Trump Administration Adds 15 High-Spend Drugs to Medicare Price Negotiations

The new round includes both oral and physician-administered therapies, with new Medicare prices set to take effect in early 2028.

The Trump administration has added 15 high-profile medicines to Medicare price negotiations under the Inflation Reduction Act (IRA), the Centers for Medicare & Medicaid Services (CMS) announced Tuesday.

The new round includes both oral and physician-administered therapies, with new Medicare prices set to take effect in early 2028.

Drugs slated for first-time negotiations include GSK’s inhaler Anoro Ellipta, Gilead’s HIV therapy Biktarvy, AbbVie’s Botox and Botox Cosmetic, Takeda’s inflammatory bowel disease treatment Entyvio, and Johnson & Johnson’s prostate cancer therapy Erleada.

Other notable medicines on the list are Novartis’ breast cancer drug Kisqali, Eisai’s oncology therapy Lenvima, Lundbeck and Otsuka’s atypical antipsychotic Rexulti, and Eli Lilly’s Trulicity for diabetes and Verzenio for breast cancer. Additional therapies include Xolair (Roche/Novartis) for allergies and chronic hives, and immunology biologics Cosentyx, Cimzia, Orencia, and Xeljanz from Novartis, UCB, Bristol Myers Squibb, and Pfizer.

For the first time under the IRA, CMS will also renegotiate a previously reviewed drug, Tradjenta from Boehringer Ingelheim, a diabetes treatment included in last year’s negotiations.

CMS reported that about 1.8 million Medicare beneficiaries used one or more of these 15 drugs between November 2024 and October 2025. The medicines accounted for approximately $27 billion, or 6% of total Medicare Part B and Part D prescription spending over that period. The list also marks the first Part B drugs—administered in clinical settings rather than pharmacies—subject to IRA-enabled cost reductions.

Drugmakers have until the end of February to confirm participation. The administration’s actions follow earlier IRA-enabled Medicare price cuts that went into effect earlier this year, amid legal challenges from the pharmaceutical industry. Several IRA-related lawsuits are currently progressing through the Supreme Court.

While President Trump continues to advocate for his “most favored nation” pricing system, the IRA-based negotiations remain in effect, aiming to provide Medicare beneficiaries with lower-cost access to high-spend therapies.

Stay tuned for more such updates on Digital Health News