Moderna Suspends Construction on Kenyan Manufacturing Facility

April 22, 2024 by Dan McCue
Moderna Suspends Construction on Kenyan Manufacturing Facility
A sign marks an entrance to a Moderna building in Cambridge, Mass., on Monday, May 18, 2020. (AP Photo/Bill Sikes, File)

CAMBRIDGE, Mass. — Moderna said it has paused efforts to build an mRNA manufacturing facility in Kenya due to uncertainty over the future demand for COVID-19 vaccines in Africa.

According to a statement posted on the drugmaker’s website last week, demand for the vaccines has declined since the pandemic and has now dropped to a level considered insufficient to make the planned factory viable.

In fact, Moderna said, it has “not received any vaccine orders for Africa since 2022 and has faced the cancellation of previous orders, resulting in more than $1 billion in losses and write-downs.”

Despite these challenges, the company said it remains committed to ensuring equitable access and meeting emerging demands from African nations for its COVID-19 vaccine through its global manufacturing network.

Moderna went on to say it is actively working on the development of public health vaccines, including those for diseases that predominantly affect the African continent, such as HIV and malaria. 

“These initiatives are part of our broader commitment to help address global health challenges through our innovative mRNA technology. However, these investigational vaccines are at an early development stage. Given this, and in alignment with our strategic planning, Moderna believes it is prudent to pause its efforts to build an mRNA manufacturing facility in Kenya,” the company said. “This approach will allow Moderna to better align its infrastructure investments with the evolving health care needs and vaccine demand in Africa.”

The statement went on to say that Moderna appreciates the strong support received from the governments of the United States and Kenya in the early stage development of the facility. 

“We look forward to a continuing dialogue about future options to support the Kenyan health care ecosystem, including as we advance other mRNA vaccines and therapeutics of importance to the African continent through our pipeline,” it said.

Dan can be reached at [email protected] and at https://twitter.com/DanMcCue

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