-- Japan may miss out on breakthrough drugs because a U.S. pricing model threatens to link American drug costs to lower Japanese prices under the most favored nation (MFN) plan, Nikkei reported on Tuesday.
Under the plan, the U.S. would reference prices from countries, including Japan, for Medicare and Medicaid, though companies could avoid this by not launching products in Japan, the news daily said.
This could lead pharmaceutical firms to delay or skip entering the Japanese market, while Japan might face upward pressure on drug prices and higher social insurance costs, the publication said.
Industry groups are urging Japan to reassess its pricing rules to align innovative drug prices with international levels and maintain them during patent periods, the report said.
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