Pharm'Up 
US President Donald J. Trump has delivered a bold ultimatum to 17 leading pharmaceutical companies, including Pfizer, Eli Lilly, Merck, and Johnson & Johnson, demanding they slash drug prices for American consumers within 60 days or face stringent regulatory and trade measures.
In a letter dated July 31, 2025, sent to the CEOs of these firms, Trump insists on compliance with new Most-Favored-Nation (MFN) pricing rules to address the issue of U.S. patients paying up to three times more than those in other developed nations for identical medications. The directive aligns with his Executive Order signed on May 12, 2025, titled Delivering Most-Favored-Nation Prescription Drug Pricing to American Patients, aimed at eliminating global price disparities.
The letter specifies four non-negotiable demands to be met by September 29, 2025:
- Implement MFN pricing for all existing drugs under Medicaid.
- Apply MFN pricing to newly launched drugs for Medicare, Medicaid, and private insurers.
- Redirect excess profits earned overseas to benefit U.S. patients and taxpayers.
- Sell directly to American consumers and businesses at MFN prices, eliminating third-party intermediaries.
Trump warned that failure to comply would prompt his administration to use “every tool available” to enforce the measures, signaling potential regulatory or trade actions.
The pharmaceutical industry has yet to issue a unified response, but analysts anticipate intense debate. Critics warn that such policies could hinder innovation and disrupt global trade, while supporters argue they could deliver significant cost savings to Americans. With the deadline looming, these companies must decide whether to meet Trump’s demands or brace for a contentious political and legal showdown.
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