Amgen Lowers Cholesterol-Medication Price After Trump Call for Price Cuts
In a significant move poised to reshape the contentious landscape of U.S. drug pricing, Amgen announced it is substantially lowering the list price of its blockbuster cholesterol-lowering medication, Repatha (evolocumab). This decision comes directly on the heels of President Trump's persistent calls for pharmaceutical companies to reduce drug costs, signaling a potential shift in how drugmakers respond to political pressure and public outcry.
The biotechnology giant, Amgen, confirmed that the new list price for Repatha will be $5,850 per year, a steep 60% reduction from its previous annual price point of $14,100. This dramatic cut aims to improve patient access and reduce out-of-pocket costs for a drug that, despite its proven efficacy, has faced significant hurdles in market adoption due to its premium pricing.
Beyond the price cut, Amgen is also rolling out an innovative direct-to-patient program called AmgenNow. Beginning with Repatha, this initiative seeks to streamline the supply chain and potentially bypass some of the complexities and costs associated with traditional distribution models. By offering Repatha directly to eligible patients, Amgen hopes to ensure that the benefits of the lower list price translate into tangible savings at the pharmacy counter, rather than being absorbed by intermediaries.
"We recognize that the current system often leaves patients struggling with high out-of-pocket costs, even for essential medications like Repatha," an Amgen spokesperson stated. "Our goal with both the price reduction and the AmgenNow program is to address these challenges head-on and ensure that patients who need this life-saving therapy can actually afford it."
The new list price for Repatha, a PCSK9 inhibitor, is expected to take effect in the coming weeks. These drugs, while highly effective in lowering LDL ("bad") cholesterol, have been plagued by payer resistance and formulary restrictions since their introduction, primarily due to their initial high price tags. The hope is that a more accessible price point will encourage broader insurance coverage and reduce the need for onerous prior authorization processes.
This strategic pivot by Amgen underscores the intense scrutiny the pharmaceutical industry has been under from the Trump administration. President Trump has repeatedly criticized drug companies for what he calls "sky-high" prices, vowing to bring them down through various policy measures and public shaming. Amgen's action could be seen as a direct response to this pressure, potentially setting a precedent for other drugmakers facing similar demands.
Industry analysts are now watching closely to see if other companies will follow suit, particularly for drugs that have struggled with market penetration due to pricing. The success of AmgenNow could also inspire a broader shift towards direct-to-patient models, challenging the established roles of pharmacy benefit managers (PBMs) and traditional distributors. For patients, particularly those with high deductibles or limited insurance coverage, these changes could mean the difference between accessing vital medication and foregoing treatment.
While the long-term impact on Amgen's revenue and the broader pharmaceutical market remains to be seen, this move certainly marks a significant moment in the ongoing battle over drug affordability in the United States. It's a clear signal that the industry is feeling the heat, and some players are willing to adapt their pricing and distribution strategies to meet evolving political and patient demands.
