The U.S. Trade Representative has launched a Section 301 investigation into Germany’s drug pricing policies, arguing the country is effectively leaving the U.S. to shoulder a disproportionate share of global biopharma R&D costs. The probe was announced by USTR ambassador Jamieson Greer, who cited Germany’s move to fast-track legislation aimed at cutting healthcare spending and controlling insurer costs. The agency said it could pursue remedies if it finds Germany’s actions unreasonably impact the U.S., including confidential supplemental discounts or mandatory variable rate rebates. A public hearing is expected on Sept. 22. Germany’s pricing overhaul follows a reported plan earlier this year framed as necessary to address rising deficits at state insurers. Drugmakers have pushed back, including statements tied to Eli Lilly’s CEO David Ricks. The latest U.S. action also followed months of U.S.-Germany discussions, according to government messaging.
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