President Donald Trump’s order aimed toward reducing drug prices might probably save Individuals lots of of {dollars} in a class that’s taking over extra price range house than ever.

Individuals are spending extra on medication than ever earlier than, largely as a result of rising demand for weight reduction medication, in keeping with a brand new report from the American Society of Well being-System Pharmacists (ASHP). In 2024, Individuals spent $805.9 billion on prescribed drugs, a rise of 10.2% in comparison with the earlier 12 months.

Trump signed an order Monday directing pharmaceutical firms to decrease the quantity they cost federal authorities medical insurance packages for medication to match what they cost in international nations. This may lower drug prices by 59% to 90%, Trump stated in a press convention. Nonetheless, authorized analysts assume his try to decrease drug costs shall be challenged in courtroom.

With out taking into consideration the attainable results of Trump’s order, Individuals are projected to spend much more on prescribed drugs this 12 months, because the report estimates a 9% to 11% improve in expenditures in 2025.

Not solely are Individuals spending an growing quantity, however they’re spending greater than their neighbors on the identical medication. For instance, the price of weight-loss drug Ozempic prices $936 within the U.S., in comparison with $148 in Canada, in keeping with an evaluation by Peterson-KFF, a nonprofit analysis group.

In keeping with the newest knowledge from the Organisation for Financial Co-operation and Growth, Individuals spend extra per capita yearly than another nation. On common, every American spends $1,564 on prescribed drugs, the OECD discovered. Comparatively, Sweden was the developed nation with the following highest spending per particular person, at $1,159. Costa Rica had the smallest spending per particular person, at simply $162.