Prescription drug prices in the United States are already a topic of constant debate, and now, international politics may add another layer of complexity. Recently, there has been talk of imposing tariffs on Denmark, which could significantly increase the cost of Ozempic, a drug that is not just popular but necessary for many Americans. The proposed tariffs stem from a geopolitical disagreement over Greenland, a Danish territory, but the ripple effects could hit U.S. consumers in a very real way.
This blog will break down how these potential tariffs could raise the price of Ozempic, why that matters, and how Zeam Health & Wellness can support patients seeking affordable weight-loss options.
Understanding the Tariff Proposal
The proposed tariffs are connected to the Trump administration’s interest in purchasing Greenland from Denmark. Denmark firmly rejected this idea, leading the administration to consider tariffs as leverage. While it might sound like an abstract political move, tariffs impact people’s lives, especially when it comes to something as essential as healthcare.
Denmark is not one of the U.S.’s top trading partners, ranking 41st in terms of trade, but the goods it exports matter. In 2023, the two countries traded $16 billion worth of goods, and pharmaceutical products accounted for a significant share.Â
Novo Nordisk, a Danish pharmaceutical company, is one of Denmark’s biggest exporters. It produces Ozempic, a highly sought-after medication for diabetes management and weight loss.
Why Ozempic Prices Matter
Ozempic is a game-changer for people managing type 2 diabetes or seeking effective weight-loss options. Its active ingredient, semaglutide, mimics hormones that regulate appetite and blood sugar. This dual benefit has made it incredibly popular, not just for those with diabetes but also for individuals battling obesity.
However, the drug is not cheap. Without insurance, a month’s supply of Ozempic costs close to $1,000. For many, this price is already a barrier, even with programs like manufacturer discounts or patient assistance initiatives.Â
According to a recent survey by the Kaiser Family Foundation (KFF), about one in eight U.S. adults has tried a GLP-1 drug like Ozempic. Among those with diabetes, that number jumps to 40%.
Now, imagine the cost going even higher due to tariffs. The proposed tariffs could make an already expensive medication even more out of reach for those who need it the most.
How Tariffs Could Impact Prices
If tariffs are imposed on Danish goods, the cost of importing medications like Ozempic is likely to increase. Novo Nordisk relies heavily on the U.S. market for its revenue, so much so that Vermont Senator Bernie Sanders once called the U.S. “Novo Nordisk’s cash cow.” While the company has manufacturing facilities in other countries, including six in the United States, some of its key operations are based in Denmark.
Currently, pharmaceutical products make up about 30% of Denmark’s exports to the U.S. The trade relationship is critical, but it also leaves Americans vulnerable to price increases if tariffs disrupt the flow of goods.Â
Novo Nordisk would likely need to adjust its supply chain to minimize the impact, but those adjustments take time and resources, which are costs that could ultimately trickle down to consumers.
The Global Demand for GLP-1 Drugs
The popularity of Ozempic is not just a U.S. phenomenon. The global market for GLP-1 drugs, which includes Ozempic and similar medications, is projected to reach $105 billion by 2030. These medications are transformative for managing diabetes and obesity, but their high cost makes them inaccessible for many, even in wealthier countries like the United States.
Novo Nordisk’s role in this market is massive. In 2024, the company was responsible for nearly half of Denmark’s GDP growth, largely due to the success of Ozempic and its sister drug Wegovy.Â
However, its heavy reliance on the U.S. market makes any disruption, such as tariffs, a potential issue for both the company and American patients.
Compounded Semaglutide as a Possible Alternative
If tariffs cause Ozempic prices to rise, some patients might turn to alternatives like compounded semaglutide. Compounding pharmacies can create custom versions of medications at a lower cost. However, these alternatives come with risks. Unlike branded drugs, compounded medications are not FDA-approved and may not meet the same quality and safety standards.
The FDA has been closely monitoring the availability of Ozempic and Wegovy. While they declared the drugs “available” in October 2024, the supply chain remains a concern. Patients seeking affordable options may find themselves turning to compounded versions if tariffs lead to price hikes for the branded drug.
The Role of Trade Agreements
One potential silver lining is the 1994 Agreement on Trade in Pharmaceutical Products, which eliminates tariffs on many medications and their components. The U.S. is a signatory to this agreement, and it could provide some protection against price increases. However, the application of the agreement to Ozempic and similar drugs is not guaranteed.
Trade experts also point out that the specific structure of the tariffs matters. If the tariffs target goods imported directly from Denmark, Novo Nordisk’s facilities in other countries might help shield the company from some of the impact.Â
However, no matter how the tariffs are structured, they are likely to create uncertainty—and uncertainty in supply chains often leads to higher costs for consumers.
How Zeam Health & Wellness Can Help
The proposed tariffs on Denmark highlight just how interconnected politics and healthcare are. What might seem like a distant geopolitical issue can have a direct impact on people’s lives, especially when it comes to essential medications like Ozempic. For patients already struggling with the cost of care, the possibility of higher prices is a serious concern.
At Zeam Health & Wellness, we understand how overwhelming it can be to navigate rising healthcare costs. As a provider of primary care services and medical weight-loss solutions, we are here to support patients seeking effective and affordable care.
Our weight-loss programs include options like Ozempic, which has been a transformative treatment for many. We work closely with patients to create personalized care plans that fit their needs and budget. Whether it is navigating insurance coverage, accessing manufacturer discounts, or exploring alternative options, we are committed to helping you achieve your health goals.
Contact us today to learn more about our primary care and medical weight-loss services.
