American small and medium-size companies that rely on China are scrambling to adjust their business plans in response to the escalating trade war.Traderead more
Here are the products that stand to be the most affected by China's new tariffs on $75 billion worth of U.S. goods.Marketsread more
Trump said he will raise tariffs on $250 billion in Chinese goods to 30% and hike duties on another $300 billion in products to 15%.Politicsread more
China said on Saturday it strongly opposes Washington's decision to levy additional tariffs on $550 billion worth of Chinese goods and warned the United States of consequences...Politicsread more
The European Union will respond in kind if the U.S. imposes tariffs on France over digital tax plan, EU chief Donald Tusk told G-7.Technologyread more
Stocks dropped after Donald Trump ordered that U.S. manufacturers find alternatives to their operations in China.US Marketsread more
The final week of August could be highly volatile as markets fret over the economy and the latest developments in trade wars.Market Insiderread more
Federal Reserve Vice Chair Richard Clarida said Friday that the global economy has deteriorated in the past month.Marketsread more
The latest escalation in the trade war ups the odds the economy will fall into recession and that the Fed will aggressively cut rates.Market Insiderread more
"We don't need China and, frankly, would be far better off without them," Trump tweeted.Politicsread more
Recent trade friction between the two Asian powerhouses has morphed into a dispute with political implications that go far beyond the region.Asia Politicsread more
Bluebird Bio CEO Nick Leschly on Friday defended the biotech company's $1.8 million price tag for its new gene therapy to treat a rare genetic blood disorder.
Bluebird's therapy, Zynteglo, was approved in Europe earlier this month for patients with beta thalassemia who require regular blood transfusions to manage their disease and have no matching donor for a stem cell transplant. The price tag, set Friday, makes the drug the second most expensive in the world behind Swiss drugmaker Novartis' $2.1 million gene therapy for spinal muscular atrophy.
Leschly reasoned that the one-time treatment is a game changer for patients, giving them a "lifelong benefit" while avoiding costly blood transfusions every few weeks for the rest of their lives.
Bluebird said patients will only have to pay $1.8 million if the treatment works. The company proposed a five-year installment plan, with 315,000 euros, or $356,567, paid upfront and additional payments due only if the treatment proves effective. It's a form of value-based pricing, Leschly said.
"Neither Novartis' drug nor our drug is anywhere near the most expensive drug in the world. It's really thinking about it differently," Leschly said in an interview on CNBC's "The Exchange. " "This is a good thing, a one time curative treatment."
Novartis and Bluebird's approvals mark a new era in medicine where new therapies can cure patients in a single treatment — but at a high price. Insurers and governments will need to figure out how to pay for these therapies and society will need to decide whether any drug, even lifesaving ones, are worth millions of dollars.
Bluebird expects the therapy to be approved for beta thalassemia in the U.S. in 2020.
In May, Novartis gave a similar reasoning on pricing for its one-time treatment for spinal muscular atrophy, a muscle-wasting disease and leading genetic cause of infant mortality.
In rationalizing the expensive price, Novartis said the one-time treatment costs 50% less than the 10-year cost of current chronic management of the disease. Another current treatment for spinal muscular atrophy for children and adults is Biogen's Spinraza, which has a list price of $750,000 for the first year and $375,000 annually thereafter.