 and $350 per month.

Currently, many GLP-1 drugs—critical for managing both diabetes and obesity—cost over $1,000 a month without insurance. The contracts will broaden access to these medications for Medicare and Medicaid beneficiaries, with senior officials estimating that 10% of Medicare recipients will see reduced prices, paying only $50 a month for these essential therapies. For those in Medicaid, changes will roll out as states express interest in participating, allowing more individuals to benefit from these prices.

Additionally, Eli Lilly will avoid tariffs for three years as part of their agreement, which reflects a broader administration goal of achieving ”most-favoured nations” pricing, tying US drug prices to those lower costs found abroad.

The initiative also includes the launch of TrumpRx, a government-run website where consumers can purchase these weight-loss medications. Initial prices on TrumpRx are forecasted to star at $350, with an anticipated drop to $250 within the next two years. Notably, prices for well-known drugs like Ozempic, Mounjaro, and others will begin at $245 under Medicare.

In particular, Eli Lilly’s orforglipron will be marketed at $149 for the lowest dose, while Zepbound will start at $299. However, these prices are contingent upon approval from the Food and Drug Administration (FDA).

Health Secretary Robert F. Kennedy Jr. emphasized the significance of these agreements, denoting obesity as ”the number one driver of chronic disease” in the US, and acknowledged that, while these drugs can substantially aid many, ”it’s not a panacea it’s not a silver bullet”—diet and exercise remain crucial.

Trump’s firm stance on healthcare affordability has been evident for months, culminating in urgent letters sent to 17 drug companies this summer demanding reductions in prices. Prior successful negotiations include an 85% price cut on some medications through Pfizer and agreements with other pharmaceutical giants like AstraZeneca and EMD Serono.

This comprehensive shift not only underscores the administration’s strategy for drug pricing but also reflects a substantial effort to reshape how weight-loss treatments are perceived and accessed by everyday Americans.