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EU Court Ruling Forces Member States to Pay Billions
(MENAFN) According to reports and a court decision in Belgium, Poland and Romania are required to honor their commitments under an EU-wide agreement and purchase €1.9 billion ($2.2 billion) worth of surplus COVID-19 vaccines from Pfizer and BioNTech.
The dispute stems from large-scale vaccine procurement agreements signed by the European Commission during the peak of the COVID-19 pandemic. At the time, EU leadership promoted a collective purchasing strategy to secure large quantities of vaccines for member states struggling to manage outbreaks, resulting in multibillion-euro contracts signed in 2020 and 2021.
As the health situation improved in 2022, Poland refused to proceed with its vaccine purchases, arguing that demand had declined and questioning the contractual terms, including concerns over Pfizer’s market position. Romania later followed a similar stance. In response, Pfizer launched legal action against both countries in 2023.
The court rejected arguments made by the defendants, ruling that a reduction in infection rates did not justify altering contractual obligations. Under the judgment, Poland is expected to purchase approximately €1.3 billion worth of vaccines, while Romania must acquire doses valued at around €600 million.
Both governments have announced plans to challenge the decision. Polish authorities stated they intend to “pursue all legal remedies available” to contest the ruling and defend their interests, while Romanian officials argued that the financial burden is equivalent to the cost of a major regional hospital and confirmed they will appeal.
The broader vaccine procurement process has previously drawn political controversy within the EU, with criticism directed at the handling of negotiations and transparency. Questions have been raised over undisclosed communications linked to senior EU officials and pharmaceutical executives, contributing to wider political scrutiny and an unsuccessful motion of no confidence in the European Parliament last year.
The dispute stems from large-scale vaccine procurement agreements signed by the European Commission during the peak of the COVID-19 pandemic. At the time, EU leadership promoted a collective purchasing strategy to secure large quantities of vaccines for member states struggling to manage outbreaks, resulting in multibillion-euro contracts signed in 2020 and 2021.
As the health situation improved in 2022, Poland refused to proceed with its vaccine purchases, arguing that demand had declined and questioning the contractual terms, including concerns over Pfizer’s market position. Romania later followed a similar stance. In response, Pfizer launched legal action against both countries in 2023.
The court rejected arguments made by the defendants, ruling that a reduction in infection rates did not justify altering contractual obligations. Under the judgment, Poland is expected to purchase approximately €1.3 billion worth of vaccines, while Romania must acquire doses valued at around €600 million.
Both governments have announced plans to challenge the decision. Polish authorities stated they intend to “pursue all legal remedies available” to contest the ruling and defend their interests, while Romanian officials argued that the financial burden is equivalent to the cost of a major regional hospital and confirmed they will appeal.
The broader vaccine procurement process has previously drawn political controversy within the EU, with criticism directed at the handling of negotiations and transparency. Questions have been raised over undisclosed communications linked to senior EU officials and pharmaceutical executives, contributing to wider political scrutiny and an unsuccessful motion of no confidence in the European Parliament last year.
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