AstraZeneca to lower cost of medicines for American patients
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AstraZeneca to lower cost of medicines for American patients

AstraZeneca to invest $50bn in manufacturing and R&D to support domestic sourcing

  • By IPP Bureau | October 12, 2025

AstraZeneca has made an agreement with the Trump administration to lower the cost of certain medicines for American patients. Announced on October 10, 2025, the deal follows similar pressure from the White House that led to a pact with Pfizer in late September. In exchange for reducing drug prices, the pharmaceutical company receives tariff relief.

Under the agreement, AstraZeneca will charge Medicaid the same lowest price that it offers in other developed nations for certain medicines. The discount is reportedly up to 80% for some drugs. 

Starting in January 2026, eligible patients will be able to purchase discounted drugs directly from the manufacturer through a new government website, TrumpRx.gov.

AstraZeneca has also reached an agreement with the US Department of Commerce to delay Section 232 tariffs for three years, enabling the company to fully onshore medicines manufacturing so that all of its medicines sold in America are made in America. This will be achieved through the company’s recently announced $50 billion investment in US medicines manufacturing and R&D over the next five years to help deliver $80 billion in Total Revenue by 2030, 50% of which is expected to be generated in the US.

Pascal Soriot, Chief Executive Officer, AstraZeneca, said: “Every year AstraZeneca treats millions of Americans living with cancer and chronic diseases and, as a result of today’s agreement, many patients will access life-changing medicines at lower prices. This new approach also helps safeguard America’s pioneering role as a global powerhouse in innovation and developing the next generation of medicines. It is now essential other wealthy countries step up their contribution to fund innovation.”

The US is AstraZeneca’s largest market by sales and is also home to 19 R&D, manufacturing and commercial sites. The Company’s US workforce exceeds more than 25,000 people and supports more than 100,000 jobs overall across the country. In 2025, AstraZeneca created approximately $20 billion of overall value to the American economy.

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