Pfizer would lower drug prices

Pfizer will roll back drug prices after discussion with Trump

By DAN DIAMOND

President Donald Trump today announced Pfizer would lower drug prices, although the pharma giant later clarified it would only temporarily roll back price hikes that went into effect July 1.

"Just talked with Pfizer CEO and @SecAzar on our drug pricing blueprint," Trump tweeted at 6:37 p.m. "Pfizer is rolling back price hikes, so American patients don’t pay more. We applaud Pfizer for this decision and hope other companies do the same. Great news for the American people!"

Pfizer, in a statement released after the president's tweet, said its Chairman and CEO Ian Read discussed drug prices with Trump on Tuesday, about a week after price hikes on dozens of the company's drugs took effect. According to Pfizer, the company will cancel those price increases to give the president an opportunity to work on his administration's broader effort to overhaul drug prices.

"The company will return these prices to their pre-July 1 levels as soon as technically possible, and the prices will remain in effect until the earlier of when the president’s blueprint goes into effect or the end of the year — whichever is sooner," Pfizer said.

A company spokesperson said Pfizer would not comment further.

HHS Secretary Alex Azar said on CNN that Pfizer's move shows "a constructive, professional [and] appropriate approach by Pfizer in interacting with the government and the president to be part of the solution here and not part of the problem." The HHS secretary later issued a statement that he looks forward to working with companies that "want to work with us to lower list prices and reduce out-of-pocket costs."

Trump in May had vowed that drugmakers would soon announce “massive” price cuts, and his administration rolled out a plan to bring down the cost of medicines. But the companies appeared to disregard the president's pledge and announced dozens of price hikes in the past few weeks alone. Celgene on Thursday announced that it would raise the price of cancer drug Revlimid by 5 percent, meaning that the drug's cost has increased nearly 25 percent in the past 18 months.