EU "May Ban Vaccine Exports to UK," Warns
UK Calls It "Undemocratic Idea"... Highest Vaccination Rate in Europe

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[Asia Economy Reporter Hyunwoo Lee] As conflicts between the European Union (EU) and the United Kingdom over vaccine supply issues intensify, the EU has even sent a warning message that it may ban vaccine exports to the UK. Within the UK, there is strong opposition, with many saying it is like the 19th-century Napoleonic Continental Blockade being reinstated. After experiencing numerous frictions during the Brexit process and choosing a difficult divorce, the division between the EU and the UK has deepened further following the COVID-19 crisis, raising concerns that the EU may prepare additional sanctions against the UK.

EU Commission President: "Considering Ban on Vaccine Exports Outside the EU"
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According to foreign media including the BBC, on the 20th (local time), Ursula von der Leyen, President of the European Union (EU) Commission, said in an interview with Germany's Funk Media Group, "If AstraZeneca (AZ) vaccines are not delivered to Europe first, we will stop exports," and strongly warned, "We have the option to ban planned exports."


President von der Leyen emphasized, "AZ must fulfill contracts with Europe before sending vaccines to other countries." It is also known that she expressed dissatisfaction with the UK government for blocking exports to the EU regarding the AstraZeneca vaccine. She added, "AZ vaccine production is insufficient and is not coming into the EU properly."


Von der Leyen's public strong warning to the UK about vaccines is reportedly because the UK is the country that takes the most vaccines produced in the EU, not just the AZ vaccine. Since January, the total vaccine exports from the EU are known to be 41 million doses, of which more than 10 million doses went to the UK. In terms of actual vaccination rates, the UK is more than four times higher than the EU. Comparing first-dose vaccination rates, the EU is only 8.1%, while the UK reaches 37.8%.


According to the Associated Press, von der Leyen previously instructed the EU Commission to consider invoking Article 122 of the EU Treaty. This clause allows the EU to waive intellectual property rights and patents and ban vaccine exports outside the EU. In fact, this clause is known to have never been invoked since the oil shock in the 1970s. This indicates how serious the COVID-19 vaccine supply situation is within the EU. In this context, the UK, which left the EU through Brexit, sweeping up a massive amount of vaccines, has expressed significant dissatisfaction.

UK: "No Restrictions on Vaccine Exports"... EU: "Will Sue Over Gibraltar Illegal Subsidies"
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In response, there is strong opposition within the UK, saying the 'Continental Blockade' is being reinstated. The UK claims that the EU's undemocratic ideas threaten the UK and that the UK is not specifically blocking vaccine exports. The UK Department of Health rebutted, saying, "There have been no reported measures blocking exports to the EU," and AstraZeneca reportedly only responded to foreign media inquiries by saying they have nothing to answer.


UK Prime Minister Boris Johnson also stated in Parliament on the 8th of this month, "To be clear, the UK has never blocked the export of any single COVID-19 vaccine or vaccine components," and emphasized, "The UK has donated ?548 million (about 862.5 billion KRW) to the COVAX Facility." However, even without an official export ban, there are ongoing speculations within the UK that the government pressured domestic pharmaceutical companies, including AZ, to prioritize supply to the UK.


As relations between the EU and the UK deteriorate, concerns are growing that the EU may take additional sanctions. According to the UK Telegraph and others, on the 19th, the EU Commission announced it would sue the UK at the European Court of Justice, stating that less than 20% of the €100 million (134.4 billion KRW) fine related to illegal subsidies imposed on Gibraltar, a British Overseas Territory, in 2018, has been repaid. Along with this, the EU announced it is considering strengthening monitoring of illegal activities by British investment companies within EU countries.



Gibraltar is a representative tax haven within Europe, with a corporate tax rate of about 10%, which is less than half of Spain's 25%, its neighboring country, causing dissatisfaction among Spain and EU member states. Spanish and European companies have been moving their headquarters to Gibraltar to avoid taxes. In 2018, the EU classified this as an illegal subsidy practice by the UK government and imposed fines, but at that time, since the UK was still an EU member, the EU did not press for fine collection. As conflicts between the UK and the EU worsen, concerns are growing that the Continental Blockade may indeed be reinstated in the future.


This content was produced with the assistance of AI translation services.

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