Trump announces deals with Eli Lilly and Novo Nordisk to lower Wegovy and Zepbound prices, expanding Medicare and Medicaid.

Trump Lowers Weight-Loss Drug Prices: Wegovy, Zepbound Now More Affordable for Americans

In a major healthcare announcement, former U.S. President Donald Trump unveiled agreements aimed at lowering Trump weight-loss drug prices for millions of Americans.

The deals with Eli Lilly and Novo Nordisk significantly reduce the cost of popular GLP‑1 medications, including Wegovy and Zepbound, from over $1,000 to between $245 and $350 per month.

With expanded access through Medicare, Medicaid, and the upcoming TrumpRx platform, these life-changing medications are becoming more affordable for those struggling with obesity.

Experts note that while these drugs are not a complete solution, reducing costs is a major step toward tackling the nation’s obesity crisis.

What was announced

Under the deal:

  • The monthly price tag for injectable weight‑loss drugs such as Wegovy and Zepbound will drop to between US $245 and US $350 for many patients.
  • For certain oral GLP‑1 pill versions still awaiting regulatory approval, starting prices are projected at about US $149 per month.
  • For people on the federal Medicare programme, co‑pays could be as low as US $50/month, as the government expands coverage to include weight‑loss use (not just diabetes) for these drugs.
  • A new direct‑to‑consumer website, TrumpRx, will offer discounted pricing to cash‑paying individuals. Initial average pricing on the site will start near US $350/month and fall toward US $245/month over two years.
  • As part of the broader deal, Eli Lilly will receive a three‑year exemption from certain tariffs.

How the Administration Is Reducing Weight-Loss Drug Prices?

For years, GLP‑1 drugs, originally developed for diabetes and increasingly used in obesity management, have posed a major cost barrier in the U.S., with list prices exceeding US $1,000/month in some cases. 

Obesity remains the leading driver of chronic disease in the U.S., said Health Secretary Robert F. Kennedy Jr., who called the announcement “a lifesaver” for many Americans.

By aligning drug pricing to lower levels, expanding coverage to Medicare/Medicaid enrollees, and offering lower cash‑pay pricing, the administration is signalling a bold push to rein in one of the most visible markers of high U.S. drug costs. The use of tariff leverage and direct‑to‑consumer pathways hints at a broader strategic shift in pharma policy.

Impact of Lower Trump Weight-Loss Drug Prices on Medicare and Medicaid

The deal isn’t without limitations and uncertainties:

  • The pill versions are still under regulatory review, so the US $149/month pricing is contingent on approval.
  • Coverage expansion does not automatically guarantee uptake; many private insurers still exclude GLP‑1s for weight loss.
  • Even at US$245‑350/month, the cost remains significant, especially for people without insurance or on private plans. Some analysts point out that access will still lag for lower‑income Americans unless broader structural reforms occur.
  • For the pharmaceutical companies, margin pressure may grow. Analysts already flag potential impacts on earnings and business models.

Strategic implications for biopharma

From a biotech and pharma industry perspective, this deal signals several key shifts:

  • Drug pricing is no longer just a commercial issue, it is squarely a political and public‑health battleground.
  • Companies may increasingly face “pricing deals plus incentives” (tariff relief, regulatory acceleration) rather than purely voluntary reductions.
  • The shift of GLP‑1s from diabetes to obesity (and broader populations) raises long‑term access questions: if tens of millions become eligible, volume and cost pressures will mount.
  • For biotechs, this may accelerate interest in oral formulations, generics/ biosimilars, and competitive pipelines, especially given the lower pricing benchmark being set.

What the New Trump Weight-Loss Drug Prices Mean for Patients

For doctors and patients, the deal could open access to a class of drugs previously limited by cost and coverage. If the price falls, more individuals may initiate treatment and persist longer. 

But importantly, as Health Secretary Kennedy stressed, “It’s not a panacea, it’s not a silver bullet”, lifestyle changes (diet, exercise) remain essential. 

In practical terms:

  • Medicare beneficiaries with obesity or related conditions should watch for new coverage rules kicking in mid‑2026.
  • Cash‑paying patients may explore TrumpRx once active, but must check eligibility and state‑by‑state Medicaid roll‑outs.
  • Physicians should still evaluate GLP‑1s in the context of long‑term care, obesity‑comorbidity risk, and cost/benefit for each patient.

Final word

The Trump‑Lilly/Novo deal marks one of the most significant steps yet in U.S. drug‑price reform, at least for one highly visible class of medications. Whether this becomes a template for other drug categories or how sustainable it will be for manufacturers and payers alike, remains to be seen. 

For now, millions of Americans living with obesity may see a meaningful shift in access. For the biotech and pharma industries, the message is clear: pricing and access are now integral parts of innovation strategy, not just afterthoughts.

In short, the era of ultra‑high‑cost weight‑loss drugs in the U.S. may finally be meeting its match,  and the ripple effects may soon expand beyond obesity.

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