Pharma Pulse: PhRMA Sues to Block GLOBE Model and Bayer's $2.2B Ohio Site

Welcome to Pharma Pulse, a Pharmaceutical Commerce podcast bringing you the latest insights shaping patient access, regulatory policy, and healthcare innovation. I'm your host, and let's get into today's headlines.

First up, the branded drug industry's leading trade group is taking the administration's most favored nation (MFN) pricing push to court. The Pharmaceutical Research and Manufacturers of America (PhRMA) filed suit on Oct. 7 in the US District Court for the District of Columbia, asking the court to declare CMS's Global Benchmark for Efficient Drug Pricing (GLOBE) Model unlawful and vacate the rule.¹ Finalized Sept. 30, GLOBE ties Medicare Part B inflation rebates for certain separately payable drugs and biologics to international benchmark prices beginning Jan. 1, 2027, in randomly selected areas covering about 25% of Original Medicare enrollees.² PhRMA argues CMS is using its demonstration authority to impose nationwide price-setting Congress never authorized, overriding Medicare's statutory rebate structure and expanding civil monetary penalties. "GLOBE is unlawful and clearly exceeds CMS' authority," said PhRMA president and CEO Stephen J. Ubl.¹

Not everyone is buying that argument. In an emailed statement to Pharmaceutical Commerce, former Rep. J.D. Hayworth (R-AZ), a spokesperson for the Pharmaceutical Reform Alliance, noted that drugmakers have announced MFN deals in the Oval Office over the past year. "So, which is it? Does Big Pharma support MFN or have they been untrustworthy and playing the Washington game this whole time?" Hayworth said, urging Congress to "finally write MFN drug pricing policy into law." Read our full breakdown of the lawsuit.

Next, Worldwide Flight Services (WFS) is adding temperature-controlled air cargo capacity in a French region dense with life sciences companies. The SATS-owned cargo handler opened a roughly 273,000-square-foot terminal at Lyon-Saint Exupéry Airport, consolidating its Lyon operations at a single site connected directly to the airport's runways.³ The facility, called Aéroport de Lyon DC1, includes about 47,000 square feet of cold rooms for sensitive cargo and 36 dock doors, five of them dedicated to air freight pallet transfers. WFS says the terminal is built to serve the healthcare, pharmaceutical and biotech companies concentrated around Lyon, and it becomes the company's second-largest operation in France after Paris Charles de Gaulle.

The project lands as rising temperature-sensitive volumes stress-test cold chain capacity, putting a premium on airside infrastructure built for pharma.

Lastly, Bayer is adding to the run of US manufacturing commitments. The company plans to invest $2.2 billion in a new pharmaceutical manufacturing site in New Albany, Ohio, serving the US, its largest pharmaceuticals market, as well as global demand.⁴ The modular campus will combine drug substance and drug product manufacturing, initially supporting Bayer's oncology, cardiovascular and renal care portfolio. The first module, for drug substance, is expected to come online in 2031, with drug product following in 2034. Bayer expects to create about 600 jobs at the site and roughly 1,500 construction jobs. The project builds on more than $7 billion in US pharma R&D and manufacturing spending over the past five years, as tariff policy continues to reshape where drugmakers build.

That's it for this episode of Pharma Pulse. For more insights on trends transforming pharmaceutical access, visit pharmaceuticalcommerce.com. Thanks for listening, until next time, stay well and stay informed.

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References

1. Pharmaceutical Research and Manufacturers of America. "PhRMA Challenges CMS' MFN Policy as Unlawful Overreach." October 7, 2026. https://phrma.org/resources/phrma-challenges-cms-mfn-policy-as-unlawful-overreach
2. Centers for Medicare & Medicaid Services. "CMS Finalizes New Mandatory Drug Payment Model to Deliver Lower Drug Prices for Beneficiaries in Original Medicare Part B." September 30, 2026. https://www.cms.gov/newsroom/press-releases/cms-finalizes-new-mandatory-drug-payment-model-deliver-lower-drug-prices-beneficiaries-original
3. Worldwide Flight Services. "WFS launches a new generation of logistics infrastructure at Lyon-Saint-Exupéry Airport to support the region's high-value economic sectors." September 30, 2026. https://www.wfs.aero/wfs-launches-a-new-generation-of-logistics-infrastructure-at-lyon-saint-exupery-airport-to-support-the-regions-high-value-economic-sectors/
4. Bayer. "Bayer to invest 2.2 billion U.S. dollars in a new manufacturing site in the United States." October 2, 2026. https://www.bayer.com/media/en-us/bayer-to-invest-2-billion-us-dollars-in-a-new-manufacturing-site-in-the-united-states/