Drug Companies Raise Prices Despite Deals

Sixteen big drug companies made deals with the Trump administration to lower drug prices. But in January, all of them raised prices on some of their drugs. These deals were supposed to help Americans pay less for medicine and make other rich countries pay more. But according to a new report, these companies raised prices on 872 brand-name drugs in just the first two weeks of 2026. These drugs treat serious conditions like cancer, heart failure, and diabetes. Even the price of some COVID shots went up. The price increases were about 4% on average. This is the same as last year's increases. The deals were supposed to make a difference, but it seems like business as usual for these companies. The White House says the list prices don't matter. They say the real discounts are going to Medicaid and people who pay cash for their drugs. But most people don't pay the list price. Insurance companies and middlemen negotiate lower prices. So, these deals might not help most people.Pfizer, one of the companies that made a deal, raised prices on 72 products. This includes a 15% increase on their COVID shot. Pfizer says the increases are small and necessary for research and other costs. They also say that the prices insurance companies pay have gone down. Merck raised prices on 18 products. They say their price increases are responsible and reflect the value of their drugs. But they won't say how this fits with their deal with the administration. There were some price cuts too. Four drugs that were part of Medicare's drug price negotiations saw big drops. For example, Fiasp, an insulin product, saw a 75% price cut. Other drugs like Farxiga, Jardiance, and Eliquis also saw price drops. But it's hard to say if these cuts are because of Medicare negotiations or other factors. Some drugs didn't change in price, and some even went up. The deals made with the Trump administration are hard to understand. The details aren't public. Officials say the companies promised discounts for Medicaid and lower prices for future drugs in other countries. But these deals don't affect most people's drug prices. So, it's unclear if these deals will really help lower drug prices for most Americans.