NEW YORK (Reuters) – Drug manufacturers, including Abbvie Inc and Bristol Myers Squibb, have raised U.S. list prices by more than 500 drugs to start in 2021, according to an analysis by healthcare research firm 46brooklyn.
The hikes come as drug manufacturers are grieving the effects of the COVID-19 pandemic, which has reduced doctor visits and demand for some drugs. They are also fighting the Trump administration’s new drug price reduction rules, which would reduce the profitability of the industry.
They include more than 300 price increases from companies such as Pfizer and GlaxoSmithKline reported by Reuters late last week.
Almost all increases were less than 10% and the average rise was 4.8%, slightly lower than last year, 46brooklyn said here. The firm’s analysis is based on data from Elsevier’s Gold Standard drug database.
Abbvie raised the prices of about 40 drugs, including a 7.4% rise in treatment for rheumatoid arthritis Humira, the world’s best-selling drug. Humira’s revenue is expected to exceed $ 20 billion next year.
Bristol Myers raised the prices of a dozen drugs, including cancer drugs Revlimid and Opdivo, by 4.5% and 1.5%, respectively. He increased the price of Eliquis blood thinner by 6%.
In a statement, he said it was only raising the prices of medicines with ongoing clinical research. He expects net prices, which include rebates and other discounts, to fall this year.
Increases in drug prices have fallen substantially since 2015, both in terms of the size of the rises and the number of drugs affected.
However, 46brooklyn said analysis of Medicaid data shows that the average cost per brand-name drug continues to rise.
“Over time, we end up going through cheaper brands designed to treat large populations and replacing them with expensive brands designed to treat smaller populations,” wrote Eric Pachman, president of 46brooklyn. “With the loss of impact of price increases, launch prices will be the main driver of drug list price inflation in the US”
Reports by Michael Erman; Edited by David Gregorio