Today, Congressman Vern Buchanan, Vice Chairman of the House Ways and Means Committee, along with Congressman Jodey Arrington (R-Texas), Chairman of the House Budget Committee, spearheaded a letter urging U.S. Trade Representative Jamieson Greer to address foreign policies impacting American health care costs. The letter was co-signed by 33 other colleagues.
The communication commends the USTR’s recent initiative titled “Request for Comments Regarding Foreign Nations Freeloading on American-Financed Innovation.” It stresses the necessity for global partners to value U.S. medical advancements properly and calls for ending the practice of transferring R&D costs onto Americans.
“The United States is the world leader in biopharmaceutical innovation, yet American patients unfairly pay the highest prices,” stated Buchanan. “I applaud Ambassador Greer for addressing this growing imbalance. It’s time to stop foreign countries from free-riding on U.S. investment and innovation.”
Despite comprising less than 5 percent of the global population, American patients contribute nearly 75 percent of global pharmaceutical profits. In 2023 alone, manufacturers invested over $96 billion in R&D, with more than $71 billion originating from the United States.
The letter includes signatures from various representatives such as Rick W. Allen (R-Ga.), Don Bacon (R-Neb.), Aaron Bean (R-Fla.), among others.
In their message to Ambassador Greer, Buchanan and his colleagues emphasize that current foreign practices threaten both the resilience of the U.S. biopharmaceutical supply chain and increase costs for American patients.
The letter suggests considering a Congressional proposal to create a Chief Pharmaceutical Negotiator within USTR. This role would focus on ensuring trade negotiations prioritize reimbursement for innovative medicines and hold trading partners accountable when they adopt price control measures that shift R&D costs back onto American patients.
The lawmakers highlight how price-setting policies in other countries often undervalue medicines outside the U.S., making therapies more expensive domestically. They acknowledge previous efforts by administrations to bring attention to these issues affecting drug prices for Americans.
