The EU covetous vaccine is on the scene as Italy blocks shipment to Australia

LONDON – European deployment of coronavirus vaccines has been put back in the spotlight after the Italian government blocked a shipment of Oxford-AstraZeneca vaccines to Australia.

The EU has struggled to distribute Covid-19 traits in the 27-member region and lags behind other advanced economies in number of inoculations per citizen. There are complaints that regulators are too slow to approve vaccines, there have been manufacturing and delivery problems, and national administrative paperwork, making the process difficult.

But new questions arose on Thursday, when Italy became the first EU country to use the bloc’s new regulations to stop exports if necessary. The move stopped about 250,000 doses of the vaccine from the Anagni plant, Italy, which was being shipped to Australia.

The deployment of vaccines in Europe “will be a difficult battle,” Daniel Gros, director of the think tank at the Center for European Policy Studies in Brussels (Belgium), told CNBC on Friday.

The EU announced in late January new rules allowing European member states, where coronavirus traits occur, to ban their exports in case the pharmaceutical firm involved does not comply with pre-existing contracts with the bloc.

The EU and AstraZeneca have been at odds since the drug maker was unable to make as many shots as the block expected during the first quarter. There have also been doubts about how many shots the firm will get in the second quarter.

AstraZeneca CEO Pascal Soriot said late last month that the lack of vaccines had to be produced and that his company was working 24 hours a day to increase production.

French Health Minister Olivier Veran said Friday morning that France could replicate Italy’s measure. According to Reuters, German Health Minister Jens Spahn has said that so far there is no reason to stop shipments of vaccines produced in Germany to go to other countries.

Ursula von der Leyen, President of the European Commission, said last month that approximately 95% of vaccines manufactured in the EU exported since the end of January were manufactured by Pfizer-BioNTech and Moderna, as both companies respected their agreement with the EU.

At the time, he also said the United States and the United Kingdom had systems in place to block exports of these vaccines.

“The EU is roasting about something the US is doing in a more radical way,” Gros, of CEPS, also said.

“The amount involved was small. But, as usual, people jump on symbols. The United States doesn’t have this problem of having to leave vaccines at the border because no one would even think of trying to export anything from the United States. “, added.

In an executive order in early December, President Donald Trump ordered the U.S. to only export vaccines produced in the country once it was established that there were enough doses to inoculate the U.S. population.

“After determining that there is a sufficient supply of doses of COVID-19 vaccine for all Americans who choose to be vaccinated (the US) will facilitate international access to US government COVID-19 vaccines for allies, partners and others, as appropriate. and in accordance with applicable law, “the order says.

Shipment to Australia was blocked because the country is not on the EU’s list of vulnerable countries. EU regulation exempts distribution to the poorest nations from being blocked by member states.

Australian Prime Minister Scott Morrison told a news conference on Friday that the country’s vaccine program “would continue unabated”, adding that the shipment in question was not what counted for the launch.

Australia reportedly requested that the European Commission review Italy’s decision to block the shipment, but Morrison admitted he understood why there would be a high level of anxiety in Italy and across Europe.

“We must not forget that the EU provides vaccines to the south of the world, while preventing this shipment to Australia,” Alberto Alemanno, a professor of European law at HEC Paris, told CNBC on Friday.

He added that “EU export control regulation embodies the EU’s legitimate attempt to achieve some sovereign autonomy.”