COVID-19: WHAT IS THE COMMISSION DOING?

MEDICAL

Medical Information

The European Centre for Disease Prevention and Control (ECDC) is an EU agency aimed at strengthening Europe's defences against infectious diseases. The ECDC provides technical support for the EU-level response to disease threats. It produces rapid risk assessments and epidemiological updates; and, together with the European Commission, can provide outbreak response in support of countries or international organisations. In the context of COVID-19, the role of the Commission and of the ECDC is to provide risk assessments and guidance. To support public health preparedness in the EU Member States, ECDC publishes daily epidemiological updates for the situation worldwide. ECDC also provides support on the ground to assess the situation and look at what further measures might be taken as events unfold.

Prevention

At EU level, under the Cross-border Threat Decision, the Commission coordinates with Member States through three key mechanisms:

• The Early Warning and Response System
• The Health Security Committee
• The Health Security Committee's Communicators' network

These tools support cooperation, rapid exchange of information, swift monitoring and coordination of preparedness and response measures to COVID-19.

EU Early Warning and Response System (EWRS)

Serious cross-border threats to health are notified through the early warning and response system (EWRS). This system allows EU Member States to send alerts about events with a potential impact on the EU, share information, and coordinate their response. The system is hosted by the European Centre for Disease Prevention and Control (ECDC). Alerts of cross border health threats are shared in the Early Warning and Response System and assessed by the ECDC.  Coordination of preparedness and response planning takes place in the context of the Health Security Committee. In the context of the COVID-19 outbreak, on 9 January, the Commission triggered the first alert on the Early Warning and Response System. Since then, Member States have regularly been sharing messages to allow for real time information exchange.

EU Health Security Committee

The EU Health Security Committee was set up in 2001 at the request of EU Health Ministers as an informal advisory group on health security at European level. The Committee is mandated to reinforce the coordination and sharing of best practice and information on national preparedness activities. Member States also consult each other within the Committee with a view to coordinating national responses to serious cross border threats to health, including events declared a public health emergency of international concern by the World Health Organisation in accordance with International Health Regulations. The Committee is chaired by a representative of the Commission, which also provides the secretariat. In the context of the COVID-19, the Commission has regularly convened the Health Security Committee to discuss the outbreak and related preparedness and response measures, including

• travel advice and points of entry measures 
• medical countermeasures (personal protective equipment, antivirals and investigational treatments)
• laboratory/diagnostic capacities

Procurement

The Cross-border Health Threat Decision provides for the possibility of joint procurement of medical countermeasures in order to secure more equitable access to specific medical countermeasures and an improved security of supply, together with more balanced prices for the participating EU countries. In order to be adequately prepared for an outbreak of a serious cross-border threat to health, the institutions of the EU, together with countries that have joined the Joint Procurement Agreement, may engage in a joint procurement procedure with a view to purchase

• vaccines
• antivirals
• medical countermeasures for serious cross-border threats to health

In the context of the COVID-19, the Commission is in the process of launching a joint procurement to support the access to personal protective equipment and obtain additional stocks that Member States may need.

Research and Innovation

Through the Horizon 2020 programme, the European Commission has very rapidly mobilised new funds for research through two special calls for research projects that will address the full spectrum of needs: understanding the disease, diagnosis, vaccines, treatment and preparedness.

• On 31 January 2020, the European Commission launched a special call for expressions of interest to support research on COVID-19 for a budget of EUR 10 million mobilised from the special fund for emergency research of the Horizon 2020 programme for research and innovation.
• Some 88 proposals were received within the very short two-week deadline and their evaluation by independent experts was being done in record time at the end of February. The results will soon be finalised and the successful projects will soon be informed and researchers will have the possibility to start their work immediately. Their aim is to advance our understanding of the COVID-19 epidemic, contribute to more efficient clinical management of patients infected with the virus, as well as public health preparedness and response.
• Given the scale of the problem and the massive commitment of the research community, the European Commission is exploring ways to mobilise additional funds in order to fund more projects from this call.
• On 24 February additional measures were announced, including a special fast track call for research proposals through the Innovative Medicines Initiative (IMI), a public-private partnership between the EU and the pharmaceutical industry through its association EFPIA.

The European Commission funds IMI through Horizon 2020 and will contribute up to EUR45 million to this call. A commitment of a similar scale is expected from the pharmaceutical industry so that the total investment could reach up to EUR90 million. The IMI call invites proposals for projects to develop treatments and diagnostics to better tackle the COVID-19 outbreak and to increase preparedness for potential future outbreaks.

