The United States has opened a trade investigation into Germany’s pharmaceutical pricing policies
June 19, 2026: The United States has launched a formal investigation into Germany under Section 301 of the Trade Act of 1974, examining whether the country’s pricing policies for innovative pharmaceutical products are discriminatory and harmful to US commerce. US Trade Representative Jamieson Greer said the move follows months of discussions with German officials that failed to resolve concerns over what Washington describes as persistent underpayment for new medicines.
Greer argued that American patients should not bear a disproportionate share of global pharmaceutical research and development costs. He also expressed concern over reports that Germany is considering legislation that could further reduce spending on innovative drugs. The US Trade Representative’s office will begin accepting public comments on June 25, with a public hearing on the matter scheduled for September. The probe comes amid ongoing criticism that drug prices in the United States remain among the highest in the world.
Meanwhile, Germany is pursuing major healthcare reforms aimed at reducing insurance costs and closing funding gaps in its healthcare system. The proposed changes have already sparked concern among pharmaceutical companies, with US drugmaker Eli Lilly recently announcing plans to cut its planned investment in Germany by half. The investigation adds a new dimension to trade relations between Washington and Berlin as both sides debate how healthcare costs and pharmaceutical innovation should be funded.