Trump v. Pharma: a “Kinda Sorta” War
July 31, 2020
Politico summarizes Trump’s “kinda sorta” war with pharma, kicked off last week with presidential tweets about “nasty” drug ads that “lied” about the impact of his pricing executive orders on senior’s drug premiums and the price of prescription drugs. It’s unclear exactly which drug ads he was referring to in his tweets. The National Association of Manufacturers launched a six-figure campaign Friday aimed at the favored nations rule and importation rules. Elsewhere, the Pharmaceutical Care Management Association has advertised on Fox programs against the rebate rule.
Politico reports that industry sources say they are not keen to attend a meeting about an order or rule that has not been released yet.
Drugmakers seem to be letting this roll off their backs. “It’s not a factor to alarm us at the moment,” said Sanofi CEO Paul Hudson in second-quarter earnings call Wednesday, speculating that the most favored nations rule wouldn’t happen this year but said, “we just need more detail.” Pfizer’s CEO Bourla agreed that there was not a need for White House meetings right now.
But what is the status of the rule to eliminate rebates in Medicare Part D plans? Some note that a draft was already released and a final rule went to White House budget officials last summer. But, the government officially withdrew that rule last July, meaning it would need to be formally reintroduced and begin its process — draft proposal, 60-day comment period, etc. — all over again. It will also need to be significantly reworked to address the major condition, set out in Trump’s order, that any plan cannot raise premiums or out-of-pocket spending.
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(Source: Ohermohle S, Politico Prescription Pulse, July 31, 2020)
