Danish pharmaceutical giant Novo Nordisk is set to slash prices of its GLP-1 class treatments in the U.S. market by up to 50%.

Industry insiders and international media reported on Wednesday that Novo has announced plans to reduce the wholesale acquisition cost (WAC) of its popular medications Wegovy, Ozempic, and Rybelsus by 35% to 50%, effective January 1, 2027.

Wegovy, a once-weekly injectable, is approved for obesity treatment, while Ozempic is an injectable medication for type 2 diabetes. Rybelsus, an oral diabetes drug, contains the active ingredient semaglutide.

Following the price cut, the WAC for these drugs is projected to settle around 675 USD.

The WAC is the list price pharmaceutical companies offer to wholesalers and serves as a starting point for negotiations with insurers and pharmacy benefit managers (PBMs). Actual patient costs may vary based on insurance coverage and rebate structures.

Currently, the monthly WAC in the U.S. stands at approximately 1,350 USD for Wegovy and 1,000 USD for both Ozempic and Rybelsus. This price adjustment will be applied uniformly across all dosages and formulations, including both injectable and oral versions.

However, direct-to-consumer (DTC) self-pay prices will remain unchanged.

Market analysts suggest this price adjustment is in response to intensifying competition in the global obesity treatment market. Novo recently adjusted prices in China as well, anticipating the expiration of the semaglutide patent.

The patent is set to expire in China next month, potentially opening the door for generic versions to enter the market and ramp up competition.

Reports indicate that local Chinese pharmaceutical companies are gearing up to launch generic products, prompting multinational firms to preemptively lower prices as a defensive strategy.

In the U.S., there's mounting pressure to reduce prices of costly obesity treatments. Starting in 2027, the government will implement a system to directly negotiate prices for certain medications. Industry experts believe Novo's price adjustment is a strategic move in anticipation of these impending changes.

In South Korea, there's growing interest in potential future price changes. However, analysts note that key semaglutide patents in South Korea remain valid until 2028, making it unlikely for generic competition to intensify in the near term.

Danish pharmaceutical giant Novo Nordisk is set to slash prices of its GLP-1 class treatme …

Novo Nordisk Slashes GLP-1 Drug Prices by Up to 50%: What This Means for Obesity Treatments in 2027