US ban on raw material exports could push new Quad Alliance vaccines

Sources say the US-backed Quad Alliance aims to invest in India’s pharmaceutical capacity, as it increases COVID vaccine output, but US restrictions on exports of key ingredients could hamper that effort, sources say .

The coalition, a conglomerate of the United States, Japan, Australia and India, wants to expand global vaccination and in turn combat China’s growing vaccine diplomacy in Southeast Asia and around the world. India is the world’s largest vaccine manufacturer.

India asked for assurance

As the alliance’s first virtual summit closes on Friday, an important assurance that India will seek is to ease export restrictions, two sources briefed on the issue.

The White House said last week it used the US Defense Production Act – which prohibits the export of ingredients to prioritize local production – to help drugmaker Merck create Johnson & Johnson’s COVID-19 vaccine for.

An Indian government source said, “India is seeking both raw materials and investment from Quad partners and once this aspect is resolved, the Quad Alliance can begin mass distribution in Southeast Asian countries.”

Earlier this week, Reuters reported that the US and Japan would help Indian pharmaceutical companies make vaccines for US drug makers Novavax Inc. and J&J.

Some additional supplies from India will go to Southeast Asia as China deploys its vaccines to supplies to Indonesia, the Philippines, and others in the region.

Filters and bags

But Serum Institute of India (SII), the world’s largest vaccine-making company, has said that it is concerned with the US ban on the export of materials like filters and bags, keeping them for US companies could limit production, especially Novax. Schott said it was started making the following month.

“The ramp-up and scaling of Novax production can take an intense hit, and if the ban continues, it can slow down the road, even slowing the ramp-up of Covishield,” the Oxford-AstraZeneca vaccine Referring, a source close to the matter said. That SII is also licensed to produce.

SII did not respond to a request for comment.

US officials did not immediately respond to requests for comment. India’s Foreign Ministry had no immediate comment.

The limitations of the production of Novavax and Covishield shots risk harm the GAVI / WHO COVAX initiative that is heavily dependent on those two vaccines as it shares vaccination with poor countries.