Medicare drug price negotiations may have a muted impact on drugmakers in the near term

CNBC August 30, 2023
Annika Kim Constantino

Key Points

– Medicare is set to negotiate prices for 10 different drugs with manufacturers in a bid to make those costly treatments more affordable for older Americans.

– But analysts say the drug price talks will likely have a muted financial impact on manufacturers, at least in the near term.

– That’s because other factors are already expected to weigh on the revenue and profits of the drugs on the list, which could minimize any negative impact from lower negotiated prices.

Medicare is set to negotiate prices for 10 different drugs with manufacturers in a bid to make those costly treatments more affordable for older Americans – a process the pharmaceutical industry fiercely opposes.

But analysts say the...

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