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March 17, 2022 - Brief Issue 302

The Coronavirus Daily Brief is a daily news and analysis roundup edited by New America’s International Security Program and Arizona State University.

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Top Headlines

J&J Vaccine Holds Its Own, Says CDC Data (Health & Science)

Compromise Could be Near on Vaccine Intellectual Property Rights (Health & Science)

First Omicron Surge is Ongoing in Asia, Europe Might Be Starting its Second, U.S. Should Brace for Another Wave (Around the World)

India Begins Vaccinating Kids (Around the World)

China Adds Covid Pills to Treatment Protocol (Around the World)

IPhone Assembler Foxconn Forecasts Tough Environment Amid Pandemic, Inflation, and War in Ukraine (Around the World)

New Zealand Welcomes Foreign Tourists Early (Around the World)

New York Audit Faults Former Governor Cuomo Over Nursing Home Death Response (U.S. Government & Politics)

White House Tours Set to Return in April (U.S. Government & Politics)

GOP Senator Gave “People’s Convoy” Protesters a Capitol Tour (U.S. Government & Politics)

Federal Reserve Raises Interest Rates by a Quarter Point (U.S. Economy)

Retail Sales Grew in February, But at a Slower Pace, Suggesting Inflation is Having an Impact (U.S. Economy)

Walmart to Hire 50,000 More Workers by End of April (U.S. Economy)

Sweetgreen Rebuilds Office Salad Delivery Program (U.S. Society)

Health & Science

There have been 79,631,765 coronavirus cases in the United States, and 968,331 people have died (Johns Hopkins). The United States has administered 557,644,629 vaccine doses, with 76.7% of all Americans having received at least one vaccine dose and 65.3% fully vaccinated. Among adults aged 18 or older 88.2% have received at least one dose, and 75.3% are fully vaccinated (U.S. CDC). 44.4% of fully vaccinated Americans have received a booster shot. Worldwide, there have been 464,067,755 cases of coronavirus, with 6,059,917 deaths.

J&J Vaccine Holds Its Own, Says CDC Data

The Johnson & Johnson vaccine was initially seen as an attractive option for many people who had limited access to health care because of its single dose and ease of delivery, but it fell out of favor among health experts after data seemed to show it produced a weaker initial immune response. But now, new data collected by the U.S. Centers for Disease Control and Prevention suggests that the J&J vaccine is preventing infections, hospitalizations, and deaths at least as well as the Pfizer-BioNTech and Moderna vaccines. The New York Times writes, “As of Jan. 22, the latest data available, unvaccinated people were 3.2 times as likely to become infected as those who received the single-dose Johnson & Johnson vaccine; they were 2.8 times as likely to become infected as those who received two doses of the Moderna vaccine and 2.4 times as likely as those with two doses of Pfizer-BioNTech. Overall, then, the Johnson & Johnson vaccine appeared to be somewhat more protective against infection than the two alternatives.” 

The data is reassuring for the 17 million Americans who received the J&J vaccine only to be told later that it wasn’t up to snuff. It’s also good news for communities around the world where the single-dose vaccine that can be refrigerated at normal temperatures and stored for months is the only practical option. “The C.D.C. data adds to the growing body of evidence indicating the Johnson & Johnson Covid-19 vaccine provides durable protection against breakthrough infection and hospitalization,” the company said in a statement. 

Compromise Could be Near on Vaccine Intellectual Property Rights

The European Union, South Africa, India, and the U.S. have compromised in their 18-month-long negotiations over a waiver for intellectual property rights of coronavirus products, according to a report by Politico. A waiver of the intellectual property rights would allow more producers around the world to replicate coronavirus vaccines, tests, and diagnostics without infringing on patents, but pharmaceutical companies and governmental authorities, particularly from some EU countries and the U.K., were in disagreement over the need for such a waiver. 

