U.S. Trade Rep. Katherine Tai last week heard from Members of Congress who said the proposed waiver of patents for COVID-19 vaccines would not help global vaccine distribution—and would instead weaken our response to the next pandemic.
ICYMI: The U.S. Trade Representative appeared before the Senate Finance Committee on Wednesday and the House Ways & Means Committee on Thursday to discuss President Biden’s 2021 trade agenda, including biotech trade with Mexico and China.
One hot topic of discussion: the Biden administration’s support of the WTO Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement, which would allow forced transfer of COVID vaccine technology.
Both Democrats and Republicans questioned the waiver…
IP is the lifeblood of American innovation,said Rep. Stephanie Murphy (D-FL). She requested consideration of other courses of action to improve distribution while allowing manufacturers to maintain control of IP.
Handing over U.S. technology won’t help the pandemic. Development of facilities, workforce, and distribution takes years, said Ways & Means Ranking Member Kevin Brady (R-TX). Rep. Drew Ferguson (R-GA) agreed, questioning other countries’ resources and quality standards.
Senate Finance Ranking Member Mike Crapo (R-ID) said the waiver would undermine progress in ending the pandemic, noting that Bill Gates says it will not advance vaccine distribution, while Vladimir Putin supports the waiver. Sen. John Barasso (R-WY) agreed, saying he worries tearing down IP protections limits our ability to handle the next pandemic.
Several worried about China obtaining U.S. technology.Rep. Adrian Smith (R-NE) said China is America’s biggest trade concern. Rep. Devin Nunes (R-CA) asked Ambassador Tai if she had heard from manufacturers about the risk of sharing IP with other nations, especially China. Rep. Kevin Hern (R-OK) said the waiver sets bad precedent. Sen. Patrick Toomey (R-PA) said he sees no evidence the waiver would enhance global vaccine availability, saying it undermines efforts to limit Chinese theft of U.S. IP.
And Senators on both sides expressed frustration they weren’t consulted about the announcement of support for the waiver, including Sen. Crapo and Sen. Bob Menendez (D-NJ).
Ambassador Tai's response: The waiver is just one part of the administration’s effort to increase vaccines worldwide. Her office will take into account concerns from all sides and keep Congress informed. She agreed China is America’s biggest trade concern.
As many members of Congress suggested, China seems eager for an IP waiver. China's Commerce Ministry spokesman Gao Feng announced support for the idea and sought discussion of it in the WTO. As BIO’s China analysts told us, Chinese domestic press claimed the U.S. bowed to Chinese pressure in seeking the TRIPS waiver.
The bottom line: “What stands in the way right now between shots in more arms is not intellectual property,”BIO’s Dr. Michelle McMurry-Heath told The Hill’s Steve Clemons on Al Jazeera. “Many of our companies have licensed their technology to manufacturers around the globe.”
What should the U.S. do instead? Dr. Michelle called for more funding for efforts like COVAX, which could truly help more people get vaccinated. Watch the interview.
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