On Thursday 6 May, the Biden administration announced that it would support the possibility of suspending intellectual property rights on vaccines developed against Covid-19, in the hope of speeding up production and distribution processes around the world and bringing an end to the pandemic that began more than a year ago. Were it to come into effect, the decision would allow all interested pharmaceutical companies to access the patents and independently produce the vaccines.

The proposal was put forward last October by India and South Africa, and in the United States it already enjoyed the support of a number of Democratic figures. Although Biden's position is certainly a positive signal, it is not sufficient in itself to revoke the patents: approval from the World Trade Organization (WTO) is required, and the body includes important countries that have so far declared their opposition, such as Australia and the United Kingdom.

A complete about-turn for the United States on vaccine patents

Vaccines are extremely complex products whose research, development and testing phases can take several years. It is precisely for this reason that pharmaceutical companies tend to patent their formulas, so as to secure the related intellectual property rights and prevent other companies from appropriating and replicating them. During a global pandemic that shows no sign of slowing down in many countries, however, the widest possible distribution of safe and effective vaccines is considered the best weapon at our disposal to truly halt the spread of the new coronavirus.

In October 2020, around 40 countries, led by India and South Africa, therefore proposed the temporary elimination of patents registered on Covid-19 vaccines, so as to make production possible for pharmaceutical companies that had not had the opportunity to develop their own formula.

Initially, the United States had declared itself opposed to this proposal, along with the European Union and the United Kingdom. Only last Thursday did Katherine Tai, the Biden administration's Trade Representative, turn the tables by declaring that the United States would support the elimination of intellectual property rights on the vaccines in question. "We are in the midst of a global health crisis, and the extraordinary circumstances of the Covid-19 pandemic call for extraordinary measures," Tai stated. "The administration believes in the value of intellectual property, but supports the suspension of patents on Covid-19 vaccines in order to put an end to the pandemic."

Reactions to the Biden administration's proposal

The Director-General of the World Health Organization, Tedros Ghebreyesus, described Biden's decision as "historic", stating that it "puts the well-being of people around the world first, at a moment of extreme urgency." Positive comments also came from several NGOs, such as Oxfam and Emergency, which had previously applied pressure on governments to eliminate intellectual property rights on Covid-19 vaccines.

Not everyone, however, proved equally enthusiastic. European Commission President Ursula von der Leyen did not immediately back the United States' decision, and confined herself to declaring that the Union was "ready to discuss" a potential elimination of patents, while a spokeswoman for German Chancellor Angela Merkel commented: "The factors most limiting vaccine distribution are production capacity and the high quality standards required, not patents."

Nor did the United Kingdom government directly support the American decision; it merely indicated that it was in contact with the United States and several WTO members to facilitate vaccine production and increase the availability of doses. Australia is also currently opposed.

As was to be expected, the strongest opposition comes from pharmaceutical companies, many of which have made clear their objection to the possibility of removing the patents on the vaccines they developed. According to the Pharmaceutical Research and Manufacturers of America (PhRMA, which represents the American pharmaceutical industry), allowing everyone to produce Covid-19 vaccines would increase competition and demand for ingredients whose availability is already limited, effectively reducing production and heightening the risks associated with the distribution of counterfeit vaccines. "If the end goal is to help all countries vaccinate their citizens, this is more of a political move than a substantive change," commented, for instance, Brent Saunders, chief executive of Vesper Healthcare Acquisition Corp.

Patent suspension: the next steps

As already mentioned, Biden's opening is not sufficient to immediately eliminate the patents. The revocation must in fact be approved unanimously by all 164 member countries of the World Trade Organization, some of which are currently far from willing to give up intellectual property rights. The negotiations will not be straightforward, and could take several months.