“Under the compromise, which currently only covers vaccines, developing countries that have exported less than 10 percent of the world’s coronavirus vaccine doses in 2021 would be able to authorize the use of a patented coronavirus vaccine without the owner of the patient's consent,”  writes Politico, noting that “the solution is purportedly much broader than compulsory licensing, an alternative proposal that would allow countries to use means such as executive orders to ramp up vaccine production.” While Adam Hodge, spokesman for the Office of the U.S. Trade Representative, confirmed in a statement online after Politico’s initial report that the “difficult and protracted process has resulted in a compromise outcome” on intellectual property, he noted that “no agreement on text has been reached and we are in the process of consulting on the outcome.”

Around the World

First Omicron Surge is Ongoing in Asia, Europe Might Be Starting its Second, U.S. Should Brace for Another Wave

Global cases declined in early March but are rising again, driven by high caseloads in Asia and Europe. The Asia-Pacific region is struggling to overcome its first wave of Omicron-driven cases, with some countries enduring their worst outbreaks ever. About a dozen countries are seeing spikes in infections caused by BA.2, a cousin of the BA.1 variant of the virus that has been spreading in the U.S. for the past three months. China, New Zealand, and South Korea are all experiencing increasing infections, hospitalizations, and deaths (NYT). In Europe, most countries have relaxed restrictions that were kept in place during the first wave of Omicron infections just as numbers begin to rise again. France, Britain, Italy, and Germany are all seeing what looks like the start of a second wave. The war in Ukraine and mass refugee movement across the continent is adding to fears about another Omicron wave. Throughout the pandemic, the situation in Europe has been a harbinger for what is to come in the U.S., and many experts predict that a similar wave will soon begin in the States (WaPo).

India Begins Vaccinating Kids

On Wednesday India began administering coronavirus vaccines to children ages 12 to 14 at schools across the country, many of which have just reopened after two years of pandemic-related closures. Children ages 12 to 14 will receive Corbevax, a vaccine that has been approved for emergency use in children and that uses standard protein-vaccination technology (NYT).  Officials hope the mass vaccination campaign will be able to inoculate the 71 million children in that age group. 

China Adds Covid Pills to Treatment Protocol

China will now include the use of antiviral pills made by Pfizer to its treatment protocol, the government announced this week. The country’s regulator approved Pfizer’s Paxlovid pill for emergency use last month and the country is now experiencing a massive surge in cases in more than two dozen provinces. As a result, officials are modifying their policies around treatment and isolation because health facilities can no longer accommodate the number of positive cases. Authorities have instituted lockdowns, closed factories and manufacturing centers, and stopped public transit and truck traffic. “The epidemic in some areas is surging rapidly, and the risk of spread and spillover in the society is relatively high,” Lei Zhenglong, the deputy director of the National Health Commission’s Bureau of Disease Control and Prevention, said on Tuesday (NYT).

IPhone Assembler Foxconn Forecasts Tough Environment Amid Pandemic, Inflation, and War in Ukraine

Foxconn Technology Group, the largest assembler of the iPhone, forecast a tough environment for its operations on an investor call on Wednesday (WSJ). Among the key factors was the shutdown of operations at its factories in its factories in Shenzhen, China following a Covid outbreak in the city and China’s response. However, on the call, Foxconn said it had restarted some production in the city. Other factors have also played a role. The Wall Street Journal writes, “Companies have struggled with higher raw-material prices and supply-chain disruptions as the Covid-19 pandemic, now into its third year, has led to production bottlenecks and shortages of critical components, such as semiconductors. Russia’s invasion of Ukraine has only exacerbated the troubles, with ports in Ukraine closed and oil and commodity prices spiking.” On the call, Young Liu, Foxconn’s chairman, said uncertainty would persist for months. He argued that the war in Ukraine would have a limited direct impact, but raised concerns about its potential effect on inflation. Despite the challenges, Liu said he was “cautious but still positive.”

