Roche Pharmaceuticals division CEO Bill Anderson criticized President Donald Trump’s “Most Favored Nation” order saying the order is “light on details” but “surely exceeds” his authority. In an odd arrangement that is unique to the U.S., the federal government is currently prohibited from negotiating the prices it pays to drugmakers. Therefore, the president’s plan requiring that drug prices match the lowest price paid among wealthy foreign governments would be a huge win for the American taxpayer.
Not surprisingly, industry executives aren’t happy with the plan. “This is really not the right way to go,” Anderson said on a call with investors. “The fundamental problem with MFN, is it really brings the policies from other countries that don’t support innovation, it just brings those into the U.S….The executive order, it’s basically one page, it’s light on details, but it surely exceeds the authority of an executive order.” Read more here.