Image by Pxfuel/Victor Tangermann X/MedicinesSome countries will soon see their vaccines become more expensive thanks to the newly negotiated contracts between Pfizer and Moderna and the European Union.The Financial Times reports that European countries will pay 25 percent more to purchase Pfizers COVID-19 vaccinations and 10 percent more to buy Modernas. This means that a Pfizer dose would cost $18.40 to $23.15, and a Moderna dosage $22.60 to $25.50. Gizmodo points out that European governments will continue to distribute shots free of charge to their citizens, but the price increases show just how profitable the pandemic has become for both pharma companies.It should not be surprising that these companies seek higher profits from the vaccine. Moderna received $483 million in grant funding US government, and Pfizers partner firm BioNTech received $445 million Germany. However, both companies made it clear that they wanted to make money from the vaccine instead of selling it at a profit like AstraZeneca.Although Albert Bourla, CEO of Pfizer, didn't connect higher European costs to lower elsewhere in his second quarter earnings call last week but he did mention that the company will offer discounted vaccines to countries around the globe.AdvertisementAdvertisementBourla stated that we expect that a substantial amount of our 2021 vaccine production capacity will be delivered in low- and middle-income countries, where prices are set according to income levels or at a non-profit price. We are actually on track to fulfill our commitment to deliver more than 1,000,000 doses this year, or about 40 percent of our total production to low- and middle-income countries. Another 1 billion will be delivered in 2022.
