Pfizer, GSK, Sanofi and Teva raise prices for some drugs by less than 10%, according to the new report.
Drug manufacturers, including Pfizer Inc., Sanofi SA and GlaxoSmithKline Plc, plan to raise prices on more than 300 drugs in the United States on January 1, according to pharmaceutical companies and data analyzed by medical research firm 3 Axis Advisors.
Hiking is coming as pharmaceutical giants move away from the effects of the COVID-19 pandemic, which has reduced doctor visits and demand for some drugs. It is also fighting the Trump administration’s new drug pricing rules, which would reduce the industry’s profitability.
The companies maintained their price increases of 10% or less, and the largest pharmaceutical companies that have increased prices so far, Pfizer and Sanofi, kept almost all their increases by 5% or less, said 3 Axis . 3 Axis is a consulting firm that works with groups of pharmacists, health plans and foundations on drug prices and supply chain issues.
GSK has raised prices for two vaccines – the Shingrix shingles vaccine and diphtheria, tetanus and the Pediarix pertussis vaccine – by 7 percent and 8.6 percent, respectively, 3 Axis said.
Teva Pharmaceuticals Inc. has raised prices for 15 drugs, including Austedo, which treats rare neurological disorders, and Qvar asthma steroids, which together grossed more than $ 650 million in sales in 2019 and saw price increases of 5 to 6 percent. percent. Teva raised prices for some drugs, including Amrix muscle relaxant and Nuvigil narcolepsy treatment, to 9.4 percent.
Several price increases are expected to be announced on Friday and early January.
COVID-19
In 2020, pharmaceutical companies have increased prices on more than 860 drugs by about 5%, on average, according to 3 Axis. Increases in drug prices have slowed substantially since 2015, in terms of the size of increases and the number of drugs affected.
The increases are taking place as pharmaceutical companies such as Pfizer develop COVID-19 vaccines in record time. The increases could help offset lost revenue as doctors’ visits and new prescriptions fell during the global deadlock.
Pfizer plans to increase prices on more than 60 drugs by 0.5 to 5%. These include increases of about 5% in some of the best-selling sales, such as Xeljanz rheumatoid arthritis treatment and Ibrance and Inlyta cancer drugs.
Pfizer plans to raise prices for more than 60 medicines by 0.5 to 5% [File: Mario Tama/Getty Images]
Pfizer said it adjusted its list prices for its drugs by about 1.3% of all products in its portfolio in line with inflation.
“This modest increase is needed to support investments that allow us to continue to discover new drugs and provide these discoveries to patients who need them,” spokeswoman Amy Rose said in a statement, citing the COVID vaccine. 19 developed by the company with the German company BioNTech SE.
He said his net prices, which do not include discounts to pharmacy benefit managers and other discounts, have actually fallen over the past three years.
Sanofi in France plans to raise prices for vaccines by 5% or less and will announce more price increases later in January, said spokeswoman Ashleigh Koss.
None of the company’s price increases will exceed the expected growth rate of US health spending by 5.1%, Koss said.
Political pressure
Reducing the prices of prescription drugs in the US – which are among the largest in the world – has been a focus of US President Donald Trump, after becoming a core commitment of his 2016 campaign. executive orders at the end of 2020 aimed at reducing prices, but their effect could be limited by legal challenges and other issues.
A federal judge in December blocked a last-minute Trump administration rule aimed at lowering drug prices to be implemented in early 2021. It has been challenged by drug industry groups, including PhRMA, the nation’s main pharmaceutical trade group.
President-elect Joe Biden has also promised to cut drug costs and allow Medicare, a US government health insurance program, to negotiate drug prices. He has the support of Democrats in Congress to pass such legislation, which the Congressional Budget Office said could cost the industry more than $ 300 billion by 2029.