Sunday, October 19, 2025-Donald Trump’s latest campaign promise to dramatically slash obesity drug prices has rattled the pharmaceutical world, sending shares of industry giants Novo Nordisk and Eli Lilly tumbling.
The president vowed to “end the era of price gouging” on drugs like Ozempic and Mounjaro, which have surged in popularity for weight loss. His statement, made during a televised rally, signaled a potential regulatory crackdown on what he called “luxury health pricing,” sparking investor fears of sweeping reforms to pharmaceutical profit models.
The market reaction was immediate and intense. Both Novo Nordisk and Eli Lilly saw billions wiped from their market value within hours of the announcement, as analysts scrambled to assess how deeply federal action could impact drug pricing.
Supporters of Trump’s stance praised the move as a bold step toward affordability, especially for Americans struggling with obesity and diabetes. Critics, however, accused him of oversimplifying the issue, warning that price controls could stifle innovation and slow medical research.
If Trump’s pledge gains traction, it could reshape not only the pharmaceutical sector but also broader health policy in the United States. Drugmakers may face new pressure to justify pricing structures or negotiate directly with government insurers.
As the debate over healthcare affordability reignites, Wall Street and Washington alike will be watching closely because in this fight, both profits and public health are on the line.
0 Comments