Eli Lilly and Novo Nordisk slash obesity drug prices

Eli Lilly Inc and Novo Nordisk A/S have reached agreements with the US government to significantly cut prices for their obesity treatments. The move responds to President Donald Trump’s “Most Favored Nation” (MFN) pricing programme. The programme is designed to align US drug prices with European standards.

As the 4th and 5th of 17 major pharmaceutical companies to comply, Eli Lilly and Novo Nordisk agreed to steep reductions on their blockbuster obesity drugs. Both had previously offered their weight-loss products on direct-to-consumer platforms at about one-third of their US$1,200 list price. Trump demanded deeper cuts, targeting US$149 by the end of October.

Price cut by 50%

Under the new deal, Eli Lilly will provide its injectable treatment Zepbound (tirzepatide) and its yet-to-be-approved oral drug Orforglipron through LillyDirect. Prices will be around 50–60% lower than before. Zepbound will cost US$299–449 per month, while Orforglipron starts at US$149. Discounts will also apply to Trulicity, Mounjaro, and Emgality, covering diabetes and migraine treatments.

Novo Nordisk will follow with Ozempic (diabetes) and Wegovy (obesity). Both will be available through Medicare and Medicaid. Novo expects only a minor negative effect on global sales growth.

Trump announced that Medicare patients can access injectable obesity drugs from both companies for US$50 per month. Health Secretary Robert F. Kennedy Jr. praised the agreements as a major step in fighting “obesity as a disease of poverty.” He predicted a nationwide weight loss of 125 million pounds within one year.

Tariff exemptions and accelerated approval

In return, both companies receive a three-year exemption from import tariffs. The FDA granted National Priority Review Vouchers, shortening approval times for new or expanded indications from 12 months to 1–2 months.

These deals follow similar agreements between the Trump administration, Pfizer, AstraZeneca, and EMD Serono, which also pledged price cuts via the upcoming federal platform TrumpRx.gov. Trump cited the “chronic unfairness” that US consumers have long borne 75% of global pharmaceutical profits, despite representing only a fraction of the world’s population.