Novo Nordisk A/S, one of the world’s biggest makers of insulin, said it would cut US prices for several of its products by up to 75%, following similar actions by rival Eli Lilly & Co.
(Bloomberg) — Novo Nordisk A/S, one of the world’s biggest makers of insulin, said it would cut US prices for several of its products by up to 75%, following similar actions by rival Eli Lilly & Co.
Novo will reduce the list price for NovoLog and NovoLog Mix 70/30 by 75%, and cut Novolin and Levemir’s list prices by 65%, according to a statement Tuesday. It’s also reducing list prices for several unbranded insulins. The changes go into effect next year.
Lilly said earlier this month that it would slash prices for Humalog and Humulin by 75% and cap out-of-pocket costs at $35. Those actions were hailed by President Joe Biden, who said then that other companies would follow suit.
Pressure on insulin manufacturers has long been ramping up amid rising concerns about affordability for people with diabetes. The issue has gained urgency as lawmakers have pushed for lower prices, competitors plan to make cheaper products, and new legislation threatens to force manufacturers to cut pricing.
Senator Bernie Sanders, a Vermont Independent and Democratic Representative Cori Bush from Missouri introduced a bill that would cap insulin’s list price at no more than $20 a vial. Novo and Lilly, along with France’s Sanofi, make up the majority of the US insulin market. Sanofi has not said whether it will reduce prices for its products.
Novo’s list price for NovoLog and NovoLog Mix will now be $72. Levemir is priced at $108 and Novolin will be priced at $48.
Novo, based in Denmark, rose 0.3% as of 2:43 p.m. in Copenhagen. Lilly was little changed at the New York market open.
Novo’s actions were reported earlier by the Wall Street Journal.
–With assistance from Emma Court.
(Updates with context from fourth paragraph)
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