Australia Stands Firm on PBS as US Pharma Pushes for Tariffs

The Albanese government pledges cheaper medicines while rejecting US pharmaceutical industry demands to alter the PBS system.

The Albanese government has pledged to reduce the cost of PBS-listed medicines to $25 per script starting January 2026 if re-elected, with the Coalition matching the promise.
US pharmaceutical companies have criticized the PBS as 'discriminatory' and urged the Trump administration to impose tariffs on Australian pharmaceutical exports.
Health Minister Mark Butler and bipartisan leaders have reaffirmed that the PBS, a cornerstone of Australia's healthcare system, will not be altered under US pressure.
The PBS has saved Australians billions by subsidizing medicine costs, but US pharmaceutical lobbyists claim it undermines American competitiveness and restricts market access.
A decision on potential US tariffs targeting Australian pharmaceutical exports is expected next month, with Australian officials advocating against such measures.