California will become the first state in the country to sell its own low-cost insulin beginning January 1, 2026.
“California didn’t wait for the pharmaceutical industry to do the right thing — we took matters into our own hands,” Governor Gavin Newsom said in a statement. “By beginning the process to manufacture our own insulin and pricing it at a maximum cost of $11 a pen in a five-pack, California and Civica are showing the nation what it looks like to put people over profits. No Californian should ever have to ration insulin or go into debt to stay alive — and I won’t stop until health care costs are crushed for everyone.”
The agreement, secured by Civica Rx with Biocon Biologics, will give consumers access to an insulin glargine pen. The pens are “interchangeable with Lantus, ensuring seamless substitution for patients,” Newsom’s office explained, and will “be available to California pharmacies for $45 and to consumers at a suggested retail price of no more than $55 per five-pack of 3 mL pens—a substantial reduction from current retail market prices.”
The state’s effort comes as President Donald Trump has also made moves to reduce drug costs.
The White House reached a deal with Pfizer and explained the agreement will provide “every State Medicaid program in the country access to [most-favored-nation] drug prices on Pfizer products” and “ensures foreign nations can no longer use price controls to freeride on American innovation by guaranteeing MFN prices on all new innovative medicines Pfizer brings to market.”
AstraZeneca has also reached an agreement with President Trump, offering medicines at a discount when selling directly to Americans.
