Trump's Drug Price Plan: Could Australians Pay More for Medicine?

Australia Faces Potential Medicine Price Hike Due to Trump's US Drug Price Slash. A new executive order by US President Donald Trump aims to drastically reduce drug prices within the United States. However, experts warn this move could have unintended consequences globally, potentially leading to increased costs for Australians. The concern stems from the possibility that pharmaceutical companies will offset their losses in the US market by raising prices in other countries, including Australia. The Australian government currently allocates $17.7 billion annually to maintain affordable medicine prices under the Pharmaceutical Benefits Scheme (PBS). If drug prices rise internationally, this substantial investment may prove insufficient, necessitating either increased government spending or higher out-of-pocket costs for Australian patients. "This is a big shift that could affect millions and fast," warns one expert, highlighting the potential for widespread impact. While Trump claims the order will make it fairer for Americans, the global ramifications remain a significant concern for countries like Australia, prompting calls for increased government subsidies to mitigate the potential price increases.