News|Articles|January 14, 2026

AbbVie Reaches Agreement With Trump Administration, Joining MFN Initiatives

Listen
0:00 / 0:00

Key Takeaways

  • AbbVie and other pharmaceutical companies are participating in the TrumpRx program, aligning with MFN pricing to lower US drug costs.
  • The TrumpRx platform will allow direct-to-consumer purchases at MFN-aligned prices, focusing on Medicaid and some Medicare beneficiaries.
SHOW MORE

On January 12, 2026, AbbVie announced a voluntary agreement with the Trump administration to further advance access and affordability for Americans while protecting and investing in US pharmaceutical innovation.1 With this announcement, AbbVie has joined Pfizer, AstraZeneca, Eli Lilly, and Novo Nordisk, among others, to participate in the TrumpRx program.2-5

What are TrumpRx and the Most-Favored Nation Initiative?

The Trump administration’s renewed push for most-favored-nation (MFN) drug pricing is presented as a central strategy to lower US prescription drug costs by tying them to prices paid in other developed countries. Through a series of voluntary agreements, major manufacturers have agreed to extend MFN pricing primarily to Medicaid beneficiaries and, in some cases, Medicare enrollees and cash-paying patients. These agreements are framed as a response to executive actions and formal letters that warn of potential tariffs, regulatory scrutiny, or trade investigations for noncompliance, while offering incentives such as multiyear tariff exemptions for participating manufacturers.

A key feature across the agreements is the planned launch of the TrumpRx platform, a federal direct-to-consumer platform slated to launch this month that would allow patients to purchase certain medications at MFN-aligned cash prices directly from manufacturers.2-5

High-profile price reductions were highlighted most prominently for glucagon-like peptide 1 (GLP-1) receptor agonists, with Novo Nordisk and Eli Lilly committing to dramatic monthly price cuts for semaglutide (Ozempic, Wegovy; Novo Nordisk) and tirzepatide (Zepbound, Mounjaro; Eli Lilly), expanded Medicare coverage for obesity-related indications, and low copays for beneficiaries. Outside of GLP-1 therapies, these manufacturers also pledged reduced pricing for insulin, migraine treatments, and other chronic disease medications, as well as MFN-aligned pricing for newly launched drugs to prevent large international price disparities at launch.2-5

Despite the administration’s characterization of these deals as transformative, limitations and uncertainties remain present. The agreements largely exclude drugs that are covered by private insurance, leaving broader market effects unresolved and raising concerns about cost-shifting, supply disruptions, and unintended access barriers for community and specialty pharmacies.

Notably, pharmacists are repeatedly identified as being on the front lines of implementation, with responsibilities likely to include counseling patients on TrumpRx cash options compared with insurance coverage, managing reimbursement changes tied to Medicaid pricing, and responding to patient demands for price matching. While proponents argue that MFN pricing may exert indirect pressure on the wider market, experts caution that enforcement details remain unclear and that the long-term impact on drug access, pharmacy viability, and global pricing dynamics is still uncertain.2,5

How AbbVie Will Contribute

The news release from AbbVie states that the company will provide low prices in Medicaid while pledging $100 billion in US-based research and development and capital investments—such as manufacturing—over the next decade. Additionally, AbbVie will expand the direct-to-patient offerings through TrumpRx with their medications, including Alphagan (brimonidine tartrate), Combigan (brimonidine/timolol), Humira (adalimumab), and Synthroid (levothyroxine).1

“AbbVie's mission is to make a remarkable impact for the patients we serve around the world through our innovative medicines," Robert A. Michael, chairman and CEO of AbbVie said in a news release announcing the agreement. "With approximately 29,000 US-based employees and products treating 16 million Americans annually, we understand the complexity and access challenges in our health care system.”1

REFERENCES
1. AbbVie. AbbVie and Trump Administration Reach Agreement to Improve Access and Affordability for Americans. News release. January 12, 2026. Accessed January 13, 2026. https://news.abbvie.com/2026-01-12-AbbVie-and-Trump-Administration-Reach-Agreement-to-Improve-Access-and-Affordability-for-Americans
2. Halpern L. Pfizer Agrees to Lower Certain Drug Prices in US, Aligning With Most-Favored Nation Plan. Pharmacy Times. October 1, 2025. Accessed January 13, 2026. https://www.pharmacytimes.com/view/pfizer-agrees-to-lower-certain-drug-prices-in-us-aligning-with-most-favored-nation-plan
3. Halpern L, Silvius L. Breaking News: AstraZeneca, White House Announce Most-Favored-Nation Deal. Pharmacy Times. October 10, 2025. Accessed January 13, 2026. https://www.pharmacytimes.com/view/breaking-news-astrazeneca-white-house-set-to-agree-to-most-favored-nation-deal
4. Halpern L. Eli Lilly, Novo Nordisk Strike MFN Deals With Trump Administration to Lower GLP-1 Prices. Pharmacy Times. November 6, 2025. Accessed January 13, 2026. https://www.pharmacytimes.com/view/eli-lilly-novo-nordisk-strike-mfn-deals-with-trump-administration-to-lower-glp-1-prices
5. Valletti D. Trump Announces Pricing Deals With 9 Drugmakers, Expanding Most-Favored-Nation Drug Pricing Strategy. Pharmacy Times. December 19, 2025. Accessed January 13, 2026. https://www.pharmacytimes.com/view/trump-announces-pricing-deals-with-9-drugmakers-expanding-most-favored-nation-drug-pricing-strategy

Newsletter

Stay informed on drug updates, treatment guidelines, and pharmacy practice trends—subscribe to Pharmacy Times for weekly clinical insights.


Latest CME