Eli Lilly says Trump pricing policy will affect obesity drug launches in Europe

Eli Lilly and Co

Tue 17:08

By Maggie Fick

    BRUSSELS, June 23 (Reuters) - Eli Lilly LLY.N expects to launch its weight-loss pill in Europe and Britain in the second half of 2026 or early 2027, with the drugmaker targeting the out-of-pocket telehealth market as it has done in the United States. 
Lilly still plans to pursue public reimbursement from European governments where possible, even as new U.S. drug pricing policies complicate negotiations with health authorities. 
Patrik Jonsson, executive vice president of Lilly's international businesses, told Reuters the company expected Europe and Britain to be among the next markets to receive the drug after recent approvals in the United States and the United Arab Emirates.
Lilly plans to launch the drug for weight-loss as soon as it gets regulatory approvals but will partner with telehealth companies because most obesity treatment outside the U.S. is paid for directly by patients rather than public health systems, he said.
The strategy builds on its efforts to develop a consumer-focused obesity business outside the U.S. through telehealth providers, e-commerce platforms and direct-to-patient channels. Lilly is continuing to apply lessons from the development of the U.S. obesity market, he said. 
Jonsson said Lilly would still seek reimbursement where possible, despite uncertainty created by U.S. President Donald Trump's "most-favoured-nation" pricing policy, which seeks to link some U.S. drug prices to those paid in other countries. 
"Our goal will still be public coverage, wherever possible," he said. He, however, added that "MFN will play a role for all launches".
Lilly signed an agreement with the Trump administration last year committing to provide MFN pricing on new medicines. 
Jonsson said Lilly would seek reimbursed prices that were consistent with the company's interpretation of the MFN framework, which links prices to U.S. net prices adjusted for countries' income levels. 
His comments come as drugmakers and European governments  clash over medicine pricing, with companies warning that lower European prices could increasingly affect returns in the lucrative U.S. market.

 (Reporting by Maggie Fick; Editing by Emelia Sithole-Matarise)
 ((maggie.fick@thomsonreuters.com; +44 7890 916706;))