Statement from Kendalle Burlin O’Connell, CEO and President of MassBio, on an executive order signed by President Trump:
“Yesterday, President Trump issued an Executive Order titled LOWERING DRUG PRICES BY ONCE AGAIN PUTTING AMERICANS FIRST, which contained a number of policy proposals related to the biopharma industry.
With so much uncertainty facing our industry, it was welcome to see the President include several directives that come straight from MassBio’s policy agenda focused on innovation and patient benefit. Specifically, the order calls for ending the Inflation Reduction Act’s “pill penalty” that has hampered the ability of scientists and entrepreneurs to develop new small molecule medicines. The scientific and medical potential of new small molecule treatments is vast, especially for various cancers, Alzheimer’s, and other neurological disorders. We’re pleased to hear that the White House will work with Congress to correct what has become a significant disincentive for small molecule investment and one that MassBio has been calling on Congress to fix since the IRA was signed into law in 2022 to align both small molecule and biologics price negotiation eligibility at 13 years.
“We are also glad to see the White House follow the Commonwealth’s lead in calling for transparency in the activities of pharmacy benefit managers. These middlemen have operated without oversight for far too long, profiting from rebates that should be going to consumers and friendly contracts with insurance companies.
“The lengthy list, unfortunately, also includes other ideas that – regardless of intention – would slow the development of new treatments and cures. MassBio is reviewing each and assessing potential impacts on our membership, the Massachusetts economy, and patients with unmet medical needs. This order also comes at a time when extreme staffing reductions at FDA are already impeding the essential work of reviewing the drugs that people need, delaying what we all agree is the ultimate goal: making people healthy. As always, MassBio and the companies we represent will work with all policymakers across the federal landscape to share our knowledge and shape, as best as possible, a positive outcome that unleashes American innovation and extends patient access to the groundbreaking medicines this industry develops.”