The anticipated 400% price increase for Moderna’s COVID vaccine provoked uproar on Capitol Hill.
The Wall Street Journal reports that the pharmaceutical company could increase the price of the vaccine from its current $26 per dose to between $110 and $130 per injection.
Sen. Bernie Sanders (I-Vermont) criticized Moderna, stating that the corporation is profiting from a vaccine produced with taxpayer funding.
Sanders told CNN on Wednesday, “This vaccine was developed in partnership with the NIH, a government agency supported by American taxpayers.”
In addition, the government invested $1.9 billion in Moderna’s research and development and guaranteed the company billions of dollars in sales.
Moderna earned $18.4 billion from sales of its COVID vaccine in 2017.
The discovery of a COVID-19 vaccine by Moderna was financed by American taxpayers.
This vaccine costs Moderna approximately $2 to make.
They intend to charge over $100 each dose for this vaccination in the United States. That is ludicrous. pic.twitter.com/OvL2A7Yq1H
— Bernie Sanders (@BernieSanders) January 11, 2023
“They will charge whatever it costs. 110 dollars a vaccination. This vaccine costs roughly $2 to produce, Sanders retorted.
The senator said, “Therefore, the taxpayers of this country who invested in the vaccine to protect the health and lives of the American people are now creating billionaires in an industry — in a company that will quadruple prices for the American people.”
That is disgusting and unacceptable, and something must be done about it.
The CEO of Moderna, Stephane Bancel, defended the projected price increase by stating to the Journal, “I believe this type of pricing is commensurate with the value.”
Moderna apparently intends to increase the price of its COVID vaccination by more than fourfold.
This action is comparable to that of Moderna’s competitor, Pfizer, who increased the price of their COVID vaccine co-developed with BioNTech by around 400%.
They wrote, “We urge you to reconsider your proposed price increases and ensure that COVID-19 vaccines are reasonably priced and available to people throughout the United States.”
After the federal government purchased the doses, the Moderna and Pfizer-BioNTech vaccines, which utilise mRNA technology, were made available to Americans for free.
Once their contracts with the federal government expire, both businesses want to switch to commercial distribution of the vaccinations.
The CEO of Moderna, Stephane Bancel, defended his company following reports that it is considering a 400% price increase for its COVID vaccination.
The government negotiated an agreement with Moderna in July to pay $26 per dosage of the new COVID booster vaccine. Historically, the government paid $15 to $16 each dose.
This past summer, the government agreed to pay Pfizer somewhat more than $30 per dose, an increase from the 2020 contract price of $19.50 per pill.
Bancel stated in a Monday press release, “We enter 2023 in a strong position, with significant momentum across our clinical pipeline, a highly energized team, and a strong balance sheet of over $18 billion in cash and cash equivalents.”
This year, Moderna expects to generate at least $5 billion in vaccine sales.