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Home > Biosecurity News in Brief > Archive > Avian/Pandemic Influenza > Avian-Pandemic Flu 2008 BB Archive > Solvay Cancels Plans for U.S. Flu Vaccine Plant (10-20-2008)
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Biosecurity News in Brief

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Solvay Cancels Plans for U.S. Flu Vaccine Plant

By Amesh Adalja, October 20, 2008

On October 3, 2008, CIDRAP News reported that Solvay Pharmaceuticals has cancelled plans to build a $386 million influenza vaccine manufacturing in either Athens, Georgia, or Birmingham, Alabama. The plant was intended to produce both pandemic and seasonal influenza vaccines utilizing cell-based technology, a novel process that frees vaccine production from dependence on chicken eggs. Solvay had decided to build the plant as part of a $298 million grant from the Department of Health and Human Services (HHS), awarded for development and testing of cell-based manufacturing capacity in the U.S. Solvay had also discussed a U.S. government cost-sharing proposal, where HHS would pay for 40–60% of the plant’s operational costs.1

Following an economic analysis, Solvay judged the U.S. government cost-sharing insufficient to cover the risks inherent in the flu vaccine manufacturing sector. Specifically, Solvay cited the risk of a mismatch between supply and demand for influenza vaccine. Many doses of influenza vaccine go unused in the U.S. each flu season and are ultimately discarded, thus leading to uncertainty regarding the U.S. market for vaccine. This uncertainty is particularly risky for Solvay because its sole product is influenza vaccines.1

Solvay Pharmaceuticals plans to seek U.S. Food and Drug Administration (FDA) licensure of its Dutch-manufactured seasonal influenza vaccine, but the company will not pursue construction of a manufacturing plant in the U.S. at this time.1

References

  1. Plant cancellation shows problems in flu vaccine business. CIDRAP News. October 3, 2008. http://www.cidrap.umn.edu/cidrap/content/influenza/panflu/news/oct0308solvay.html. Accessed October 8, 2008.