Washington, D.C. — December 23, 2025 — Commitment to Seniors, a project of American Commitment, opposes the Trump administration’s new drug pricing models—Global Benchmark for Efficient Drug Pricing (GLOBE) and Guarding U.S. Medicine Against Rising Drug Costs (GUARD)—which import Most Favored Nation (MFN) drug price controls directly into Medicare Part B and Part D. These price controls will negatively impact America’s prescription drug market, which seniors heavily rely on.
By tying U.S. reimbursement rates to those set in other countries, the GLOBE and GUARD models risk undermining global incentives for developing new cures and importing the same access barriers that seniors routinely face abroad.
The U.S. shoulders a disproportionate share of global health care research and development, with foreign nations free-riding off these breakthroughs without contributing fairly. But imposing price controls domestically risks eroding America’s position as a global leader in innovation and impeding the development of the next generation of lifesaving therapies for cancers, Alzheimer’s, and other chronic conditions that disproportionately affect seniors. Moreover, directly linking U.S. prices to foreign prices may force manufacturers to leave foreign markets entirely, reducing their profits and increasing the price pressure on Americans.
“We’ve seen firsthand how government-imposed price controls overseas have stifled access and slowed medical breakthroughs,” said Phil Kerpen, President of American Commitment. “The U.S. should not copy models that reward freeloading abroad and punish innovation at home. The Trump administration should remain aggressive in international trade negotiations that hold foreign governments accountable and protect America’s leadership in developing new cures, but abandon efforts to directly link domestic prices to foreign prices.”
Rather than weighing down the U.S. drug market with price controls that risk limiting access and hindering innovation, we must focus on patient-first, free-market reforms that address the true drivers of high drug costs. That means cracking down on the abusive practices of big insurer-pharmacy benefit managers (PBMs), implementing direct-to-patient sales models that deliver comparable returns for manufacturers at lower prices, and strengthening trade agreements to curb foreign freeloading. Taken together, these reforms would strengthen America’s health care system, preserve R&D leadership, and ensure that older Americans have access to affordable, cutting-edge drugs.