In short:

PBS medicines will cost a maximum of $25 if Labor wins the next election, down from $31.60.

The move comes as American medical giants take aim at the PBS, describing it as an "egregious and discriminatory" program and calling for the Trump administration to impose retaliatory tariffs.

What's next?

Labor's proposed changes would come into effect from January 2026 if the government is re-elected.

"With cheaper medicines, more free GP visits and a stronger Medicare, we say to Australians: we've got your back."

The Coalition said it would match the policy, which its health spokesperson Anne Ruston said would "ensure Australians have more affordable access to the medicines and treatments they need, at a time when healthcare has never been more expensive."