Trump has officially signed an executive order to lower prescription drug prices for Americans. The order has four tenets, which are covered below.
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Here’s What You Need to Know About Trump’s Newest Executive Order
First, the U.S. will make sure that foreign nations do not engage in unfair practices that undercut market prices, which could result in higher prices for U.S. citizens. Next, the Trump administration will communicate reasonable drug price targets with pharmaceutical manufacturers.
The executive order will also help cut out the middlemen in pharmaceutical transactions by establishing a “Most-Favored-Nation” price, helping consumers buy directly from manufacturers. Finally, the Secretary of Health and Human Services will enforce these policies and impose potential punishments as well.
“In case after case, our citizens pay massively higher prices than other nations pay for the same exact pill, from the same factory, effectively subsidizing socialism abroad with skyrocketing prices at home,” said Trump.
Drug stocks are receiving a helping hand from the news with solid gains.
