The Consumer Choice Center strongly opposes the Trump administration’s executive order to impose drug price controls through a Most Favored Nation (MFN) pricing scheme, warning that it threatens future innovation and patient access to life-saving treatments.
The MFN model, which ties U.S. drug prices to those set by foreign governments, undermines American leadership in pharmaceutical innovation by importing the price-setting policies of countries with socialized healthcare systems. While the intention may be to lower drug costs, the reality is far more dangerous, says the Consumer Choice Center.
Fred Roeder, health economist and Managing Director of the Consumer Choice Center, issued the following statement:
“The Most Favored Nation scheme may sound fair on paper, but in practice it will disincentivize innovation, drive research and manufacturing overseas, and ultimately result in fewer new treatments for American patients. This policy risks turning back the clock on decades of medical progress.”
“In 1965, the five-year cancer survival rate was just 39%. Today, it’s nearly 70%, thanks to innovations like immuno-therapy. If we had relied on the drugs of the past, millions wouldn’t be alive today. MFN risks freezing progress and denying future patients the breakthroughs they’ll desperately need. In 2085, patients deserve better than the medicines of 2025. MFN threatens that future.”
Roeder emphasized that patients must remain at the center of healthcare policy:
“Most Favored Nation pricing may save pennies today, but it will cost lives tomorrow—especially for patients still waiting for a cure.
Health policies must deliver for patients. Price controls that force companies to sell at unsustainable rates will result in shortages, delayed access to the newest drugs, and reduced investment in cutting-edge therapies. The U.S. currently leads the world in pharmaceutical innovation—two-thirds of new medicines are developed here. That leadership is not guaranteed if we undermine the economic model that supports it.”
Instead of adopting flawed foreign policies, the CCC urges lawmakers to focus on smarter, patient-centered reforms that address inefficiencies, reduce middleman markups, and preserve America’s innovation ecosystem.
