The Globe and Mail reports in its Saturday, Aug. 2, edition that the White House has sent letters to 17 major pharmaceutical companies, demanding they raise drug prices in other countries and use the revenue to lower prices in the U.S. within 60 days. The Globe's Chris Hannay writes that the letters argue that other countries are "freeloading" off the U.S., where drug prices are, on average, three times higher. The Trump administration insists that drug companies must provide U.S. Medicaid patients with the lowest comparable international price and will support international price increases as long as the revenue is reinvested to lower prices for American patients. This follows an executive order from May requiring most favoured nation pricing within 30 days. The White House said the letters were sent to AbbVie, Amgen, AstraZeneca, Boehringer Ingelheim, Bristol, Myers Industries, Squibb, Eli Lilly, EMD Serono, Genentech, Gilead, GSK, Johnson & Johnson, Merck, Novartis, Novo Nordisk, Pfizer, Regeneron and Sanofi. The Pharmaceutical Research and Manufacturers of America criticized the most favoured nation policy as "importing foreign price controls," though it supported the broader goal of raising prices elsewhere.
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