We Work For Health Statement on Threat Posed by New Price-Control Demos to U.S. Innovation and Global Leadership

WASHINGTON, D.C. (Dec. 19, 2025) We Work For Health released the following statement today in response to the Centers for Medicare & Medicaid Services announcing the Global Benchmark for Efficient Drug Pricing (GLOBE) and Guarding U.S. Medicare Against Rising Drug Costs (GUARD) models:

“Applying the most favored nation (MFN) pricing models to Medicare Parts B and D – including sweeping Medicare demonstrations that would mandate price controls across broad categories of Parts B and D medicines – imposes policies that carry significant long-term consequences for American workers, medical innovation and, most importantly – patients. These measures weaken the foundation of U.S. biopharmaceutical discovery and risk reducing the availability of future treatment options for patients. They also overlook the substantial economic contribution of the life sciences sector, which supports more than 4.9 million jobs and billions of dollars in economic activity across local communities nationwide.

“This year alone, the life sciences industry has committed to investing nearly $500 billion to drive new research and development, expand manufacturing and create jobs nationwide. Policies like these would kneecap that investment just as many emerging companies are getting off the ground, threatening to stall critical breakthroughs before they ever reach patients who need them.”

“While WWFH recognizes the Administration’s focus on reducing health care costs for Americans, MFN and similar price‑control policies fundamentally miss the mark. These proposals do nothing to address the true drivers of U.S. health care spending and instead jeopardize America’s position as the world’s leading engine of health care innovation.

“The national security implications are equally serious. Earlier today, the National Security Commission on Emerging Biotechnology (NSCEB) released an update to its April report, reiterating that the U.S. faces a rapidly narrowing window to counter China’s accelerating biotech ambitions. The bipartisan commission concluded that ‘this window is closing far faster than anticipated, underscoring the urgency for an accelerated U.S. policy response.’ Policies like GLOBE and GUARD could unintentionally strengthen foreign competitors at the expense of U.S. leadership.

“Ensuring medicines are affordable and accessible is essential. But by CMS’ own admission, the proposed policies are projected to increase costs for America’s seniors. Real solutions must confront the real drivers of health system costs, not weaken the innovative capacity that keeps America at the forefront of global biomedical progress.”