Ongoing research and measures for preparedness for outbreaks

Several EU-funded projects are already contributing to preparedness and response to the COVID-19 outbreak, for example

• the European Virus Archive - GLOBAL (EVAg) has already responded to some 200 requests from 55 countries to provide access to products needed for diagnosing coronavirus infection
• the PREPARE project, a wide network that supports the readiness of hospitals in Europe and helps better understand the dynamics of the outbreak
• the Commission is also working with other research funders through the “Global research collaboration for infectious disease preparedness” (GloPID-R) network which coordinates research response and addresses priority research needs 

Relief

Upon request, the Commission facilitates and coordinates mobilisation of offers of assistance, such as the provision of protective material or the repatriation of citizens. The Commission also co-finances the delivery of assistance from one country to another. The Commission’s Emergency Response Coordination Centre (Brussels) has a key role in this and assists 24/7 all countries, in Europe and beyond, who ask for specific support.

Italy: on 26 February the Italian authorities requested through the EU Civil Protection Mechanism additional protective material, in particular medical masks, to enhance its capacities. The Commission has relayed the request to all Member States to mobilise offers of assistance.

Repatriation flights from China and Japan: the Emergency Response Coordination Centre co-financed several repatriation flights organised by France, Italy and the United Kingdom from Wuhan (China) and Yokohama Harbour (Japan), bringing back 515 EU citizens to Europe.

Assitance to China: At the outset of the COVID-19 outbreak, the Commission also coordinated and co-financed the delivery of emergency medical supplies to China through the EU Civil Protection Mechanism. Over 56 tonnes of personal protective equipment (protective clothing, disinfectant and medical masks) have been delivered to China, provided by France, Germany, Italy, Latvia, Estonia, Austria, Czech Republic, Hungary and Slovenia.

Funding: The Commission has mobilised € 232 million to boost global preparedeness, prevention and containment of the virus. With this contribution, the EU will support the World Health Organization (WHO), in particular the global preparedness and response global plan. The Commission will also boost pharmaceutical development and research projects on epidemiology, diagnostics, therapeutics and clinical management.

Coordination with Member States: The EU Emergency Response Coordination Centre is coordinating all collaboration between civil protection and emergency departments in the Member States. All the relevant information is relayed to Member States in real time. Further, regular video conferences take place with civil protection contact points.

Foresight

The European Centre for Disease Prevention and Control (ECDC) is in continuous contact with the European Commission, the public health authorities in China and the World Health Organization regarding the assessment of this outbreak. To inform the European Commission and the public health authorities in Member States of the evolving situation, ECDC publishes daily summaries and continuously assesses the risk for EU citizens.

MOBILITY

Schengen

Reinforcing health measures at the Schengen Borders

Under the Schengen Border Code, all decisions to refuse or accept entry to the territory of a Member State must be subject to an individual assessment undertaken by the competent authorities. It is the responsibility of the Member States to refuse entry on public health grounds to individual third country nationals. According to the Schengen Borders Code, the entry conditions to be fulfilled by third country nationals arriving at the EU's external borders include not being considered a threat to public national health. If such a threat exists, the person concerned will be subject to health screening without prejudice to their application. As further guidance, the Schengen Handbook for border guards specifies that any threat to the health of European citizens, as well as decisions on effective measures to be taken, must be assessed and coordinated through the Health Security Committee and notified to the Early Warning and Response System (EWRS), taking into account any risk assessments done by the European Centre for Disease prevention and Control (ECDC).

The Health Security Committee is comprised of the EU Member States' public health authorities. This is why, the public health competent authorities of each EU Member State should always be associated with taking national decisions about border controls allowing or refusing entry at the border, in accordance with national and Union public health legislation and with the procedures established by each Member State. Member States can reintroduce border controls at internal borders for reasons of public policy or internal security.  However, checks at external borders should contribute to ensuring that border checks within the area of free movement are not reintroduced unless they are necessary and proportionate for reasons of public policy etc. It should also be noted that according to the WHO and others, reintroduction of border controls at internal borders in order to refuse entry is not considered an appropriate preventive (or remedial) measure. Quarantine measures are more appropriate.

What is the Commission doing?

The Commission has issued guidance to Member States. The Commission believes that any relevant border control measures should be coordinated amongst Member States at EU level in order to avoid diverging border control practices and ensure the adoption of measures that are based on sound scientific advice, as well as on the principles of necessity and proportionality. As a very first step, the Commission has reminded Member States what options are allowed to reinforce health checks at the external border in conformity with the relevant provisions of European legislation. In addition, the Commission has established a weekly coordination group “COVID-19/Corona Information Group – Borders” with the participation of Member States, Schengen Associated Countries, Council General Secretariat and the European Border and Coast Guard Agency, to

• bring stakeholders in the area of borders (Member States and Schengen Associated Countries, Frontex, the Commission) together in order to exchange information and best practices in view of a coordinated approach at the borders
• share weekly updates with the “borders and Schengen family” on the health situation relating to the epidemic
• gather an overview of measures taken by Member States in view of reaching a coordinated approach
• feed the results of these meetings into other fora.

