Europe is not happy with President Trump’s demand that drug manufacturers provide U.S. consumers with equitable pricing.

If President Trump will no longer permit Americans to pay the research production costs for pharmaceutical companies through high prices, essentially subsiding pharmaceutical costs for the world, then Rx companies will have to increase their prices throughout Europe. This is making the Europeans very unhappy.

(Bloomberg Businessweek) — For the past few years, Swiss oncologist Christoph Renner has treated blood cancer patients with Lunsumio, a new drug that helps the immune system recognize and destroy malignant cells. Then, last summer, Renner got an email from Roche Holding AG, Lunsumio’s manufacturer, informing him the treatment would no longer be available in Switzerland because health insurers there wouldn’t pay for the infusions. “You see what’s possible,” says Renner, a professor at the University of Basel, “and then you’re told you can’t use it.”

The move was a response to rules President Donald Trump introduced that force drugmakers to reduce their prices in the US to the lowest level paid in other developed countries. In Switzerland, new medications typically cost far less than in the US, so in theory Americans should benefit from the change. The problem is, instead of bringing prices down in the US, pharmaceutical companies are raising them elsewhere.

Yet Switzerland has shown little political willingness to pay more—threatening both the availability of medications in the country and its role as a global leader in developing therapies. Drug prices are the primary driver of the increasing cost of mandatory health coverage, and the topic generates heated debate during the annual reappraisal of insurance rates. “The Swiss cannot and must not pay for price reductions in the USA with their health insurance premiums,” says Elisabeth Baume-Schneider, Switzerland’s home affairs minister.

[…] Drug companies say they need to charge high prices on new medications because so much of their work doesn’t pay off. They spend billions of euros on research, but relatively few formulas turn out to be effective. Even fewer provide the massive profits needed to fund further research—and pay off shareholders. Moreover, companies typically need to make that money early on, because after about two decades on the market, drugs lose patent protection, which drives prices down as generics producers start selling copycats.

Manufacturers argue that American patients bear most of these innovation costs and that it’s only fair for other countries to pay more—especially Switzerland, given its prosperity. A more equitable approach, they say, would be to set prices globally and adjust them country by country based on gross domestic product and purchasing power. (read more)

First President Trump starts making Europe pay for their own defenses and NATO commitments; then he has the audacity to tell them the U.S. will not accept European censorship or free speech rules.  President Trump follows by hitting them with the end to the Marshal plan of one-way tariffs, seriously weakening the amount of revenue within the EU, forcing budget cuts.  Then, as if Trump wasn’t bad enough, he makes it even worse by dispatching expensive Green New Deal energy agreements such as the Paris treaty, and using cheap abundant energy in the U.S. while Europe tries to operate on expensive windmills and solar panels covered in snow.

Now, in addition to forcing them to spend money on their military, now Trump expects the EU to just accept the end to their healthcare subsidies and higher prescription medications.  The absolute nerve of this man.

Posted in Big Government, Big Stupid Government, Donald Trump, Economy, European Union, media bias, Notorious Liars, President Trump, Uncategorized, US Treasury, USA
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