EU-U.S. Tariff Accord Has Drug Tariffs
The EU-U.S. trade accord has established a 15% tariff rate for pharmaceuticals from the EU area. The vast majority of brand drugs consumed in the U.S. (60-75% based on value) are imported from the EU. Pharmaceuticals account for roughly a quarter of U.S. imports from the EU as measured by value. Generic drugs are exempt from the new agreement but remain subject to an earlier 2.5% tariff rate. The new tariff takes effect September 1.
President Trump has indicated that he plans on drug tariffs of as much as 250% over time to promote onshoring. He indicated tariffs would start slowly but eventually rise to that level. Drug costs in the U.S. will likely rise on the brand side due to the tariffs.
#drugpricing #tariffs #brands #generics
A Second Budget Reconciliation Bill With Healthcare Cuts
Conservatives in and out of government are looking for further healthcare cuts in a second reconciliation bill. The two top contenders for inclusion are attacking overpayments in Medicare Advantage (MA) and Medicare site neutral payments. Prior authorization changes could also be included. There are other measures that are deemed more long-shots for inclusions. I published a blog on Thursday on this. I covered most of what is included in this article published today. The blog is here: https://www.healthcarelabyrinth.com/healthcare-cuts-2-0-will-there-be-a-second-budget-bill/
(Article may require a subscription.)
#budgetreconciliation #healthcare #medicare #siteneutral #medicareadvantage
Judge Stays Parts Of Trump Exchange Enrollment Rule
A federal court in Maryland temporarily stayed seven provisions of the Trump administration’s Exchange enrollment and eligibility rule recently finalized. It is expected to reduce rolls by 900,000 to 1.8M because it shortens the open enrollment period, establishes stricter eligibility checks for subsidy applicants, and eliminates year-round sign-ups for low-income enrollees.
Provisions stayed include:
- Disqualifying people for advance payment of subsidies if they did not file income taxes or did not reconcile their tax credits in a previous year.
- Elimination of guaranteed insurance coverage for individuals with past-due premiums.
- Verification of certain household income data.
- Pre-enrollment eligibility checks ahead of a special enrollment period.
- A change to the formula used to calculate plan tiers.
(Article may require a subscription.)
#exchanges #coverage
https://www.modernhealthcare.com/politics-regulation/mh-aca-enrollment-eligibility-rule-cms-blocked
Will Trump Administration Fast Track Healthcare Mergers?
Interesting article in Modern Healthcare predicting that hospitals and other healthcare organizations could see fewer hurdles to their mergers and acquisitions because President Donald Trump revoked antitrust guidance in a Biden-era executive order. The article supposes that the new administration will be less hostile. Perhaps to some degree, but I think the Trump administration will end up much more active on stopping mergers and acquisitions in healthcare that really cripple competition and increase price.
(Article may require a subscription.)
#antitrust #mergers #acquisitions #manda #healthcare #healthplans #providers #hospitals
https://www.modernhealthcare.com/providers/mh-trump-executive-order-anti-competition-ftc
Healthcare Grants Cleared To Be Cut By Supreme Court
The Supreme Court is allowing the Trump administration to axe $783 million in federal research funding at the Nationals Institutes of Health, reversing a lower court’s decision. The 5-4 vote greenlights the termination of grants related to diversity, equity, and inclusion (DEI).
The cuts related to DEI compared with much larger slashing of research support overall. About 25% of total NIH grant funding will go away. It is a tragedy with long-lasting health and economic implications.
#nih #research #healthcare #trump
https://www.fiercebiotech.com/biotech/supreme-court-greenlights-trumps-783m-nih-grant-cuts-tied-dei
— Marc S. Ryan
