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Trump calls on Congress to codify Most-Favored-Nation framework

Susan Morse
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⚡ Quantum Brief
President Trump urged Congress in his February 2026 State of the Union to permanently codify his Most-Favored-Nation (MFN) drug pricing framework, claiming it slashed U.S. prescription costs to match global prices. The MFN policy, implemented via voluntary agreements with pharmaceutical firms, reportedly reduced some drug prices by 300–600%, including a cited infertility medication dropping from $4,000 to under $500 through the TrumpRx program. Advocacy group Patients for Affordable Drugs Now cautioned that current MFN deals are limited, calling for a stronger, enforceable law to systematically lower prices across all high-cost medications. Trump also criticized the Affordable Care Act as "unaffordable," proposing his "Great Healthcare Plan" to replace insurer subsidies with direct consumer payments and mandate full price transparency. ACA enrollment fell 5.8% in 2026 after expired premium tax credits raised costs, with Trump’s plan positioning itself as a market-driven alternative to the current system.
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Trump calls on Congress to codify Most-Favored-Nation framework A strong MFN law could be a meaningful step toward bringing U.S. prices in line with those paid by other high-income countries, says Patients for Affordable Drugs Now. Policy and Legislation By Susan Morse , Executive Editor | February 25, 2026 | 11:14 AM Photo: Photo: Kenny Holston-Pool/Getty Images In a record-long State of the Union speech Tuesday night, President Donald Trump spent less than five minutes talking about healthcare.In that time, he addressed the "crushing cost of healthcare."Trump said Most-Favored-Nation agreements his administration has made with drug companies have lowered the cost of prescription drugs to what consumers pay in other countries."I took prescription drugs, a very big part of healthcare, from the highest price in the entire world to the lowest," Trump said. "That's a big achievement."The result, he said, are price differences from 300% to 600% and more, with the drugs available on TrumpRx.A woman in the House Chamber whom Trump called out had been paying $4,000 for infertility medication and is now paying less than $500, Trump said."So now I'm calling on Congress to codify my Most-Favored-Nation program into law," Trump said.Trump also addressed what he called the "Unaffordable" Care Act.His Great Healthcare Plan would send money directly to consumers, rather than paying insurers to lower premiums through enhanced premium tax credits. Those credits ended in 2025, after lawmakers, in a bipartisan split, failed to come to an agreement to extend them.The resulting higher premium cost of health plans in the ACA has caused some enrollees to drop coverage. Enrollment decreased 5.8% this year over last year.His plan, Trump said, "requires maximum price transparency."Patients For Affordable Drugs Now CEO Merith Basey released this statement after the speech: "The administration has announced voluntary, direct-to-consumer and Most Favored Nation agreements, but these arrangements do not automatically lower drug prices across the entire system, nor do they apply to most high-cost or widely used medications. If Congress codifies a strong, enforceable MFN-style policy into law, it could be a meaningful step toward bringing U.S. prices in line with those paid by other high-income countries. The details will determine whether it will truly deliver lasting savings." Email the writer: [email protected] Topic: Accounting & Financial Management, Pharmacy, Policy and Legislation

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Source: Healthcare Finance News

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