SCOOP: Why new biotech investments and lower drug costs are “major wins for Republicans and President Trump”
While Democrats are shutting down the government, President Trump scored major health care wins for American companies and consumers.
Two significant developments from this week underscore how Republican economic policies under President Donald J. Trump are driving biopharmaceutical investment, jobs, and lower prescription drug costs for Americans.
First, PhRMA — the trade association that represents pharmaceutical manufacturers — released a report showing a surge in biopharmaceutical investment, driven by Republican policies. Stephen Ubl, the CEO, wrote how pharmaceutical companies are “delivering $500 billion in new U.S.-based manufacturing and infrastructure investment, injecting an estimated $1.2 trillion into the economy.”
“For more than 40 years, the U.S. has led the world in biopharmaceutical innovation—delivering lifesaving treatments and supporting millions of American jobs,” Stephen J. Ubl, the president and CEO of PhRMA, said. “We’re building on that legacy and answering President Trump’s call to put America first by strengthening America’s leadership, improving access for patients and supporting good-paying jobs.”
One Hill GOP source said that the Washington Reporter that the announcement was “good for PhRMA. President Trump demanded lower drug costs and the trade association is delivering. What a contrast between how President Trump works with industry to actually deliver lower costs, and Joe Biden’s idiotic pill penalty scheme that took away cancer drugs from seniors.”
Part of the half-trillion-dollar announcement includes a commitment to U.S. infrastructure that promises revitalized communities and thousands of new jobs — not in Beijing or New Delhi, but in Michigan, Ohio, and Pennsylvania. The trade group, considered one of Washington’s most powerful, said its “member companies’ direct investments create a ripple effect, leading to indirect benefits for local economies by driving demand for goods and services, childcare, education, recreational activities, and more.”
The group will also provide ten million Americans with financial assistance to help cover the cost of copays and high deductibles. PhRMA cited a recent member company survey found they help 10 million patients annually through patient assistance and co-pay support programs where patients can get their medicine for free, nearly free or receive financial support to cover burdensome cost-sharing requirements.
PhRMA also announced an easy-to-use website — AmericasMedicines.com — to help people buy lower-priced medications directly from manufacturers breaks the back of an opaque pricing system. The group pointed to pharmacy benefit managers (PBMs) receiving massive rebates on medicines while charging patients full price as a major reason for hikes in medicine prices. The new website plans to launch in January 2026.
These investments fuel advancements in gene therapies, cancer treatments, and vaccines, with companies expanding U.S. facilities. Amgen, for example, recently announced a $650 million investment in the U.S., leading to praise from Hill sources for Amgen’s CEO, Robert Bradway. PhRMA attributes this growth to a “pro-innovation policy environment” that strengthens America’s leadership in healthcare.
Second, President Trump and Pfizer CEO Albert Bourla announced a new program allowing consumers to buy Pfizer medications directly via a “TrumpRx” website, bypassing insurance markups and pharmacy benefit manager (PBM) pricing schemes. The initiative offers up to 85 percent discounts on primary care and specialty drugs. This direct approach ensures patients access affordable drugs with minimal red tape.
“President Trump is leveraging the power of the federal government to drastically cut drug prices for everyday Americans,” White House spokesman Kush Desai said of the deal. “Democrats talked the talk for decades about drug prices, but only President Trump is actually walking the walk.”
This Pfizer initiative deals a significant blow to pharmacy benefit managers (PBMs), particularly CVS, whose PBM business model is based on complex rebate systems. By enabling direct sales, TrumpRx reduces PBMs’ role. This aligns with Republican efforts to streamline healthcare pricing, ensuring savings reach consumers directly, which has been a major priority for Congressional Republicans including Sen. Chuck Grassley (R., Iowa).
A source close to the White House told the Reporter that “President Trump demanded that pharmaceutical companies step up, and credit where due, they stepped up big with investments and lower drug costs. These are major wins for Republicans and President Trump ”
A Senate Republican source added to the Reporter that “this is a huge win for seniors and Republicans going into the midterms. The only losers are the PBMs; now there’s even more of a reason to fix the PBM glitch in an end-of-year package that stops the convoluted pricing that comes between consumers and drug makers.”
These achievements demonstrate the success of Republican policies in boosting economic growth and healthcare affordability. With biotech thriving and drug prices falling, Americans are reaping the benefits of a pro-business, patient-focused agenda.