President Trump struck a deal on Monday with the U.K.’s Labour government that will raise drug prices on the other side of the pond in return for a tariff reprieve. At last a good drug deal: Both sides can claim a victory while mitigating self-inflicted damage to their countries.
The President has long complained, with some justification, that other developed countries free-ride on U.S. innovation and consumers by requiring manufacturers to sell drugs to government-run health systems at steep discounts. Drug makers then sell medicines at higher prices in the U.S. to make a profit so they can invest in new drugs.