On Monday morning, President Donald Trump signed an executive order aimed at dramatically lowering pharmaceutical drug prices for Americans.

Trump emphasized that the order is designed to ensure fairness for U.S. consumers by eliminating “the middlemen” and aligning drug costs with those paid in other developed countries.

“Starting today, the United States will no longer subsidize the drug prices of other countries,” the president said. “We’ve been subsidizing drug prices for the rest of the world, not just the European Union.”

By implementing a policy called “Most Favored Nation,” Trump said the U.S. is “gonna pay the lowest price there is in the world. We’re no longer paying ten times more than another country.”

Health and Human Services (HHS) Secretary Robert F. Kennedy Jr., appearing alongside President Trump at a Monday morning press conference, stated that other countries—especially those in the European Union—need to contribute more to pharmaceutical research and development.

Kennedy noted that if those nations raised their drug prices by just 20%, it would significantly lower costs for American consumers.

Trump previewed the executive order Sunday night on Truth Social, saying it would reduce prices by up to 80%.

JUST IN: PRESIDENT TRUMP'S "MOST IMPORTANT AND IMPACTFUL" TRUTH EVER ISSUED ⬇️

"I am pleased to announce that Tomorrow morning, in the White House, at 9:00 A.M., I will be signing one of the most consequential Executive Orders in our Country’s history…." pic.twitter.com/YfyKzked0S

— The White House (@WhiteHouse) May 11, 2025

During his first term, Trump introduced a regulation that aimed to align the prices of certain cancer drugs and other medications with the lower prices paid abroad. However, the Biden administration later scrapped the rule after it was struck down in court on procedural grounds.

White House Press Secretary Karoline Leavitt talked about the order on Monday, noting online that other presidents “merely talked about addressing this problem – but President Trump is taking bold action to finally solve it and deliver a good deal for American families and seniors.”

“President Trump is signing a historic Executive Order to significantly reduce drug prices for Americans,” she posted on X. “This EO will help bypass costly middlemen and bring the prices Americans pay for prescription drugs in line with those paid by other nations.”