New Zealand Welcomes Foreign Tourists Early

New Zealand’s Prime Minister Jacinda Ardern announced on Wednesday that the country would welcome back foreign tourists months ahead of schedule (NYT). Vaccinated travelers with valid visas or from visa-waiver countries (like the U.S. and Canada) could enter the country from May 1. “We are sending a very clear message that we are accelerating our economic recovery,” Ms. Ardern said at a news conference on Wednesday. She added, “In short, we’re ready to welcome the world back.” Coronavirus cases are currently at peak levels, but economic uncertainty combined with inflation has prompted the government to move forward.

U.S. Government & Politics

New York Audit Faults Former Governor Cuomo Over Nursing Home Death Response

On Tuesday, New York’s state comptroller, Thomas P. DiNapoli, released an audit faulting former Governor Andrew Cuomo for failing to respond properly to the large number of nursing home residents who died in New York as a result of the pandemic (NYT). The New York Times writes, “The audit found that Health Department officials at times underreported the full death toll by as much as 50 percent from April 2020 to February 2021, as Mr. Cuomo faced increasing scrutiny over whether his administration had intentionally concealed the actual number of deaths.” In a statement, DiNapoli said, “The public was misled by those at the highest level of state government through distortion and suppression of the facts when New Yorkers deserved the truth.” The audit points the finger for the initial failure at poor data gathering, but adds that even as data gathering improved, officials did not release the extent of deaths. The Times writes, “By May 2020, the report suggests, health officials possessed mostly reliable numbers that could have been made public. More than 67,000 people have died because of the coronavirus in New York since the beginning of the pandemic. As of Tuesday, 15,360 of those were nursing home residents, according to state data.” Cuomo resigned in August amid scandals over the nursing home deaths and accusations of sexual harassment, which we covered in prior briefs.

White House Tours Set to Return in April

The White House will reopen for public tours on April 15, following two years in which tours were halted due to the pandemic (NYT). The White House released a statement on the renewed tours on Tuesday, noting that they would initially operate only on Fridays and Saturdays. The statement added, “Within the 10 days prior to the public tour, anyone who has tested positive for COVID-19, has had any COVID-19 symptoms, or been in close contact with someone confirmed or suspected to have COVID-19, should stay home. Face masks will be available when entering the White House complex for those who choose to wear them.” The New York Times notes, the change comes as “caseloads in Washington, D.C., have reached lows not recorded since last summer, according to a New York Times database.”

GOP Senator Gave “People’s Convoy” Protesters a Capitol Tour

Last week, Senator Roger Marshall (R-KS) gave members of the so-called “People’s Convoy” protest a tour of the Capitol even as it remained largely closed to the public (Politico). Politico reports that a senior Congressional aide provided information regarding the tour to the Department of Justice. Politico writes, “The Capitol has been closed to public tours since the outbreak of Covid in the spring of 2020. Since this past December, the Senate has been allowed to give small public tours in a limited area on the Senate side, with a limit of two tours per week. Marshall’s office said the trucker tour complied with that exception.” In a statement, Senator Marshall said, “Hard-working Kansans — especially those who have driven over 1,000 miles to get to D.C. — deserve access to their U.S. Capitol,” adding that he supports immediate reopening of the capitol. The People’s Convoy inspired in part by the trucker protests in Canada sought to disrupt traffic in DC to protest pandemic restrictions. Politico writes, “The senior congressional aide said he overheard a Capitol Hill police officer complain about the truckers being allowed in the Capitol. He said he reported the tour to the Justice Department.”

