CMS announces 15 drugs targeted for third round of Medicare price negotiations
Despite working on direct-to-consumer drug distribution through TrumpRx.gov at something approximating a “most favored nation” pricing, President Donald Trump’s administration announced it will be adding 15 new drugs to the list of medications subject to Medicare cost negotiations.
On Tuesday, the Centers for Medicare & Medicaid Services (CMS) announced that Medicare will be looking to negotiate prices on drugs that treat Type-2 diabetes, HIV and more—all deemed to be “high-cost prescription drugs covered” under Medicare programs, namely Part D, as it covers the price of pharmaceuticals.
However, for this now third cycle of the Medicare Drug Price Negotiation Program, the agency said the new list includes medications covered under Medicare Part B, which covers most doctor visits and outpatient care services that a person needs.
This is the first time Medicare Part B drug coverage was made part of the negotiations, which will take place throughout the year, with new lower prices beginning in 2028.
CMS boasted that, during the second cycle of drug pricing negotiations—which happened in 2025 under the Trump administration—it was able to reach an agreement with “participating manufacturers” for all 15 drugs targeted during that round.
The agency confirmed that those lower prices will go into effect on January 1, 2027, expected to lower the net spending on prescriptions by $8.5 billion, based on 2024 cost and spending statistics.
“For too long, seniors and taxpayers have paid the price for skyrocketing prescription drug costs,” CMS Administrator Mehmet Oz, MD, said in a statement. “Under President Trump’s leadership, CMS is taking strong action to target the most expensive drugs in Medicare, negotiate fair prices, and make sure the system works for patients—not special interests. This approach delivers real savings while strengthening accountability across the program.”
To date, 25 prescription drugs covered by Medicare have been negotiated down to a lower price, including popular weight loss drugs like Ozempic and Wegovy, which also helps diabetics to manage blood glucose levels.
If all are successful after this round, that would mean 40 drugs will be offered at a lower price to Medicare members beginning in 2028. The latest additions include:
- Anoro Ellipta
- Biktarvy
- Botox; Botox Cosmetic
- Cimzia
- Cosentyx
- Entyvio
- Erleada
- Kisqali
- Lenvima
- Orencia
- Rexulti
- Trulicity
- Verzenio
- Xeljanz; Xeljanz XR
- Xolair
In addition, one other drug, diabetes treatment Tradjenta, is being renegotiated—something CMS can do if the rate paid by Medicare is deemed to be too high in the future.
The agency said the drugmakers linked to all of the above have until Feb. 28 to decide if they wish to participate in negotiations. Pricing is set based on a medication’s “clinical benefit, evidence about alternative treatments, the extent to which it addresses unmet medical needs, and its impact on specific populations, including people who rely on Medicare,” CMS said.
The agency’s negotiators also consider research and development costs, as well as supply chain challenges, faced by biopharma companies.
Top 50 list released
CMS also released a list of 50 top negotiation-eligible drugs it’s looking to as possible candidates for Medicare Part B and D pricing negotiations. Notably, the top 15 were ultimately those chosen for this cycle.
“The publication of the list of top 50 negotiation-eligible drugs evidences CMS’ commitment to transparency,” CMS Deputy Administrator and Director of Medicare Chris Klomp said. “By applying clear eligibility criteria and practical negotiation policies, we are ensuring the program responds to market changes while delivering fairness and value for the American people.”
The full list is available by clicking here.
Chad is an award-winning writer and editor with over 15 years of experience working in media. He has a decade-long professional background in healthcare, working as a writer and in public relations.