Moderna’s CEO Defends the $130 Per Dose Cost of Covid-19 Vaccine in US During Senate Hearing

Moderna, the maker of the Covid-19 vaccine, has faced criticism for its plans to increase the price of the shot to $130 per dose in the United States. The company has defended the price hike, stating that it is necessary as purchases transition from the government to the private sector. Moderna CEO Stephane Bancel explained in a Senate hearing that the company will be required to deliver single-dose vials or pre-filled syringes of its Covid vaccine, compared to filling 10-dose vials for government procurement. This change will result in a loss of economies of scale. Additionally, Bancel noted that Moderna is expecting a 90% reduction in demand once it shifts to commercial distribution of the shots later this year. Moderna’s price rise plans drew the ire of Democratic US Senator Bernie Sanders, who chairs the influential Committee on Health, Education, Labor and Pensions. Sanders has advocated for lower drug prices and urged the company against its move as it received government funding for the vaccine.