Business & Finance
AstraZeneca strikes landmark drug pricing deal with US Government
13 October 2025 -

Biopharmaceutical company AstraZeneca PLC (LSE: AZN (STO: AZN) (Nasdaq: AZN) announced on Monday that it has reached a historic agreement with the administration of President Donald J. Trump to lower prescription medicine costs for American patients while maintaining the nation's leadership in biopharmaceutical innovation.

At a White House event, AstraZeneca CEO Pascal Soriot confirmed the company has voluntarily met all conditions set out in the President's 31 July letter. The agreement will align US drug prices with those in other high-income countries and expand access through discounts of up to 80% for eligible patients purchasing directly via the TrumpRx.gov platform.

AstraZeneca has also agreed with the US Department of Commerce to delay Section 232 tariffs for three years, enabling full onshoring of its US medicines manufacturing. The company will invest USD50bn in domestic production and R&D over five years, targeting USD80bn in total revenue by 2030, with half expected to come from the US market.

New facilities include a major manufacturing site in Virginia, supporting AstraZeneca's metabolic and oncology portfolios, and an expanded plant in Coppell, Texas. Additional developments include a cell therapy facility in Rockville, Maryland opening in early 2026, and a new R&D centre in Cambridge, Massachusetts later that year.

AstraZeneca employs more than 25,000 people across 19 US sites, contributing over USD20bn to the US economy in 2025. This marks the second such agreement between a pharmaceutical company and the US Department of Health and Human Services in recent weeks.

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