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Trump tasks FDA to crack down on misleading drug advertising
Yahoo Finance· 2025-09-10 15:05
Core Points - The US government is initiating an enforcement drive against misleading drug advertising by pharmaceutical companies and social media influencers [1][2] - The FDA is sending thousands of warning letters to pharmaceutical companies and around 100 letters to other companies to remove deceptive marketing [1][4] - The enforcement is part of a presidential memorandum aimed at increasing transparency in drug advertising, particularly regarding risks associated with medications [2][5] Industry Impact - The political focus on drug advertising intensified following a controversial advertisement by telehealth company Hims & Hers during the Super Bowl, which criticized Big Pharma while promoting its own products [3] - The FDA has historically issued very few warning letters, with only one in 2023 and none in 2024, indicating a shift towards stricter enforcement of advertising regulations [4] - The US is one of the few countries that allows direct advertising of prescription drugs to consumers, creating a multi-billion dollar market for such advertisements [5] Regulatory Changes - The memorandum emphasizes the need for fair, balanced, and complete information in drug advertising, aiming to address the imbalance in how benefits and risks are presented [5][6] - A recent study found that while 100% of pharmaceutical social media posts highlight drug benefits, only 33% mention potential harms, raising concerns about compliance with current laws [6] - The health secretary has stated that the administration will require drug companies to disclose all critical safety facts in their advertising to combat overmedicalization [7]