The U.S. Department of Health and Human Services said on Tuesday it would set drug prices pegged to the lowest level paid by other high-income countries following an executive order from President Donald Trump last week aimed at lowering the prices of branded medicines for U.

The US Department of Health and Human Services is demanding that pharmaceutical companies cut drug prices to the lowest price offered to nations with economies that are similar to the US’s, the agency announced Tuesday.

The U.S. Department of Health and Human Services said on Tuesday it was setting most-favored-nation prescription drug pricing targets following an executive order by President Donald Trump. The target price "is the lowest price in an OECD country with a GDP per capita of at least 60 percent of the U.

Plenty of questions remain about Trump's plan to push U.S. drug prices down closer to those in other countries.

The Trump administration is targeting pharmaceutical companies with an executive order aimed at lowering U.S. drug prices while allowing higher prices abroad.

Drugmakers will be expected to commit to aligning U.S. prices with the lowest price set in a group of peer nations for all brand products across all markets that do not currently have generic or biosimilar competition.