PhRMA Sues Trump Over Medicare Drug Pricing Pilot — SkimNews
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- PhRMA filed a lawsuit against the Trump administration alleging the GLOBE pilot program in Medicare Part B exceeds Medicare's statutory authority under a "most-favored nation" pricing framework.
- The GLOBE pilot ties Medicare drug prices to those in peer countries, but the administration exempted all but a handful of companies in exchange for voluntary Medicaid MFN pricing agreements.
- PhRMA says the voluntary Medicaid MFN agreements are acceptable but argues the mandatory GLOBE program sets a precedent the industry wants to block.
- The Trump administration is crafting plans to allow temporary sale of previously restricted peptides through compounding pharmacies while federal health officials finalize new regulations.
- Under the draft peptide plan, compounding pharmacies could dispense certain peptides marketed as new medical treatments and wellness products even though claims for what they treat have not been fully safety tested.
- The peptide plan had not yet been announced and timing was unclear, meaning it could still change before release.
Why it matters: PhRMA's challenge targets the mandatory GLOBE pilot — not the voluntary Medicaid deals companies accepted — so the lawsuit tests whether Medicare can impose most-favored-nation pricing without congressional authorization. The draft peptide plan would open a near-term sales window through compounding pharmacies for products whose treatment claims remain untested by federal regulators.
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