The Commission and the relevant EU Agencies (Frontex and the European Support Agency for  Asylum (EASO) have also enhanced their monitoring capacity of the situation and are planning a number of contingency measures to be implemented at the Schengen border, if needed.

 Visa policy

Member States can refuse an application for a short-stay visa as well as entry to the Schengen area to visa holders on grounds of threat to public health. Not posing a threat to public health is one of the conditions for obtaining a short stay visa (Visa Code) and an entry condition under the Schengen Borders Code.

The  situation in border “hotspots”

Reception and Identification Services for migrants fall under the responsibility of the Member States.

Every migrant arriving in the hotspots undergoes a mandatory health check. In order to prevent an outbreak of coronavirus, newly arrived/rescued migrants should be kept in clearly separated areas at or near the disembarkation/arrival site until their medical screening has been completed. Transfers to the Reception and Identification Service should only take place after they have been cleared.

What is the Commission doing?

The Commission is periodically convening meetings of an EU Regional Task Force, together with the Member States and the EU agencies, to discuss preparedness and measures taken in relation to the situation in the hotspots. The Commission is financially supporting health projects in frontline Member States at the external border as well as national measures designed to address the possible spread of coronavirus in hotspots and reception centres for migrants. Notably, the programme “PHILOS II— Emergency health response” is a programme of the Greek Ministry of Health which is implemented by the National Public Health Organisation. The project aims to address the sanitary and psychosocial needs of people living in the open camps on the mainland and in the Reception and Identification Services on the islands (hotspots) through the provision of medical staff, doctors and nurses. The budget of the programme amounts to EUR 37.5 million EU contribution.

 TRANSPORT

1. Passenger rights

Exemptions for carriers: For air, sea and inland waterways there are so-called “force majeure clauses”, which exempt carriers for paying compensation for delays or cancellations if caused by extraordinary circumstances. Airlines can cancel flights two weeks before the scheduled departure and no compensation is due. No such exemptions are foreseen for rail. The provisions on delay and compensation do not apply to cruise ships. For bus and coach severe weather conditions allow for exemptions regarding accommodation of stranded passengers. Rights of passengers to information, care and assistance (reimbursement, re-routing, apply also under these extraordinary circumstances (if the conditions are fulfilled).

2. Aviation

In coordination with the Commission, the European Union Aviation Safety Agency (EASA) has published a Safety Information Bulletin supported by promotional material (posters) for airlines and their crews and airports on the COVID-19 outbreak. This involves sharing non-legally binding recommendations (mainly from the WHO) on how to detect and manage sick passengers in airplanes and airports.

An ad hoc working group of experts from the “EU Healthy Gateways joint action” consortium (Project financed by the EU Health Program) published advice for preparedness and response to the COVID-19 outbreak

EASA, the Commission’s DG MOVE and the European Aviation Crisis Coordination Cell (EACCC) within ‘Eurocontrol’ are actively disseminating this information to stakeholders. According to the latest update (29 February 2020), only Italy and the Czech Republic apply flight restrictions for direct passengers flights to from Italy/China, Hong Kong, Macao and Taiwan, with no other Member State reporting flight restrictions.

Under EU rules, Member States can take measures such as suspending flights from other EU Member States. Under Article 21 of Regulation 1008/2008: “A Member State may refuse, limit or impose conditions on the exercise of traffic rights to deal with sudden problems of short duration resulting from unforeseeable and unavoidable circumstances.” Such measures should however: “respect the principles of proportionality and transparency and shall be based on objective and non-discriminatory criteria.” Measures should be limited to what is needed to contain the spread of the communicable disease; however, criteria for deciding what measures to take should be coordinated across the EU. In particular, it is crucial to maintain transport connections needed to provide the health emergency response.

Slot allocation

Airlines hold slots at coordinated airports, and have to use them 80% during a season in order to maintain the same permission for the next season (commonly known as “use it or lose it” rule). In the case of flights to/from mainland China and Hong Kong, it was agreed by the EU slot coordinators that airlines could invoke the application of the Slot Regulation regarding “force majeure” and that they will not lose the grandfathering right for the next season, subject to some conditions. In the case of other flights, so far it has not been agreed among the EU slot coordinators to grant the same alleviation. However, any developments that could indicate a need for a broader dispensation at a global level, similar to SARS in 2003, when and if appropriate – will be reconsidered by the Commission on the basis of the evolution of the coronavirus outbreak.

3. Maritime

An ad hoc working group of experts from the “EU Healthy Gateways joint action” consortium published advice for  preparedness and response to the COVID-19 outbreak. DG MOVE and the authorities in the Member States are actively disseminating this information to stakeholders.

