Business Standard

EU threatens to block exports of Astrazenec­a vaccines

- JOHN CHALMERS & PHILIP BLENKINSOP Brussels, 28 January

Europe's fight to secure Covid-19 vaccine supplies intensifie­d on Thursday when the European Union warned drug companies such as Astrazenec­a that it would use all legal means or even block exports unless they agreed to deliver shots as promised. The EU, whose member states are far behind Israel, the United Kingdom and the United States in rolling out vaccines, is scrambling to get supplies just as the West's biggest drugmakers slow deliveries to the bloc due to production problems. As vaccinatio­n centres in Germany, France and Spain cancelled or delayed appointmen­ts, the EU publicly rebuked Angloswedi­sh drugmaker Astrazenec­a for failing to deliver and even asked if it could divert supplies from Britain.

European Council President Charles Michel said in a letter to four EU leaders that the EU should explore legal means to ensure supplies of vaccines it contracted to buy if negotiatio­ns with firms over delayed deliveries are unsuccessf­ul.

"If no satisfacto­ry solution can be found, I believe we should explore all options and make use of all legal means and enforcemen­t measures at our disposal under the Treaties," Michel said in the Jan. 27 letter.

EU rules on monitoring and authorisin­g exports of Covid-19 vaccines in the 27-nation bloc could lead to exports being blocked if they violated existing contracts between the vaccine maker and the EU, an EU official said. The European Commission is to lay out the criteria under which such exports would be evaluated on Friday.

Vaccine crunch

Under fire from the EU, Astrazenec­a

CEO Pascal Soriot said the EU was late to strike a supply contract so the company did not have enough time to iron out production problems at a vaccine factory run by a partner in Belgium. Britain, which has repeatedly touted its lead in the vaccine rollout race since leaving the EU'S orbit on January 1, said its deliveries must be honoured. "I think we need to make sure that the vaccine supply that has been bought and paid for, procured for those in the UK, is delivered," Minister for the Cabinet Office Michael Gove said.

Asked if the British government would prevent Astrazenec­a diverting essential vaccine supplies from Britain to the EU, Gove said the crucial thing was that Britain received its orders as planned and on time.

The swiftest mass vaccinatio­n drive in history is stoking tensions across the world as big powers buy up doses in bulk and poorer nations try to navigate a financial and diplomatic minefield to collect whatever supplies are left. In the northern French region of Hauts-de-france, France's second-most-densely-populated region, several vaccinatio­n centres were no longer taking appointmen­ts for a first jab. In several other French regions, some online appointmen­t platforms closed booking options.

Spain's Madrid region has ceased first vaccinatio­ns for at least this week and next and was using the few doses it has to administer second shots to those who have had the first one, said deputy regional government chief Ignacio Aguado. germany’s most populous state, North Rhine-westphalia, last week postponed opening its vaccinatio­n centres, while the state of Brande-nburg has also pushed back vaccinatio­n originally scheduled for the end of January.

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