Drug-Price Deal: AstraZeneca and U.S. Steps to Lower Costs

On October 10, 2025, President Donald Trump announced that AstraZeneca has agreed to lower some drug prices in the United States. The company has committed to offer many medicines to the Medicaid program at most-favoured-nation prices. The administration used the threat of tariffs to press companies, and AstraZeneca met the requests while agreeing to expand U.S. production.

A three-year exemption from new import tariffs was offered in return for AstraZeneca’s commitments. The company said it will increase investment in American manufacturing and expand a Virginia plant to $4.5 billion. AstraZeneca has also pledged a broader $50 billion U.S. investment by 2030 and will list medicines on the TrumpRx website. Pfizer had made a similar deal earlier.

Some analysts have warned that the policy will not change out-of-pocket costs for many people with private insurance or Medicare, because the new pricing mainly affects Medicaid. The White House said the TrumpRx site will begin in January 2026 to let consumers buy drugs directly from manufacturers.