US citizens should brace themselves for a massive price surge on medicines in the new year!
On the last day of 2024, Reuters reported that the drugmakers in the United States have planned to increase the rates of at least 250 branded medications including “COVID-19 treatment Paxlovid, Bristol Myers Squibb's cancer cell therapies and vaccines from France's Sanofi.”
The price surge is set to be effective from the very first day of the forthcoming year 2025, stated the outlet as per the data analyzed by 3 Axis Advisors, a healthcare firm.
However, it was also reported that all the price that are to be raised will be below 10%.
The average price hike that will be effective form January 1 is reportedly set to be 4.5%, which is the same as last year.
"Drugmakers don't have much real estate any longer to increase prices over time, which means taking greater liberties on launch prices is really the only option they have in the face of expanded penalties for year-over-year price increases,” stated Antonio Ciaccia, the President of 3 Axis.
According to a study carried out by the outlet, it was found that the US pharmaceutical companies, which launched new medicines in 2023, introduced the drugs at 35% higher rate as compared to the 2022 prices.
