Trump Administration Concludes 17th Drug Pricing Agreement with Regeneron and Reclassifies Medical Marijuana
Introduction
President Donald Trump announced a drug pricing agreement with Regeneron Pharmaceuticals, completing a series of 17 deals with major pharmaceutical companies. Separately, the administration issued an order reclassifying state-licensed medical marijuana under a less restrictive drug schedule.
Main Body
The agreement with Regeneron, as detailed in a White House fact sheet, includes a reduction in the price of the cholesterol-lowering treatment Praluent to $225 from $537 for patients purchasing through the TrumpRx website. Additionally, all future Regeneron medicines will be subject to Most Favored Nation (MFN) pricing, aligning their U.S. costs with those in other countries. Regeneron also committed to investing $27 billion in drug development within the United States and announced that the U.S. Food and Drug Administration had approved Otarmeni, the first gene therapy authorized under the agency’s new National Priority Voucher program. This agreement represents the 17th and final deal in a series initiated by the White House in July 2025, when President Trump sent letters to 17 major pharmaceutical companies demanding lower drug prices. By the end of January 2026, 16 other companies—including Pfizer, AstraZeneca, Eli Lilly, Novo Nordisk, and others—had signed similar agreements. The specific terms of each deal remain private, and some may not yet be finalized. Health and Human Services Secretary Robert F. Kennedy Jr. provided an explanation for President Trump’s characterization of drug price reductions. During a Senate hearing, Kennedy stated that Trump uses a non-standard method of calculating percentage reductions. He cited an example: reducing a $600 drug to $10 is described by Trump as a “600 percent reduction,” a calculation that Kennedy acknowledged departs from conventional mathematical norms. In a separate policy action, the administration issued an executive order signed by Acting Attorney General Todd Blanche that reclassifies state-licensed medical marijuana from Schedule I to Schedule III under the Controlled Substances Act. This change does not legalize marijuana under federal law but alters its regulatory status, granting licensed medical marijuana operators a significant tax deduction and reducing barriers to cannabis research. The reclassification represents a notable shift in federal drug policy.
Conclusion
The Regeneron agreement concludes the administration’s initial round of drug pricing negotiations with major pharmaceutical companies, though the confidentiality of the deals leaves their full impact uncertain. The reclassification of medical marijuana marks a substantive change in federal regulatory approach without altering its legal status. Both measures reflect ongoing efforts to address drug pricing and drug policy, with implementation details still emerging.