Business Day

EU falling behind in vaccine race

• The UK and US, which are poised to roll out Covid-19 immunisati­on shots in 2020, are streaking ahead

- James Paton

With Covid-19 vaccines coming soon, the countries likely to pull ahead in protecting their population­s are not a big surprise: Britain and the US. The EU is forecast to trail its peers in immunising tens of millions of people, which could leave the bloc vulnerable to the pandemic.

With Covid-19 vaccines coming soon, the countries likely to pull ahead in protecting their population­s are not a big surprise. Britain has become the first Western country to clear a shot, and after ploughing as much as $18bn into Operation Warp Speed, the US is in a prime position.

But the EU is forecast to trail its peers in immunising tens of millions of people as vaccines from Pfizer, Moderna and AstraZenec­a near the finish line. That could leave the bloc vulnerable to the pandemic and buoy UK efforts to demonstrat­e it is better off on its own after Brexit.

The EU is likely to have enough vaccine for two-thirds of its population by September 2021, hitting that level more than four months after the US and two months behind the UK, going by analysis by Londonbase­d research firm Airfinity. The estimates are based on the supplies government­s have secured per capita, production capacity in each region and the expected efficacy of the shots.

Several Western countries are making plans to begin vaccinatio­n imminently, which will require close monitoring of safety. Regardless of how soon they start, immunising 60%70% of the population is the critical point, as it may allow societies to safely reopen without the threat of mass disease and inundated health systems.

Government­s across the industrial­ised world are already under fire for their flailing efforts to revive economies as the pandemic fills hospitals with more than 90,000 patients in the US alone. While concerns grow that wealthier nations will move ahead of lower- and middleinco­me regions, the prospect of parts of the rich world recovering more slowly than others threatens to create additional internatio­nal friction.

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France, Germany and other European countries have managed to curb coronaviru­s cases, but not without new lockdowns and restrictio­ns that have hurt limping businesses.

“Suppose the US marches ahead and gets a lot of its population vaccinated faster than in Europe, you can imagine the pressure European politician­s are going to come under,” said Simon Evenett, a professor of internatio­nal trade and economic developmen­t at the University of St Gallen in Switzerlan­d.

“As a source of tensions between countries, this really could spiral.”

The European Commission, which has secured almost 2billion Covid vaccine doses through six supply agreements on behalf of its members, would not comment directly whether they are likely to be able to immunise their population­s as fast as the US or other nations.

“What matters is to ensure a quick deployment of vaccines which have been deemed safe and effective,” the EU’s executive arm wrote in a November 30 e-mail, adding that it is working with member states to ensure they are ready for distributi­on as soon as available.

While vaccines could begin rolling out in the US and Britain before the end of 2020, Airfinity projects that the EU’s first doses will not arrive until January. Health officials in France have said they expect to start vaccinatin­g people in late December or early January, and that all EU countries will get their doses at the same time.

Meanwhile, German health minister Jens Spahn has said special immunisati­on centres should be ready by the middle of December, and he expects highrisk groups to begin receiving vaccinatio­ns in January.

Britain’s medicines regulator approved the shot from Pfizer and German partner BioNTech on Wednesday, moving ahead of the US and EU. The shot is awaiting a decision from the US

Food and Drug Administra­tion in the middle of December, while clearance from the European Medicines Agency is expected towards the end of 2020. Moderna and AstraZenec­a are most likely to follow.

Supply is a key factor behind the outlook. The EU has secured the equivalent of 1.9 doses per person from the three frontrunne­rs, compared with 4.2 doses in the US and 2.2 doses in the UK, according to Bloomberg Intelligen­ce. The EU has also done more of its contractin­g with drugmakers such as Johnson & Johnson, which are expected to finish later.

The US is a leader in production. This will play an important role as “countries are unlikely to export shots in large quantities until their own vaccinatio­n goals are met”, said Rasmus Bech Hansen, Airfinity’s CEO.

A number of other factors could change the pace of deployment. It is unclear how countries will navigate logistics hurdles and how many of their citizens are willing to roll up their sleeves, while some European countries are taking their own immunisati­on steps.

Germany, for example, is carrying out direct talks with domestic developers to obtain more doses than would be allocated through the shared EU plan, said Spahn, the health minister. The country has secured access to more than 300-million doses, including the shot developed by BioNTech and Pfizer, officials said.

The US has benefited from outspendin­g other nations and investing in a number of different vaccines, said Klaus Stohr, a former official at the World Health Organisati­on who helped mobilise government­s and drugmakers against potential pandemics. The country’s experience in developing immunisati­ons, helped by its Biomedical Advanced Research and Developmen­t Authority (Barda), has contribute­d too, said Stohr, who has also worked at drugmaker Novartis.

Any scenario in which Europe trails Britain and the US could put European officials in the hot seat. The bloc has already faced calls to step up its crisis response efforts, and European Commission president Ursula von der Leyen has announced a proposal to create an EU version of Barda.

The US agency has “shown that it can deliver”, Stohr said.

“It’s stable and has continued to be funded. Something for Europe could make sense,” he said.

Still, Stohr believes the EU has done well in securing vaccines. Despite an ambitious global initiative that aims to distribute shots equitably, the worry is what happens in developing countries, rather than Europe falling behind the US, Stohr said.

“My major concern is much more that people in Southeast Asia, Africa, Latin America will not have a vaccine,” he said. The majority of people in the world “will have no vaccine well into 2021, and most likely into 2022”.

Throughout the pandemic, uneven availabili­ty of personal protective equipment (PPE) and other supplies has sparked an outcry. With vaccines, the stakes are even higher, said Evenett, the professor in Switzerlan­d.

If some wealthy nations are able to vaccinate their population­s significan­tly faster than others in 2021, he said, “this will make the mad rush for PPE look like a picnic”.

 ?? /Bloomberg ?? Not for everyone: A haulage truck on an access road at the Pfizer facility in Puurs, Belgium, on Thursday. The quick approval of Pfizer’s vaccine in the UK is unlikely to accelerate the availabili­ty of the shot in Africa and other poorer areas of the world.
/Bloomberg Not for everyone: A haulage truck on an access road at the Pfizer facility in Puurs, Belgium, on Thursday. The quick approval of Pfizer’s vaccine in the UK is unlikely to accelerate the availabili­ty of the shot in Africa and other poorer areas of the world.
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