Merck & Co., Inc. (MRK.US) expects that its popular drug Keytruda will be included in the US version of "volume procurement" negotiations by 2026.

Merck & Co., Inc. (MRK.US) stated that it expects its top-selling drug Keytruda to be selected by the U.S. government for price negotiations next year. It is reported that the Inflation Reduction Act (IRA) allows the U.S. government to negotiate prices for expensive drugs. In documents filed with the U.S. Securities and Exchange Commission, Merck & Co., Inc. indicated that the Department of Health and Human Services (HHS), responsible for overseeing healthcare programs, has chosen one of its top-selling drugs, Januvia, as the subject of the first round of IRA price negotiations, with the set price taking effect in January 2026. Merck & Co., Inc. added that its drugs, Janumet and Janumet XR, have been chosen for the second round of negotiations, with the prices set to take effect in January 2027. Merck & Co., Inc. stated, "The company expects that by 2026, HHS will include Keytruda in the subsequent selection of products for IRA pricing, with the price taking effect on January 1, 2028. Therefore, the company anticipates that Keytruda sales in the U.S. will decline after that." Merck & Co., Inc. reported total sales of $64.2 billion in 2024, with Keytruda contributing $29.5 billion. Keytruda is Merck & Co., Inc.'s top-selling product, approved for multiple indications worldwide, helping the body's immune system fight cancer by blocking a protein called PD-1. It has been reported that the key patent for Keytruda will expire in 2028. The company has been developing a more manageable product to help improve its profitability.