Trump announces GLP-1 discounts for some Medicare and Medicaid patients

President Trump announced Thursday that Eli Lilly and Novo Nordisk will discount their GLP-1 medicines for certain Medicare and Medicaid patients and for shoppers on a planned government drug site called TrumpRx. At the Oval Office event, he used his own nickname for the drugs, saying the companies had agreed to offer "their most popular GLP-1 weight loss drug — I call it the fat drug, remember — at drastic discounts" ^[1][3].

Administration officials put the typical monthly cost for eligible patients at $245 to $350, compared with current prices that reach $1,350 a month ^[1]. For Medicare and Medicaid patients who qualify, four brand-name products — Ozempic, Wegovy, Mounjaro and Zepbound — would cost $245, with Medicare enrollees paying a $50 copay ^[1]. Injections bought through TrumpRx would run about $350 a month when the site's pricing begins in January ^[1].

Trump described larger reductions in his own remarks, saying Wegovy's price would fall from $1,350 a month to "ultimately $250" and Zepbound's from $1,080 to $346 ^[3]. The Guardian reported the administration's figure of roughly $350, expected to "trend down" to $245 over two years ^[2].

Oral GLP-1 pills still in development would sell for $149 a month for a starting dose through TrumpRx if regulators clear them; The Guardian put that figure at $150 ^[1][2]. Trump also said both companies would sell their other medicines to Medicaid at most-favored-nation prices and that Lilly is investing $27 billion and Novo Nordisk $10 billion in US manufacturing ^[1][3].

Eligibility for the lower Medicare prices would be limited to three groups, according to senior administration officials: patients with a BMI above 27 who also have prediabetes or have had a stroke, heart attack or peripheral artery disease; patients with a BMI above 30 plus stage-three kidney disease or another qualifying condition; and patients with a BMI above 35 ^[1]. Officials estimated roughly 10 percent of Medicare patients would qualify ^[1].

"This is not about losing weight — this is about making America healthy again," one official said, describing the goal as preventing strokes and end-stage renal disease and acknowledging the plan "constrain[s] the access" to patients most likely to benefit ^[1].

The agreement would open Medicare coverage of Wegovy and Zepbound for obesity for the first time; currently only patients with diabetes or conditions such as heart disease or sleep apnea qualify ^[2]. Health and Human Services Secretary Robert F. Kennedy Jr. said he expects Americans to collectively lose 125 million pounds by this time next year ^[2]. Dr. Mehmet Oz, who heads the Centers for Medicare & Medicaid Services, said covering more people should be budget-neutral within two years once savings on obesity-related illness are counted ^[2]. One official projected about $170 billion in long-run savings ^[1]. About 40 percent of US adults have obesity, according to CDC figures cited by CBS News ^[1].

Kennedy said the talks took "months and months," and Trump said of the drugmakers, "You think it was easy dealing with these people? It wasn't" ^[1]. The event ended early when a company guest fainted; the White House said the man was fine, and Lilly said he had a "brief medical situation" ^[1].

Analysts told CBS News that the "most-favored-nation" pricing pledge may do little for Medicaid, since the program already has a statutory guarantee of the lowest price offered to any US purchaser, and Medicaid enrollees generally pay nothing out of pocket ^[1].

Why it matters for patients

The announced prices sit below what the companies charge today for direct purchases: Wegovy is $499 a month, and Zepbound is $349 for the lowest dose, rising to $499 at higher doses ^[2]. Access still hinges on the condition list, and officials said only about one in ten Medicare patients would meet it ^[1].

Medicaid participation is left to states, so timing and availability would vary, and officials gave no uniform start date ^[1]. Nothing has been announced about prices or coverage for people with commercial insurance, and how the different figures — the officials' $245-to-$350 range, the two-year slide to $245, and Trump's $250 and $346 — would fit together has not been explained ^[1][2][3].

What happens next

TrumpRx is expected to open, with prices, as early as the end of this year ^[1][3]. TrumpRx pricing starts in January ^[1]. Officials hope Medicare pricing begins in mid-2026, likely by July ^[1]. Oral GLP-1 drugs could reach the market in the coming months if approved ^[2]. Kennedy said new dietary guidelines are coming soon ^[1].