Trump: We will be reducing drug prices by 1400-1500%

President Donald Trump said Monday that his Most Favored Nation (MFN) policy would slash prescription drug prices in the United States by as much as 1400% to 1500%.

Speaking to reporters in the Oval Office, Trump compared the disparity in costs abroad versus at home. “We’re talking about where a product would cost $80 in Germany and $1,300 here. And we’re not going to do that. We were subsidizing the entire world and we’re not doing that anymore,” he said.

The MFN policy is designed to push other developed nations to pay higher prices for medications, which Trump argues would in turn drive down U.S. drug costs. He warned that if foreign governments refuse to cooperate, he would respond with tariffs.

Trump also said pharmaceutical companies have been supportive of the plan, acknowledging that “they know [the current system] is unfair.” He added that implementing MFN would deliver a political advantage for Republicans: “You know, if I pull that off, there’s no way a Republican will lose an election.”