U.S. Economy

Federal Reserve Raises Interest Rates by a Quarter Point

On Wednesday, the Federal Reserve raised interest rates a quarter point in an effort to respond to inflation (Politico, WSJ, NYT). It was the first rate increase since 2018, and reserve officials projected that they would raise the rate another six times in 2022. The Wall Street Journal writes, “The rate-setting Federal Open Market Committee approved the decision on a 8-to-1 vote, with St. Louis Fed President James Bullard dissenting in favor of a larger half-percentage-point increase.” The Journal adds, “New projections show most officials expect the fed-funds rate to rise to at least 1.875% by the end of this year, according to the median of 16 officials, to around 2.75% by the end of 2023 and to hold rates there in 2024. That implies a total of seven quarter-percentage-point increases this year and another three or four next year.” Bonus Read: “Stocks climb but trading is volatile after Fed projects more rate increases this year,” (NYT).

Retail Sales Grew in February, But at a Slower Pace, Suggesting Inflation is Having an Impact

On Wednesday, the Department of Commerce released data showing that U.S. retail sales rose a seasonally adjusted .3% in February (NYT, WSJ). Though a rise, the pace of the increase slowed, suggesting that inflation may be having an impact on consumer decisions. The New York Times writes, “The slower pace of growth in February — January’s retail sales had increased 4.9 percent, revised data showed — follows other indications that consumers were growing more pessimistic as they faced persistently rising prices with no end in sight. Last week, the government said the Consumer Price Index, a widely-watched inflation gauge, rose 7.9 percent in the year through February, the fastest pace of annual inflation in 40 years.” Beth Ann Bovino, the U.S. chief economist at S&P Global, told the Times, “Inflation is crimping into household purchasing power,” adding, “Even if wages are high, inflation for goods is even higher. You want to celebrate that larger paycheck, but you can’t because you can’t buy as much stuff with it anymore.” However, the Wall Street Journal notes that there are reassuring signs, writing, “The report suggests that consumers are ready to move on from the recent wave of Covid-19 cases caused by the Omicron variant. Spending at restaurants and bars was up 2.5% in February, the fastest increase since May of last year.”

Walmart to Hire 50,000 More Workers by End of April

Walmart plans to add 50,000 U.S. workers to its already existing U.S. workforce of 1.6 million by the end of April (WSJ). The Wall Street Journal writes, “The retail chain is seeking around 50,000 workers in the U.S. in the current quarter, the company said, at a time of year when many retailers pull back on hiring following the holiday shopping season. Many of those workers will fill store roles, but Walmart also aims to add staff in new business areas such as health and wellness and advertising, said Donna Morris, the company’s chief people officer.” Morris commented, “People are reassessing their lives, and we want to be in consideration when people are determining where they want to go and where they want to stay.” Walmart’s effort comes amid a tight labor market, as the economy adjusts to the impact of the pandemic, large numbers of job openings even as record numbers of people prove willing to quit their jobs.

U.S. Society

Bonus Read: “Warehouses Transform N.Y.C. Neighborhoods as E-Commerce Booms,” (NYT).

Sweetgreen Rebuilds Office Salad Delivery Program

The salad chain Sweetgreen is reestablishing its lunch delivery program for office buildings, as people return to office work (WSJ). The Wall Street Journal writes, “The program, called Outpost and introduced in 2018, lets workers at participating employers pick up orders at locations in office buildings without paying a delivery fee. It had grown to more than 1,000 locations when the Covid-19 pandemic abruptly drove many workers to set up shop at home. Most of Sweetgreen’s Outpost locations paused service or pivoted to providing meals to people in apartments, hospitals and other locations.” The move comes as the market for delivery sees increased competition, according to the Journal.

Bonus Read: “D.C. Hotel Workers Beset By Layoffs And Reduced Hours Face Uncertain Future,” (DCist).

Analysis & Arguments

Jessica Grose examines how the pandemic made life harder for students with learning disabilities (NYT).

Jacob Bacharach writes on David Leondhart and his argument that the pandemic is in retreat (New Republic).

Bobby Jindal and Heidi Overton argue against school vaccine mandates and in favor of vaccines (National Review).

 Readers can send in tips, critiques, questions, and suggestions to coronavirusbrief@newamerica.org.

The Brief is edited by David Sterman and Emily Schneider with Senior Editor Peter Bergen.

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