NEW YORK (Reuters) – Drugmakers, including Abbvie Inc and Bristol Myers Squibb, raised U.S. list prices for more than 500 drugs to kick off 2021, according to an analysis by research firm 46brooklyn.
The rises come as drug manufacturers are reeling from the effects of the COVID-19 pandemic, which has reduced doctor visits and the demand for certain drugs. They are also fighting against new Trump administration drug price-cutting rules that would diminish the industry’s profitability.
They include more than 300 price increases from companies like Pfizer and GlaxoSmithKline reported by Reuters late last week.
Almost all increases were below 10% and the median increase was 4.8%, slightly lower than last year, 46brooklyn said here. The company’s analysis is based on data from Elsevier’s Gold Standard Drug Database.
Abbvie raised prices for about 40 drugs, including a 7.4% increase for the treatment of rheumatoid arthritis Humira, the world’s top-selling drug. Humira’s sales are expected to exceed $ 20 billion next year.
Bristol Myers increased the prices of about a dozen drugs, including the cancer drugs Revlimid and Opdivo, by 4.5 percent and 1.5 percent, respectively. It increased the price of blood thinner Eliquis by 6 percent.
It said in a statement that it only increased drug prices with ongoing clinical research. It expects net prices, including rebates and other rebates, to decline this year.
Drug price increases have slowed significantly since 2015, both in terms of the magnitude of the increases and the number of drugs affected.
However, Brooklyn said the analysis of Medicaid data shows that the average cost per brand name drug is still rising.
“Over time, we eventually cycle out of cheaper brands designed to handle large populations and replace them with expensive brands designed to treat smaller populations,” wrote Eric Pachman, president of 46brooklyn. “As price increases lose their impact, launch prices will be the main driver of US drug list inflation.”
Reporting by Michael Erman; Editing by David Gregorio