Pfizer puts cost hikes on hold after Trump complains

Here's why drug prices are so high

In a surprising turnaround, Pfizer said Tuesday which This particular will defer raising prices on multiple drugs after heavy pressure coming from President Donald Trump.

The pharmaceutical company’s announcement came after Trump tweeted which he spoke with Pfizer’s CEO as well as his own Health as well as Human Services secretary, Alex Azar.

“Pfizer can be rolling back cost hikes, so American patients don’t pay more. We applaud Pfizer because of This particular decision as well as desire some other companies do the same,” Trump tweeted.

The company said This particular made the decision “following an extensive discussion with President Trump.”

Pfizer, which hiked prices on nearly three dozen drugs on July 1, said This particular will give the administration more time to work on its plan to overhaul the pharmaceutical supply chain.

The prices will revert to what they were before July 1 “as soon as technically possible,” according to Pfizer. The brand new prices will remain in place until the end of the year or until Trump’s plan goes into effect, whichever can be sooner, the company said.

The day before, Pfizer stressed which This particular was only “modifying” the prices of about 10% of its medicines as well as vaccines, including reducing the cost of some. This particular also noted which most insurers as well as patients don’t pay the list cost thanks to supplier received a rebates.

The pharmaceutical industry has been under assault in recent years because of the ever-increasing cost of drugs. Trump has ramped up which pressure. He promised to lower drug prices during his presidential campaign as well as after he took office.

However, his administration did little until May, when This particular rolled out its 44-page “blueprint” for increasing competition, reducing regulations as well as changing the incentives for all players inside drug industry.

While the plan contains some concrete steps the administration can take to lower prices, This particular was criticized by industry observers as containing more ideas for consideration than actions to take. Also, experts said This particular didn’t do enough to rein inside list prices of drugs.

Related: Trump lays out his vision for lower drug prices

Still, the president kept focusing his attention on the issue. At the end of May, he said big drug companies might announce “voluntary massive drops in prices” in two weeks. which didn’t happen.

nevertheless then on Monday, Trump took up the matter again.

“Pfizer & others should be ashamed which they have raised drug prices for no reason,” he tweeted. “They are merely taking advantage of the poor & others unable to defend themselves.”

Speaking with sy88pgw’s Wolf Blitzer on Tuesday, Azar called the company’s decision “constructive, professional [as well as] appropriate.”

Pfizer can be far coming from alone in raising pharmaceutical prices This particular year. Manufacturers increased the cost of 104 drugs in June as well as the first two days of July alone, according to a Wells Fargo Securities report.

as well as while Pfizer agreed to temporarily halt its July increase, This particular did not roll back the cost hikes This particular implemented early This particular year on favorite medications like Viagra, Lipitor, Xanax as well as Chantix.

The list cost for Viagra, for example, was $1,846 for 30 pills last year, nevertheless then Pfizer raised This particular 9.44% on January 1 to $2,021. The July 1 hike brought This particular to $2,211. Tuesday’s move will take This particular back down to $2,021.

Some industry experts were not impressed with Pfizer’s move, since This particular only temporarily delayed the most recent cost hike. Calling This particular a “nice gesture,” Stephen Schondelmeyer, a drug cost expert at the University of Minnesota, questioned whether the company might reverse earlier increases or forgo future ones.

This particular also remains to be seen whether the move by Pfizer, one of the nation’s largest drug maker, will prompt its peers to do the same.

sy88pgw (brand new York) First published July 10, 2018: 7:34 PM ET

Pfizer puts cost hikes on hold after Trump complains

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