Representatives Vern Buchanan (R-FL) and Jodey Arrington (R-TX) are reintroducing legislation to combat foreign price controls on pharmaceuticals, which negatively impact American patients.
Specifically, Rep. Buchanan's USTRx Act creates the position of Chief Pharmaceutical Trade Negotiator, part of the Office of the U.S. Trade Representative (USTR), who will study and report on unfair foreign price-setting practices for medicine.
As Rep. Buchanan explained in his press release, the United States funds 75% of global pharmaceutical profits despite being approximately 5% of the world's population, and we contributed $71 billion in those profits, of $96 billion in total, in 2023 alone.
"American patients are paying more for life-saving medicines because foreign countries are free-riding on U.S. investment and innovation," the Florida Congressman said in his press release, adding, "This is not only unfair, it's unsustainable. I'm proud to join Chairman Arrington in introducing the USTRx Act to hold foreign governments accountable, stop price-setting practices that hurt American families, and ensure those in need continue to have access to affordable, life-saving medicines. The United States must remain a global leader in medical innovation, but not at the expense of hardworking Americans."
Similarly, Rep. Arrington described how "American innovation spurs medical breakthroughs that have improved care and saved lives around the world, but for far too long, foreign countries have gotten a free ride by imposing price controls on U.S. companies' state-of-the-art treatments for their own citizens while increasing costs for patients here."
"Enough is enough," Rep. Arrington continued. "My USTRx Act will expose this harmful practice, hold these countries accountable, and ensure that hardworking Americans have access to the affordable, life-saving medicines they need."
The bill builds upon President Donald Trump's executive order from May, which pegs the price of medical drugs to that of the country with the lowest price in the world by forcing manufacturers to raise their prices in other countries by capping the permitted price of medicines sold in the U.S. to the price of the country with the lowest price for drugs.
