Biden announces first 10 drugs selected for Medicare price negotiation

The Biden administration announces the first 10 prescription drugs selected for direct price negotiation under Medicare's new authority established by the Inflation Reduction Act, marking the first time in US history that the federal government can directly negotiate drug prices with pharmaceutical companies. The selected drugs include Eliquis, Jardiance, Xarelto, Januvia, Farxiga, Entresto, Enbrel, Imbruvica, Stelara, and Fiasp/NovoLog insulin products. Together these drugs account for approximately $50 billion in annual Medicare spending. PhRMA and several drug companies immediately sue to block the program, arguing it amounts to unconstitutional price controls. The new prices are set to take effect in 2026.