Robert Besser
03 Jan 2023, 10:59 GMT+10
WASHINGTON D.C.: According to healthcare research firm 3 Axis Advisors, during January, historically the month when drugmakers raise prices, pharmaceutical companies that include Pfizer, GlaxoSmithKline, Bristol Myers Squibb, AstraZeneca and Sanofi, will raise the prices of more than 350 drugs in the US.
The price rises are part of the preparations by the pharmaceutical industry to comply with the Biden Administration's Inflation Reduction Act (IRA), as well as their efforts to deal with inflation and supply chain constraints, which have caused higher manufacturing costs.
The increases are on list prices of drugs, which do not include rebates to pharmacy benefit managers and other discounts.
According to data published by 46brooklyn, a drug pricing non-profit connected to 3 Axis, in 2022 drugmakers raised the prices of more than 1,400 drugs, the most since 2015.
The price increase last year was 4.9 percent, while the average increase was 6.4 percent, both lower than US inflation rates, 46brooklyn added.
Since pharmaceutical companies came under criticism for too many price hikes in the middle of the last decade, drugmakers have mainly increased prices under 10 percent.
Antonio Ciaccia, president of 3 Axis, said that due to the attention paid to annual price increases, drugmakers have focused on launching their drugs at higher prices.
"Drug makers have to take a harder look at calibrating those launch prices out of the gate, so they do not box themselves into the point where in the future, they cannot price their way back into profitability," as quoted by Reuters.
Notable increases include a 9 percent price rise for Bristol Myers Squibb's personalized CAR-T cell therapies for blood cancer, Abecma and Breyanzi, both of which already cost more than $400,000.
More drug price rises are likely to be announced in January.
Get a daily dose of Japan Herald news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Japan Herald.
More InformationMANILA, Philippines: After a Filipina domestic worker was killed and dumped in the desert in the oil-rich emirate of Kuwait, ...
SEOUL, South Korea: South Korean officials have said that the government will double energy vouchers and provide discounts on gas ...
WASHINGTON D.C.: The US State Department has said that in the latest fiscal year, US military equipment exported to foreign ...
MACAU CITY, Macau: Over the Lunar New Year holiday, Macau, the world's largest gambling hub, witnessed a resurgence of tourists ...
SINGAPORE: In December, Singapore saw its key consumer price gauge rise 5.1 percent, higher than predicted, official data said. However, ...
TOKYO, Japan: Japanese Prime minister Fumio Kishida said this week that it was "now or never" for Japan, one of ...
JERUSALEM, Israel: As demand for its driver-assistance technology rises among vehicle-makers, Mobileye Global is forecasting revenues for the 2023 fiscal ...
NEW YORK, New York - U.S. stocks closed sharply lower Monday as investors fretted over which way the Federal Reserve ...
Ahmedabad (Gujarat) [India], January 30 (ANI/Big News Network): The Adani group, in a sharp and focused response to Hindenburg Research's ...
SEOUL, South Korea: South Korean officials have said that the government will double energy vouchers and provide discounts on gas ...
WASHINGTON D.C.: The Wall Street Journal has reported that e-cigarette maker Juul and three tobacco giants are negotiating potential sale, ...
AUSTIN, Texas: Tesla gas announced an investment of more than $3.6 billion to expand its Nevada Gigafactory complex with the ...