Indian pharmaceutical stocks saw a significant dip on May 12, 2025, following the announcement by U.S. President Donald Trump regarding plans to reduce prescription drug prices by up to 80%. The executive order, which introduces a “most favored nation” approach, aims to ensure the U.S. will not pay more for drugs than the lowest price paid by other countries. This move has led to concerns within the global pharma market, particularly affecting Indian companies with large stakes in the U.S. pharmaceutical market.