The Trump administration negotiated lower prices on 15 costly drugs under Medicare, including Ozempic and Wegovy.
The Centers for Medicare & Medicaid Services (CMS) said that the government will pay $274 for a 30-day supply of Ozempic and Wegovy, down from $959 previously, a discount of about 71%. The negotiated prices reflect what Medicare will pay manufacturers, not the direct patient cost. The price cuts will go into effect in 2027.
These reductions come as part of Medicare’s drug price negotiation program, aiming to make these medications more affordable for seniors and taxpayers, with expected savings of $12 billion for taxpayers.
“Whether through the Inflation Reduction Act or President Trump’s Most Favored Nation policy, this is what serious, fair, and disciplined negotiation looks like,” commented CMS Deputy Administrator and Medicare Director Chris Klomp.
These cost cuts were anticipated after Trump’s landmark drug-pricing deal with Novo (NVO) and Eli Lilly (LLY) announced at the White House earlier this month.