The U.S. healthcare landscape faces potential significant changes following Donald Trump's election victory, with industry experts warning of impending instability in healthcare systems and regulatory frameworks. The uncertainty primarily stems from Trump's suggested appointment of Robert F. Kennedy Jr. to a key healthcare oversight role and possible modifications to existing healthcare policies.
Potential Impact of RFK Jr.'s Appointment
Trump's indication to give RFK Jr. authority to implement his "make America healthy again" plan has sparked concern among healthcare experts. Kennedy's previous anti-vaccine stance and critical position toward the FDA has raised red flags about the future of drug approvals and regulatory oversight.
GlobalData pharmaceuticals analyst Cyrus Fan warns, "Appointing RFK the position as health secretary may have damaging implications for the US healthcare. Given his anti-vaccine rhetoric and negative comments towards the FDA, it raises questions for the future of US drug approvals and the FDA's regulatory power."
Kennedy's October social media post directed at FDA employees, instructing them to "preserve records" and "pack bags," has further intensified concerns about potential disruption to established regulatory processes.
Affordable Care Act and Healthcare Coverage
While Trump has stepped back from his previous stance on repealing the Affordable Care Act (ACA), uncertainty remains about his alternative healthcare plan. The ACA currently provides crucial subsidies to approximately 20 million Americans who depend on private health insurance.
A critical deadline approaches in 2025 when enhanced subsidies, implemented through the American Rescue Plan Act under President Biden, are set to expire. Trump has not yet indicated whether these subsidies would be extended under his administration.
Impact on Public Health Initiatives
Industry analysts express concern about the potential dismantling of key public health agencies and programs. "Dismantling the Centres of Disease Control and Prevention (CDC) and other health agencies could jeopardize US public health and slow down all the work made during the Biden Administration," Fan notes, highlighting specific risks to the Cancer Moonshot program and efforts to address the opioid epidemic.
Pharmaceutical Industry Outlook
While Trump's previous proposal for international reference pricing appears to have been shelved, new areas of focus may emerge. The pharmaceutical industry might face reforms targeting pharmacy benefit managers (PBMs), a topic that has gained attention among Republican lawmakers.
Trump's 2024 campaign provided limited detail on specific healthcare policies, though he has expressed interest in drug cost-reduction measures. These proposals are expected to be less aggressive than those suggested by his Democratic opponent, Kamala Harris.
