A Deal on Drug Prices Undone by White House Insistence on ‘Trump Cards’

New York Times logo

The White House and the pharmaceutical industry were nearing a major deal to lower drug prices. Then the administration demanded that $100 cash cards be sent to millions of seniors before the election — and the industry balked.

WASHINGTON — After months of heated accusations and painstaking negotiations, the White House and the pharmaceutical industry neared agreement late last month on a plan to make good on President Trump’s longstanding promise to lower drug prices.

The drug companies would spend $150 billion to address out-of-pocket consumer costs and would even pick up the bulk of the co-payments that older Americans shoulder in Medicare’s prescription drug program.

Then the agreement collapsed. The breaking point, according to four people familiar with the discussions: Mark Meadows, Mr. Trump’s chief of staff, insisted the drug makers pay for $100 cash cards that would be mailed to seniors before November — “Trump Cards,” some in the industry called them. Continue reading.