Johnson & Johnson Joins Pharmaceutical Price-Cut Initiative, Secures Tariff Exemption Through Agreement with Trump Administration

SmartCom Finance APP learned that Johnson & Johnson (JNJ.US) stated on Thursday that it had reached an agreement with the Trump administration of the U.S. President to reduce drug prices in the United States in exchange for U.S. tariff exemptions. Johnson & Johnson is the latest pharmaceutical company to reach a price reduction agreement with the new administration, following companies such as GSK (GSK.US), Merck (MRK.US), and Novartis (NVS.US).

Trump wrote to 17 pharmaceutical companies in July, urging them to significantly reduce drug prices. Pfizer (PFE.US) and AstraZeneca (AZN.US) were the first to reach agreements, agreeing to lower prescription drug prices in exchange for tariff reductions. In November, Eli Lilly (LLY.US) and Novo Nordisk (NVO.US) reached agreements to substantially reduce the prices of commonly used GLP-1 weight-loss drugs for Medicare, Medicaid, and self-paying patients in the U.S.