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| Russia's Sputnik V coronavirus vaccines produced at Hankook Korus Pharm's factory in Chuncheon, Gangwon Province, are seen in this July 2021 file photo. Joint Press Corps |
By Park Jae-hyuk
Korea's contract development and manufacturing organizations (CDMOs) are facing concerns about a potential setback in their production of the Sputnik V and one-shot Sputnik Light vaccines against COVID-19, after the U.S. and the European Union began imposing tougher financial sanctions against Russia over its invasion of Ukraine.
The companies are keeping a close eye on how the crisis will unfold, as Ukraine calls on the international community to freeze Russia's foreign assets and sanction the Russian Direct Investment Fund (RDIF), the country's sovereign wealth fund that markets the coronavirus vaccines.
"Of course the situation has caused concerns, although it has yet to pose any risk to our production," said a spokesman from GL Rapha, the parent company of Hankook Korus Pharm, which signed a contract with RDIF in 2020 to export Sputnik V vaccines being produced at its factory in Chuncheon, Gangwon Province.
GL Rapha expects medical supplies to be kept exempt from the sanctions.
"When former U.S. President Donald Trump sanctioned Iran for breaching the nuclear deal, daily necessities were excluded from sanctions," the spokesman said. "The U.S. Treasury issued general licenses again to authorize transactions related to medical commodities and the COVID-19 pandemic."
The company's export of 5 million doses of vaccines stored in Korea, however, could be delayed further due to the ongoing crisis. Its spokesman said the company has been waiting for a response from Russia, without disclosing the countries where it plans to export its products.
Huons Global, another Korean CDMO producing Russia's coronavirus vaccines, denied there was any damage to its business following the attack on Ukraine.
"We have continued manufacturing the vaccines on a trial basis," its spokeswoman said.
According to foreign news outlets, the German state of Bavaria has already decided to stop the production of Sputnik V vaccine, citing the sanctions against Russia over its invasion of Ukraine.
Bavaria Minister-President Markus Soeder told the state's parliament on Wednesday that the vaccine's production will be blocked, even if it is approved by the European Medicines Agency (EMA).
"It is inconceivable from our point of view that this project can now be realized. It is over," he said. "It's a situation that we haven't been able to imagine for many decades."
Last April, the Bavarian health ministry signed a preliminary contract with RDIF to buy 2.5 million doses of the Sputnik V vaccine once approved by the EMA, so Russian pharmaceutical firm R-Pharm set up a facility in the state for regional production.
