By Fineline Cube 
U.S. President Donald J. Trump has signed an executive order aimed at aligning prescription drug prices paid by Americans and taxpayers with those in comparably developed countries. The order highlights the global pricing imbalance where the U.S., representing less than 5% of the world’s population, funds around three quarters of global pharmaceutical profits.
Executive Order Details
The executive order addresses the “unreasonable and unsustainable” disparity created by drug manufacturers who lower prices in foreign markets to secure access and offset losses through high pricing in the U.S. It states that Americans should not subsidize low-cost prescription drugs in other developed countries while facing overcharges domestically. The administration aims to end “global freeloading” and warns of “additional aggressive action” if manufacturers fail to provide U.S. consumers with the most-favored-nation (MFN) lowest price.
Implementation Steps
Within 30 days, the Secretary of Health and Human Services (HHS), in coordination with relevant officials, is to communicate MFN price targets to drugmakers. If significant progress is not achieved within 180 days, the administration will develop a regulatory plan to mandate MFN pricing to the extent consistent with law. The administration will also evaluate certifying to Congress that implementing Section 804(j) of the Federal Food, Drug, and Cosmetic Act (FDCA), which allows drug importation, poses no additional risk to public health and safety and would result in a significant reduction in prescription drug costs for American consumers.-Fineline Info & Tech
SOURCE: https://www.whitehouse.gov/presidential-actions/2025/05/delivering-most-favored-nation-prescription-drug-pricing-to-american-patients/