The US plans to slash the price it pays for the Novo Nordisk A/S blockbusters Ozempic and Wegovy, the latest drugs to be targeted under legislation that’s expected save the government more than $200 billion over a decade.

Medicare will soon start paying lower prices for Novo Nordisk’s weight- loss drug Wegovy and its Type 2 diabetes treatment Ozempic, the federal agency that manages the program said Friday.The announcement confirms the long-anticipated inclusion of the blockbuster Novo medicines among 15 additional drugs whose prices Medicare will be allowed to negotiate with drugmakers this year.

Blockbuster weight-loss and diabetes drugs Wegovy and Ozempic top the list of 15 drugs selected for the second round of federal price negotiations, which are scheduled to begin this year, with resulting bargained prices going into effect in 2027.