Feds, Pharma Companies Strike Deal for Low Cost GLP-1 Medications

Some highlights of the deal include: injectable GLP-1s like Ozempic and Wegovy will be available via the government’s new TrumpRx purchasing platform at $350 per month, down from $1,000–$1,350 per month; if approved, oral GLP-1 tablets (like Eli Lilly’s orforglipron) will launch at around $149 per month through TrumpRx; and, for Medicare beneficiaries, drugs like Wegovy and Zepbound will be covered for obesity under certain conditions and beneficiaries will pay just $50 per month in co-pays. In addition to GLP-1 products, Eli Lilly will offer its Trulicity diabetes drug at $389 per month, and Novo Nordisk will price its insulin products (like NovoLog and Tresiba) at $35 per month.

The companies are also pledging to repatriate foreign revenues and guarantee MFN pricing on all future (and some existing) products, giving state Medicaid programs access to these lower, globally competitive drug costs. To support this effort, both companies are making significant U.S.-based investments. Novo Nordisk has committed to invest $10 billion to expand domestic production, including building capacity for a future Wegovy tablet, and Eli Lilly has committed $27 billion to U.S. manufacturing infrastructure.

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