Free Consultant
EU adopted a regulation to control vaccines following the UK’s “vaccine hijacking.”
It became a controversy which being discussed globally over the adaptation of regulation to control vaccine exportation from the EU manufacturers to non-member countries. After AstraZeneca, the UK company, refuse to deliver the vaccine to the EU in the agreed amount from 80 million doses by the end of March. They may be reduced to only 31 million doses in the first quarter.
AstraZeneca, one of the largest British biopharmaceutical companies, has notified the EU during the last week of January that from the previous agreement between AstraZeneca and the EU to deliver 80 million doses of the COVID-19 vaccine by the end of March, this could be reduced to only 31 million doses. While the target during April to June, or the second quarter of the year, turns out to be “uncertain” due to “production problems”.
This has led the EU to accuse “AstraZeneca” of delivering the vaccine that should be delivered to the EU but instead will be supplied to other countries. The controversy has reached to the point where the EU accuses the UK of “British Hijack Vaccines” and then issued measures to control the export of vaccines made in the EU to non-member countries.
THAC’S NEWS & ARTICLES
![[THAC] SEO AUG C02 1 1200x628](https://thac.or.th/wp-content/uploads/2024/09/THAC-SEO-AUG-C02-1_1200x628-870x570.jpg)
![[THAC] SEO AUG C01 1 1200x628](https://thac.or.th/wp-content/uploads/2024/09/THAC-SEO-AUG-C01-1_1200x628-870x570.jpg)
Given the World Trade Management (WTO) principles on free trading, member countries must not impose a restriction on export and import unless it is necessary for some circumstances. The question then follows that whether the EU, which itself imposes a measure to restrict vaccine exportation, is acting against such principle or not. It is worth mention that many disputes from export restrictions have occurred and became big headlines, for examples;
1. The increase of tariff and quota on the exportation of 12 rare earth elements from China. In this case, the EU claimed that the restriction to export these raw minerals from China might affect many manufacturers, including those in the EU. It also against the principle of free trading and the agreement under the WTO framework. The EU then proceed with the WTO dispute resolution by requesting consultations with China in respect of the matter in July 2016 but to no avail. As such, the EU requested the panel’s establishment to rule on the matter and now is in the proceeding by the panel.
2. The export ban on wood from Ukraine. In 2015, Ukraine imposed an export ban for all unprocessed wood on ten wood species. The EU, which has been affected by such ban, has requested formal government consultations with the Ukrainian Government, but to no avail. Consequently, the EU formally requested the establishment of an arbitration panel to rule on the matter. Due to COVID-19, the hearing took place as a virtual hearing. On 11 December 2020, the Panel ruling confirmed that the export ban on wood from Ukraine is not justifiable under a bilateral trade agreement between the EU and Ukraine, which forbids export prohibitions, and ordered Ukraine to comply with the arbitration ruling.
3. The restriction imposed by Indonesia on nickel ore which is the raw materials necessary for the production of stainless steel. The EU perceives the measure as inconsistent with provisions in the General Agreement on Tariffs and Trade (GATT) 1994 under the World Trade Organization (WTO) framework. The EU then proceeds with the WTO dispute resolution by requesting Consultations with Indonesia on 22 November 2019 but to no effect. Until 14 January 2021, the EU has requested the establishment of a panel at the WTO Dispute Settlement Body to rule on the matter and is now under the process of composing the panel.
Due to the EU regulation to control the export of such vaccines, the World Health Organization has also criticized that it will impact the overall prevention for the spread of COVID-19. Furthermore, the EU had experienced the effect of the export restriction by various countries where the need for the settlement of international disputes should have understood the feelings. Therefore, if the EU still wants to restrict the export of vaccines as announced, affected countries will proceed with the claiming process in the World Trade Organization (WTO) dispute resolution, as the EU has previously requested in other cases.
For more news, please follows at www.thac.or.th.
Sources: https://shorturl.asia/VTli9
