Sun Pharma agrees to supply at MFN pricing to U.S. medicaid programmes

Sun Pharmaceutical Industries Ltd., based in Mumbai, India, has agreed to supply pharmaceutical products to U.S. Medicaid programs at Most Favoured Nation (MFN) pricing, according to a Reuters report on October 31, 2025. The company, a major player in the global pharmaceutical market with approximately 27% of its revenue originating from the U.S., signed the agreement following a ceremony at the White House on the same day.

The U.S. government had signed similar agreements with nine other pharmaceutical companies, including Sun Pharma, to enhance access to affordable medicines for millions of Americans. In response, Sun Pharma stated that the deal acknowledges its investment in the U.S. market by delaying Section 232 tariffs on innovative pharmaceutical products for over two years.

Rick Ascroft, North America CEO of Sun Pharma, represented the company at the White House event, expressing pride in the company's role in delivering essential medicines to American patients. The U.S. represents a significant investment and expansion area for Sun Pharma, with a strong presence in clinical development, sales, marketing, and manufacturing of both active pharmaceutical ingredients (API) and finished products.

Sun Pharma's U.S. market share is second in dermatology and continuously expanding in dermatology, immunology, cutaneous oncology, and ophthalmology, complementing its strong portfolio of consumer health products and generics.

The MFN pricing agreements are part of President Donald Trump's initiative to lower prescription drug prices for Americans, aligning them with the lowest prices paid by other developed nations, known as Most-Favoured-Nation prices. This agreement benefits every State Medicaid program in the U.S., providing access to MFN drug prices on products from the nine participating manufacturers, and resulting in billions of dollars in potential savings for millions of Americans.