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SResearch Service
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Potential WTO TRIPS Waiver and COVID-19
Updated June 4, 2021
On May 5, 2021, the Biden Administration announced its support for a proposed waiver of intellectual
property rights (IPR) obligations in the World Trade Organization (WTO) Agreement on Trade-Related
Aspects of Intellectual Property Rights (TRIPS) for Coronavirus Disease 2019 (COVID-19) vaccines.
This is significant, given the United States' history of advancing stronger IPR protections and
enforcement globally.
WTO TRIPS Agreement
Entering into force in I995,TRIPS requires most WTO members to adhere to minimum standards to protect various types
of IP, and to enforce these protections through domestic procedures and remedies, as well as provides for certain
limitations and flexibilities to these obligations. Least-developed countries are exempt from meeting substantive TRIPS
obligations generally until July 31, 2021,and pharmaceutical patent obligations until January 1, 2033. The balance struck in
TRIPSto promote innovation and other societal aims faces ongoing debate.
Some of the relevant flexibilities are that a WTO member can:
   Exclude certain inventions from patentability, including if necessary to protect hunn health or life, and diagnostic,
therapeutic, or surgical methods for thetreatment of humans.
   Issue a compulsory license (CL) fora patented invention, to authorize a third party to use a patented product or
process without the patent owner's consent under certain conditions, which may be waived in situations of national
emergency or other circumstances of extreme urgency.... A2005 TRlPS amendment permits a CL for the export of a
patented product; the amendment aims to address situations in which countries need the product but do not have the
domestic nnufacturing capacity. One prior instance of the amendment's use exists, although Bolivia announced it may
use it for COVID-19 vaccine imports.
   Take measures in derogation of TRIPS if necessary for the protection of its essential security interests... taken in time
of... other emergency in international relations.
First proposed by India and South Africa in October 2020, a potential TRIPS waiver for the COVID-19
response subsequently attracted support from many low- and middle-income countries (LMICs) seeking
greater access to vaccines and other health products. The proposed waiver prompted skepticism largely
from a number of high-income countries concerned about its adverse effects on innovation incentives and
drug quality and safety. The debate intensified amid worsening COVID-19 outbreaks in South Asia and
Latin America.
On May 21, India, South Africa, and 60 other countries, seeking greater support, submitted a revised
proposal that would waive the same IPR obligations as originally proposed-copyrights, patents,
industrial designs, and undisclosed data (e.g., test data and trade secrets). The revised proposal specifies
Congressional Research Service
https://crsreports.congress.gov
IN11662

CRS INSIGHT
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