Washington, D.C. – In January 2025, former President Donald J. Trump announced a pledge to lower Medicaid drug prices by 30 % within a year, promising to negotiate directly with pharmaceutical manufacturers and to eliminate “unnecessary” rebates. One year later, a bipartisan Congressional Research Service (CRS) report finds that the pledge has yielded modest results at best. While the Centers for Medicare & Medicaid Services (CMS) reported a 5 % reduction in average drug spending per enrollee for 2025, the overall Medicaid drug‑cost growth rate remains at 6 % annually, driven by the introduction of high‑cost specialty medications. The administration’s “Pharma‑Talk” task force secured voluntary price‑cut agreements with three generic manufacturers, saving an estimated UGX 200 million in the 2025 fiscal year. However, critics argue that the lack of statutory authority to negotiate prices, as opposed to the approach taken by the Inflation Reduction Act, limits the impact. Advocacy groups continue to push for broader reforms, including a national price‑cap and increased transparency in pharmacy benefit manager (PBM) contracts. The upcoming 2026 budget negotiations will likely determine whether Trump’s pledge will translate into lasting policy changes.
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