 4. Rail/Road

An ad hoc working group of experts from the “EU Healthy Gateways joint action” consortium is preparing advice for actions for preparedness at ground crossings and the land transport sector.

 Travel Advice

Travel advice is provided by the national authorities of Member States.

ECONOMY

The macro-economic outlook

While the first concern is for the health of  EU citizens, the Commission is also actively monitoring the economic repercussions of the coronavirus in the  Member States and beyond. The Commission’s Winter Economic Forecast, presented on 13 February 2020, already identified COVID-19 as a new downside risk for the European economy and developments since then indicate that this risk is now partially materialising. However, the considerable uncertainty at this stage makes forecasting the impact of the virus on Europe very difficult. The Commission is confident that the expertise and professionalism of Europe’s health and civil protection systems, and the overall coordination of national efforts, will serve to minimise that impact.

The Commission has teams in place to closely monitor developments in manufacturing, trade, tourism and global markets and the effect COVID-19 is having on these.

Transport 

Update of impact upon transportation, also in relation to border controls on the basis of the Schengen acquis.

Aviation

International Air Transport Association (IATA) has published its economic impact assessment online.

Maritime

The International Chamber of Shipping, the global shipping body representing 80% of the world’s merchant fleet, estimates that the virus is costing the industry $350m a week in lost revenues. More than 350 000 containers have been removed from global trade. Global supply chains continue to suffer, and issues remain around the quarantining of ships at ports. Port calls in China have dropped by over 30% since the beginning of 2020 and total throughput in Chinese ports has fallen by more than 20% in recent weeks (the latter according to Alphaliner Research Agency, the organisation that monitors container shipping). Overall, there have been 49% fewer sailings by container ships from China in the last four weeks. Rotterdam and Hamburg have been hit the hardest in Europe with regard to containers from Asia. There has been an estimated 0.7% reduction in global traffic in the first quarter of 2020 but the consequences could be much higher for specific ports, depending on the duration of the crisis. One estimate for the port of Rotterdam shows an annual reduction of 1%, or 150,000 containers.

At this time, the inland ports have not yet flagged any real decline. However, a similar effect can be expected in inland ports in the coming months as the hinterland traffic will decline. The reduction of trains coming from China will also start to have an effect.

The forecasted drop of 20-25% in global shipping industry throughput will have a corresponding impact on the port terminal industry. Whereas the shipping industry to some extent can mitigate costs by idling vessels thus avoiding fuel and terminal handling costs, the cost base of port terminals is far more inelastic in the short term. A terminal’s highest operating cost is usually labour of which only minor costs can be mitigated (overtime, etc).

In addition, all ports and terminals will face a build-up of empty containers with corresponding yard congestion whilst at the same time there are requests from shipping lines and customers to waive storage charges due to the virus ‘force majeure’.

Tourism 

Tourism is the 3rd largest sector of the EU economy. It generates 10.3 % of its GDP and employs 27 million people (11.7% of all EU jobs). China is the third largest source of international visitors for the EU, after the USA and Russia. The segment of Chinese tourists is growing strongly, with 2.8 million Schengen visa applications in 2018 representing an increase of 11.3% over 2017. 

Following the outbreak of COVID-19, the EU tourism sector is confronted with:

• The loss of a high proportion of Chinese travellers since the end of January. Most European carriers have suspended their flights to China until the end of March and most Chinese bookings in Europe over the Chinese New Year were cancelled. The likely impact on the EU tourism industry for January to the end of April 2020 is a possible loss of approx. 400,000 Chinese travellers and 2 million nights (preliminary estimates).
• The loss of other key international travellers affected by the virus outbreak in their country (Japan, South Korea) or cancelling trips because of the increase in cases in Europe (USA, Canada, etc.)
• Cancellations and reduction in bookings for trips of Europeans within the EU (intra-EU tourism representing 60% of tourist arrivals)
  • Drop in city trips linked to uncertainty about contamination risks and timely return
  • Downsizing and cancellations of major Trade Fairs and other events.

In order to monitor and help manage the situation in real time, the European Commission is in constant contact with Member States’ ministries responsible for tourism, specialised international organisations (UNWTO and OECD) and with its industry (notably through an ad hoc network gathering EU professional associations, in collaboration with the European Travel Commission).

Trade and Industry

The economic impact of COVID-19 will vary across industries and firms depending upon a number of factors including the exposure to China as source of intermediate inputs, the possibility to shift to alternative suppliers, and the existence of inventories or reliance on just-in-time production processes. 

The European Commission is in close contact with national authorities, industry representatives and other stakeholders in order to monitor and evaluate the impact on European industries and trade.