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Vaccine patents and China's growing clout

Patent push follows China's vaccine surge

With India's raging virus outbreak stifling its ability to deliver vaccines, and the U.S. only starting to ramp up shipments, the world is fast becoming even more reliant on China.

Over the past few weeks, leaders of some of the globe's most populous nations have sought more shots from China despite concerns about their effectiveness. Demand is expected to rise even further if the World Health Organization, as expected, authorizes shots from China's Sinovac Biotech and Sinopharm Group, allowing developing countries to access them through Covax, the global vaccination effort.

"China has become not just the largest exporter," says Yanzhong Huang, a China specialist and senior fellow for global health at the Council on Foreign Relations. "In many countries, it has become the only option."

China's vaccine supplies are increasing its geopolitical clout at a time when other superpowers have been slow to confront the global pandemic. India's Covid crisis has also dried up vaccine supplies and prompted many countries to turn toward China. Amid this backdrop, the U.S., for months preoccupied with its domestic vaccination push, has come under intense criticism for hoarding shots at the expense of the global response.

A shipment of China's Sinopharm vaccine arrives in Phnom Penh, Cambodia.

Photographer: Xinhua News Agency/Xinhua News Agency

President Joe Biden is showing that the U.S. intends to step up its role. On Wednesday, the country threw its weight behind a movement to waive patents on Covid-19 vaccines and allow other countries to manufacture them. The administration is giving away 60 million doses of AstraZeneca's shot, which still hasn't been cleared by U.S. regulators amid concerns about blood clots, and stepping up production of other vaccines. 

Vaccine stocks fell on the news, and manufacturers such as Moderna and Pfizer partner BioNTech said that signing over their intellectual property would yield few shots in the short term and discourage future innovation. Industry critics argued that the companies already received lavish subsidies to develop the shots, and are charging countries high prices for the finished product.    

In the meantime, China has already shipped out about 240 million doses, more than all other nations combined, and has committed to providing another 500 million, according to Airfinity, the London-based analytics firm. India, the world's third-biggest supplier after China and the European Union, had exported 67 million doses to nearly 100 countries until the devastating Covid-19 outbreak prompted it to halt most deliveries in recent weeks.

"The WHO approval of Chinese vaccines will, in the medium term, help to strengthen Chinese power and authority within the region," said Nicholas Thomas, an associate professor at the City University of Hong Kong and editor of several books on global health and foreign policy.—James Paton and John Lauerman

Track the vaccines

More Than 1.23 Billion Shots Given

The biggest vaccination campaign in history is underway. More than 1.23 billion doses have been administered across 174 countries, according to data collected by Bloomberg. The latest rate was roughly 19.4 million doses a day.

 

What you should read

Wall Street Swept Up by India's Brutal Covid Wave
Staff shortage hits operations as thousands infected by virus.
African Leaders Seek Vaccine-Making Sites
Lack of production is hampering efforts to inoculate.
Countries Need Shots Now, Patent Waivers or Not
Wealthy countries urged to share doses, fund Covax facility.
Pharma Has Limited Legal Options on Waivers
Legal recourse to recover costs gets tricky outside the U.S.
Seafarer Crisis Shows Signs of Worsening
Indian crews are restricted from getting on or off ships.

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