An election promise to secure cheaper medicines for Australians could be under threat as the United States seeks to impose a new round of tariffs.
The powerful US pharmaceutical lobby has written to the White House, targeting Australia’s Pharmaceutical Benefits Scheme (PBS) as President Donald Trump mulls new tariffs.
Trump has been urged by lobby group Pharmaceutical Research and Manufacturers of America to impose tariffs on Australian pharmaceutical exports, saying the PBS is “blatant and discriminatory” towards the US pharmaceutical sector.
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Meanwhile, Labor has promised to make PBS drugs cheaper by capping each prescription at $25 or less from January 2026.
The current maximum cost to fill a prescription for a PBS drug is $31.60 for general patients and $7.70 for concession card holders, with the federal government paying the remaining cost.
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