Unlock the White House watch newsletter for free
Trump’s second term is a guide to Washington, Business and the meaning for the world
One of the world’s largest generic pharmaceutical managers urged Donald Trump to resolve the “lazy patent expansion” to reduce the US pharmaceutical legislation to reduce Americans’ medical prices.
Richard Saynor, the chief executive of Sandoz, Switzerland, supported the intention of the “most preferred country” policy of the administration’s “most preferred country” policy to reduce prescription drug prices in other wealthy countries, but said that more focus is on the difficulties of general drugs that make up 90 %used in the United States.
Generic drugs produced after the expiration of patents are generally about 80 % cheaper than the brand version. Due to the concentration of buyers, the cost of general medicines is less than many European countries, which leads to a lack of drug producers.
Saynor has doubled the number of patents submitted to protect intellectual property for the past decade, causing a long and dangerous court battle for generic manufacturers that delay the availability of cheaper products, Saynor said.
“At present, there is little danger to the“ eternal ”primitive products that minor the drug to secure a new patent.” If you are an innovator, you are being rewarded for making it more difficult and harder. And the (patent) office is not compensated for the cancellation of the patent. They pay the cost of submission. Again, you have a system that rewards more and more patents. ”
Trump said last week that he plans to reduce the drug “almost 30 % to 80 %”. According to a study by Rand Healthcare, the United States paid about 3.2 times more for brand drugs than other developed countries in 2022.
Trump has signed an administrative order to grant the target price to the pharmaceutical manufacturer and cut the brokers so that the patient can buy the medicine directly. He also said the US Trade Representative and the Commerce Department should investigate countries that only allow market access after significant price discounts.
The administration has not yet planned a big change in the generic market in the US. However, as part of the so -called section 232 probe, the tariffs on the constraints, which are being investigated as part of the so -called section 232 probe on whether imports threaten national security, will hit the most difficult generic industry because they have the most difficult margins in the generic industry and often rely on manufacturing in India.
The SAYNOR gave the administration a six -month generic version after launching a generic drug, which helps to compensate for legal risks.
He created a so -called accredited generic to capture this benefit for brand pharmaceuticals, and used “patent bushes” to create a “very expensive and complex process that brings products to the market.”
SAYNOR also criticized the rebate system that raises the total price in the United States because many intermediaries, known as pharmacy benefits, benefit from the discount system. He said the United States had a “distortion effect” at the price of “addicted to rebates.”
Many essential medicines, such as antibiotics and anesthetics, are common. Saynor said it is important to talk about “sustainability of supply.” “We sell antibiotics that are cheaper than M & M packets,” he added. “It’s unpleasant.”
