Bird Flu & Moderna Contract: HHS Decision Raises Concerns
- Despite showing encouraging interim results in early trials, Moderna's avian influenza vaccine program faces an uncertain future after the U.S.
- The Department of Health and Human Services (HHS) notified Moderna of its decision to terminate the agreement, which included options to purchase pre-pandemic influenza vaccines.
- Moderna's avian influenza vaccine candidate, mRNA-1018, underwent Phase 1/2 testing involving about 300 healthy adults.
The U.S. government’s decision to cut funding for Moderna‘s promising bird flu vaccine raises alarms.Despite encouraging early trial data, the pharma giant must now secure option financing. This move comes amidst ongoing avian influenza outbreaks, impacting poultry and dairy farms. The vaccine, mRNA-1018, showed remarkable immune responses in initial tests. HHS‘s contract termination follows a shifting federal vaccine policy, possibly influencing revenue from Moderna’s Spikevax product. News Directory 3 reports on this critical pivot, with implications for pandemic readiness.Discover what’s next for the development of this secondary_keyword vaccine.
Moderna’s Bird Flu Vaccine Faces Funding Cut Despite Promising Data
Updated May 29, 2025
Despite showing encouraging interim results in early trials, Moderna’s avian influenza vaccine program faces an uncertain future after the U.S. government canceled a contract that would have financed late-stage clinical trials. The move comes as outbreaks of bird flu continue to affect poultry and dairy farms across the nation.Moderna is now seeking alternative funding to continue progress of it’s mRNA vaccine, mRNA vaccine technology seen as a key tool for pandemic preparedness.
The Department of Health and Human Services (HHS) notified Moderna of its decision to terminate the agreement, which included options to purchase pre-pandemic influenza vaccines. The federal government often supports the development of vaccines addressing public health threats. Moderna previously received federal funding under Operation Warp Speed for its COVID-19 vaccine,Spikevax.
Moderna’s avian influenza vaccine candidate, mRNA-1018, underwent Phase 1/2 testing involving about 300 healthy adults. The interim results, released Wednesday, indicated that the vaccine produced “a rapid, potent and durable immune response” against the H5 avian influenza virus subtype. after two intramuscular injections, administered 22 days apart, nearly 98% of participants developed protective antibody levels. The company reported the vaccine was generally well-tolerated.
The cancellation of the contract follows a review initiated by HHS Secretary Robert F. Kennedy, Jr. Federal vaccine policy has been shifting,with the FDA and HHS recently revising their COVID-19 vaccine recommendations to focus primarily on high-risk groups. Kennedy also announced the removal of COVID-19 vaccines from the CDC’s recommended immunization schedule for healthy children and pregnant women.
Moderna reported a year-over-year decline in Spikevax revenue in its first quarter 2025 financial results, attributing it to lower vaccination rates as the market becomes seasonal. Government policies on COVID-19 vaccines could further impact insurance coverage and Moderna’s revenue. The company’s cash position at the end of the quarter was $8.4 billion, down from the end of 2024.
According to the CDC, H5 bird flu is widespread in wild birds globally, causing outbreaks in U.S. poultry and dairy cows. The agency reports 70 human cases and one death to date, with no evidence of person-to-person spread. The CDC classifies the public health risk as low.
moderna CEO Stéphane Bancel