Health and Human Services Secretary Alex Azar, center, says President Donald Trump is shifting his approach on determining drug prices.
The Trump administration is shifting the focus for determining U.S. drug prices to a "favored nations" approach rather than the international pricing index model that has been in the works since October 2018, Health and Human Services Secretary Alex Azar said.
President Donald Trump decided the U.S. ought to be getting the best deal among developed countries, so HHS is now reworking its proposal, Azar said at a Nov. 13 forum in Washington hosted by Axios.
The administration issued an advance notice of proposed rulemaking in October 2018 to test an international pricing index model to pay for expensive injectable medicines covered by the Medicare Part B program. The proposal has been under review by the White House Office of Management and Budget since June.
Azar has now confirmed that the administration is working on a notice for proposed rulemaking on the favored nations approach.
Trump shifts focus of international pricing model to 'favored nations' approach
Chart of the week
CDC finds impact of antibiotic resistance to be greater than previously thought
GSK CEO says consumer JV to spin out within 3 years, optimistic on China growth
GlaxoSmithKline PLC's Emma Walmsley said the drugmaker's consumer joint venture with Pfizer Inc. will become a separate business within the next three years, allaying investor concerns that the creation of the world's largest consumer health group could take up to five years.
Healthcare tops S&P 500 index, with Align's 39% return leading pack
A total of six healthcare companies were among the top 10 performers on the S&P 500 index based on total gains for October.
Abbott Laboratories COO Robert Ford, left, will take over for outgoing CEO Miles White, right, in March 2020.
Abbott CEO Miles White to step down in March 2020
Abbott Laboratories CEO Miles White, who has held the position for 21 years, will step down at the end of March 2020 and will be succeeded by President and COO Robert Ford.
Of Mice Not Men: New brain pathway; artificial kidney milestone; anthrax as cancer treatment
A newly discovered brain pathway could help scientists understand the causes of conditions like PTSD and Alzheimer's disease; artificial kidneys show promise in large animals; the anthrax toxin kills bladder cancer cells in dogs.
US FDA panel unanimously endorses Amarin's cardiovascular risk drug Vascepa
A panel of outside advisers to the U.S. Food and Drug Administration voted unanimously in favor of approving Amarin Corp. PLC's Vascepa pill for cardiovascular risk, though panelists debated at length whether the drug should be approved in a broad at-risk population.
In other news
Sumitomo Dainippon's Roivant deal seen to help offset Latuda sales decline
Sumitomo Dainippon Pharma Co. Ltd.'s $3 billion purchase of a stake in Roivant Sciences GmbH is likely to help offset an expected sales drop from the patent expiration of its schizophrenia therapy Latuda, analysts said.
Capitol Checkup: White House aide says Pelosi drug bill unworkable; Ex-VA nominee eyes Congress
A top Trump administration official said House Speaker Nancy Pelosi's drug pricing bill has no chance of being adopted, and the former White House doctor who withdrew his nomination to be Veterans Affairs secretary is eyeing a run for Congress.
House Speaker Nancy Pelosi's drug pricing bill is facing headwinds on Capitol Hill.
Medicaid chief unveils new payment proposal, defends block grants, work rules
Seema Verma, administrator of the Centers for Medicare and Medicaid Services, announced during an annual Medicaid directors conference a newly proposed rule that would implement stricter oversight for supplemental Medicaid payments.
US FDA panel votes to reject Lilly, Boehringer's type 1 diabetes treatment
A panel of outside advisers to the U.S. Food and Drug Administration voted against approving Eli Lilly and Co. and Boehringer Ingelheim GmbH's type 1 diabetes drug, meant to be an add-on therapy to insulin.
Lilly's Taltz beats Humira in yearlong psoriatic arthritis study
In a head-to-head study against AbbVie Inc.'s Humira, Eli Lilly's Taltz was superior to the drug in reducing signs of psoriatic arthritis in patients after one year. Lilly also announced the results of its late-stage study in a rarer form of arthritis.
Essential Healthcare is a weekly collection of critical developments across the pharmaceutical, biotechnology, healthcare provider, healthcare technology and medical equipment industries that draws on exclusive analysis and value-added content from the Healthcare News team at S&P Global Market Intelligence. Subscribe now to get Essential Healthcare delivered to your inbox every week.