Should President-elect Donald Trump follow through on his threat to use tariffs as a wedge to pry Greenland from Denmark, it could result in higher prices for the popular weight-loss drug Ozempic in the U.S., according to reports.
Earlier this week, Trump said he would impose "very high" tariffs on Denmark if it didn't sell Greenland to the U.S. The island, a self-governing territory within Denmark's kingdom, has resurfaced on Trump's wish list ahead of his new administration.
And while Denmark is not a major trading partner, the U.S. did import $5.7 billion worth of pharmaceuticals from the country in 2023 — a figure that was even higher in 2024 — because Danish pharmaceutical giant Novo Nordisk is the sole owner of semaglutide, the chief ingredient in Ozempic and its sister drug, Wegovy, CNN reported. The drugs fight diabetes but have soared in popularity for their weight-loss effects.
Currently, one package of Ozempic costs $1,000 before insurance while Wegovy goes for more than $1,300 per package.
"Novo Nordisk retains a sizable monopoly power on the market," Jacob Funk Kirkegaard, senior fellow at the Peterson Institute for International Economics, told CNN. "If Donald Trump decides it's going to cost 50% more, Novo Nordisk can say, 'Fine, we'll just charge American consumers that much more.'"
Another expert said that this threat of tariffs, similar to others Trump has made to Canada, Mexico and China, for example, are also attention-grabbers.
"With Trump, tariffs are a go-to tool. He is trying to get their attention," Christine McDaniel, a former trade official in President George W. Bush's administration, told CNN.
Novo Nordisk in a statement to media outlets said the company is following "the situation closely; however, we will not comment on hypotheticals and speculations."
"The geopolitical landscape in today's world is very dynamic, and we remain focused on our commitment to deliver lifesaving medicines to the patients we serve," the statement went on.