Brand‑name drug prices keep climbing in the U.S. while falling abroad, amid push for MFN pricing: Report highlights

Brand-name drug prices in the U.S. have risen sharply after products enter the market, while prices for the same medications have fallen or stayed flat in other rich countries.

A recent AARP Public Policy Institute report finds that prices for the top 25 brand-name drugs have increased by an average of 81% since they entered the U.S. market, while prices in 19 peer countries fell by an average of 13%.

Many other countries negotiate or control drug prices shortly after approval and often allow for price reductions, whereas U.S. manufacturers set prices and routinely raise them over time.

The current U.S. administration is pursuing a Most‑Favored‑Nation (MFN) drug pricing framework intended to align U.S. prices with those in other high‑income countries, putting downward pressure on U.S. prices and upward pressure on prices abroad.