Eli Lilly's Mounjaro is a tirzepatide injection drug used for treating type 2 diabetes and obesity.ALMAAS MASOOD/Reuters
U.S. drugmaker Eli Lilly & Co. has increased prices of its popular diabetes and anti-obesity drugs in Canada as it responds to pressure from the Trump administration to lower prices in the United States and raise them elsewhere.
The company also announced it is sharply raising prices in Britain to match those in other European markets.
The moves make the company one of the most high-profile so far to respond to U.S. President Donald Trump’s direction to rebalance global drug prices.
“Lilly supports the administration’s goal of keeping the United States the world’s leading destination for biopharmaceutical research and manufacturing, and the objective of more fairly sharing the costs of breakthrough medical research across developed countries,” the company said Thursday in an unsigned statement.
“This rebalancing may be difficult, but it means the prices for medicines paid by governments and health systems need to increase in other developed markets like Europe in order to make them lower in the U.S.”
Is working out necessary in the age of Ozempic?
Lilly is raising the list price in Britain for Mounjaro, its type 2 diabetes treatment, by 170 per cent, Reuters reported.
The market for weight-loss drugs has exploded in recent years, led by Novo Nordisk’s Ozempic and Wegovy, which are prescribed for diabetes and obesity, respectively. Ozempic earned $2.5-billion at retail pharmacies in Canada in 2024, according to data from industry broker IQVIA, nearly triple the next best-selling drug.
Lilly introduced Mounjaro in Canada in late 2023. It was originally sold in single-dose vials (taken weekly) at a wholesale price of around $80. It is sold in six different dosages.
The company then introduced a four-dose format called Kwikpen in January of 2025 and then a Kwikpen form of Zepbound, for obesity, in June. At the same time, it raised the prices of the single-dose vials to be in line with those of the Kwikpen and lowered production of the vials, leading to low inventories across the country.
Cubic Health, a company that analyzes drug prices for insurance-plan sponsors, said in a recent note to its clients that the annual cost of taking Mounjaro has more than doubled for high dosages since it first came to Canada. Cubic said the wholesale price for the Kwikpen now ranges from $387 to $773 depending on dosage, which can lead to an annual cost of more than $10,000. (Individual costs can vary depending on pharmacy, insurance coverage, discounts and other factors.)
“Vials were only intended as a short-term solution until a multidose pen became available to the Canadian market,” Lilly spokesman Ethan Pigott said in a statement. “Lilly will continue to support patients already using the vial format, but the KwikPen device will be prioritized go-forward for its supply sustainability, ease of use and multidose presentation.”
He also said discussion of price should include multiple factors. “Both Mounjaro and Zepbound are priced to reflect the value they can provide to individuals, health systems, and society in treating type 2 diabetes and obesity,” Mr. Pigott said.
Mounjaro and Zepbound are covered by some private insurance plans, depending on individual plan designs.
The drugs are not yet covered by any public insurance plans, which require going through national bodies that assess drugs and negotiate prices.
Lilly had started an application to Canada’s Drug Agency to have Mounjaro (also known as tirzepatide) assessed in 2022, but a spokesperson for the CDA said the submission was cancelled because of paperwork deficiencies.
Earlier: Generic version of Ozempic, Wegovy to launch in Canada by Hims & Hers
Mr. Pigott said Lilly is finalizing plans to resubmit Mounjaro, along with Zepbound, to the CDA “in 2025.”
While the average cost of these drugs in Canada is up, it is still a little short of prices in the U.S.
The wholesale price of Zepbound in the U.S. is US$1,086, according to Lilly’s website. It also offers direct-to-consumer sales in the U.S. at prices that range from US$349 to US$1,049, depending on dosage. Lilly has not yet launched direct sales in Canada.
Drug prices in the U.S. are, on average, more than three times those in Canada. Mr. Trump has repeatedly mentioned that statistic as he admonishes drug companies for their prices.
In May, he signed an executive order that directed Health Secretary Robert F. Kennedy Jr. to work with drug companies on “most favoured nation” pricing for pharmaceuticals.
Trump says new order will lower U.S. drug prices and increase them everywhere else
Two weeks ago, Mr. Trump sent letters to 17 drug companies – including Lilly – telling them to increase prices in non-U.S. markets to make up for lower revenue in the U.S.
The administration has also launched a national-security investigation of the sector that could lead to tariffs, which Mr. Trump has mused could be as high as 200 per cent.
In Lilly’s statement on Thursday, the company said it does not support tariffs.
“Broad tariffs would raise costs, limit patient access and undermine American leadership, especially for companies already investing heavily in domestic manufacturing,” the company said.