Sun Pharma joins US drug pricing deal, gets tariff relief
The company will offer MFN pricing to state Medicaid programmes and for future innovative medicines under the agreement with the US government
Sun Pharmaceutical Industries has joined several drugmakers in signing an agreement with the US government to improve access to affordable medicines for American patients.
The other companies are Alcon, Astellas Pharma, BeOne Medicines, BridgeBio, CSL, Kyowa Kirin, Sun Pharma, Teva Pharmaceuticals and UCB.
Under the agreement, Sun Pharma will extend Most Favoured Nation (MFN) pricing to state Medicaid programmes. It will also offer MFN pricing for future innovative medicine launches in the US.
In return, the agreement delays Section 232 tariffs on innovative pharmaceutical products for more than two years, Sun Pharma said. Other terms of the agreement have not been disclosed.
Rick Ascroft, North America CEO, Sun Pharma, represented the company at the White House ceremony.
“The United States is a key area of investment and expansion for Sun Pharma across clinical development, sales and marketing, and both API and finished products manufacturing,” Ascroft said.
The US is Sun Pharma’s largest market for innovative medicines and accounts for about 27 per cent of its global revenue. The company has a strong presence in US dermatology, immunology, cutaneous oncology and ophthalmology, besides its generics and consumer health businesses.
Sun Pharma is also expanding its US presence through its proposed $11.75-billion acquisition of Organon.