The United States has announced the resumption of COVID-19 testing

Article Source: Carefully Selected IVD Raw Materials

In the face of the "triple pandemic", the Biden administration has begun to take response measures. On December 15 local time, Ashish Garha, the White House COVID-19 response Coordinator of the United States, said that starting from that day (December 15), COVID-19 testing would be resumed and free COVID-19 test kits would be provided to the public. He emphasized that the COVID-19 pandemic in the United States is far from over and that the country may face a triple risk of COVID-19, influenza and respiratory syncytial virus (RSV) this winter. According to the latest data from the US Centers for Disease Control and Prevention, in the past few weeks, the number of confirmed COVID-19 cases in the United States has increased by 45% to 50% each week, and the death toll has risen by 60% each week.

As the United States resumes COVID-19 testing, the market is beginning to expect that the global demand for antigen test kits may further increase in the winter of 2022. Jiuan Medical, once a "16-fold antigen bull stock", stated that it is closely monitoring the development of the epidemic in the United States and striving to meet market demand. Its US factory has already started operations since late September. In late November, Jiuan Medical just won a purchase order worth 1.37 billion yuan from the United States.

On the eve of the highly anticipated Qatar World Cup final, three key players of the French team suddenly showed symptoms suspected to be flu, which drew widespread attention. On December 15th local time, the head coach of the French national team, Didier Deschamps, said that winger Kingsley Coman, midfielder Rabiot and center-back Upamecano had successively shown symptoms suspected of being the flu. According to French media outlets such as Le Parisien and RCM, the flu that the French team encountered was not COVID-19. Spanish media outlet AS reported that the three French players might have contracted "camel flu".

Biden has decided to resume COVID-19 testing

Facing the threat of the "triple pandemic" in the winter of 2022, the US government has also begun to feel nervous.

Currently, the number of COVID-19 cases across the United States is on the rise. The Biden administration has decided to provide free home test kits to the American public again starting from December 15 local time.

On December 15 local time, Ashish Jha, the White House's COVID-19 response coordinator, said that the supply of free test kits would resume as of that day (December 15). He emphasized that the COVID-19 pandemic in the United States is far from over and that the country may face a triple risk of COVID-19, influenza and respiratory syncytial virus (RSV) this winter. Therefore, he strongly encouraged Americans to get vaccinated against the latest COVID-19 vaccine immediately.

According to Reuters, all US families can order test kits for free from the government website COVIDTests.gov, but "each address can only place an order once, and each order contains four test kits for people", with the earliest shipment scheduled for December 19. The White House of the United States said that the government will use existing funds to cover the cost of test kits because Congress has not yet passed a bill aimed at investing more funds in the COVID-19 pandemic.

According to The Wall Street Journal, senior officials of the Biden administration said that in addition to providing test kits, the government also plans to set up 15,000 free community testing stations across the country. The plan also includes providing assistance to the governor, establishing mobile and temporary vaccination sites, and distributing epidemiological handbooks in nursing homes.

Previously, the United States once suspended the distribution of free COVID-19 test kits. Ashish Ghaha said that the free testing program was suspended because the government had to ensure there were enough test kits to deal with the possible surge in COVID-19 cases in winter.

After entering winter, the COVID-19 pandemic in the United States made a rapid comeback. According to the latest data from the US Centers for Disease Control and Prevention (CDC), in the past few weeks, the number of confirmed COVID-19 cases in the United States has increased by 45% to 50% each week, and the death toll has risen by 60% each week. Nearly 10% of counties in the United States are at high risk. Meanwhile, the United States may be experiencing its worst flu season in a decade.

In the face of the fierce resurgence of the COVID-19 pandemic, Ashish Ghaha called on every American to get vaccinated with the latest COVID-19 vaccine immediately. According to the latest data from the CDC, the latest booster shot vaccination rate in the United States (for those aged 5 and above) is only 14.1%.

Under the severe situation, the "mask mandate" in the United States may be reinstated. In Washington State, county health officials and hospital executives have issued the latest guidelines, requiring residents to wear masks indoors. The Oregon Department of Health also recommends that residents wear masks in crowded indoor areas, especially to protect children and the elderly. Public health experts in Los Angeles County said that the new sub-variant combined with a lower rate of booster shots has led to a sharp increase in infections, and they called on people to go indoors and wear masks again.

Will the 16-fold bull stock receive another boost?

As the United States resumes COVID-19 testing, the market is beginning to expect that the global demand for antigen test kits may further increase in the winter of 2022.

On December 15th, Jiuan Medical, the leading antigen test kit manufacturer, stated on the investor relations platform that the company is closely monitoring the development of the epidemic situation in the United States and striving to meet market demand. Its US factory has been in operation since late September.

In late November, iHealth Medical just won a purchase order from the United States. According to the announcement, the company has obtained a purchase contract in the United States to purchase 72 million sets of iHealth test kits. The total contract value, including tax, is approximately 191 million US dollars (including freight), equivalent to about 1.367 billion yuan.

It is worth noting that the market price of antigen test kits in the United States remains relatively high. According to the contract information disclosed by iHealth, the purchase price of COVID-19 home antigen tests by the US government is $2.65 per test (approximately 18.6 yuan per test). Although it has nearly halved compared to the $5 per piece at the beginning of the year, it is still much higher than the prices in Europe and other countries.

As a result, the share price of Jiuan Medical has been continuously rising recently. From October 12th to now, the cumulative increase has reached 47%. Looking back at 2021, iHealth Medical exported a large number of antigen test kits to the United States, during which its stock price soared by more than 16 times at its peak.

Meanwhile, as domestic epidemic prevention and control policies continue to be optimized and adjusted, antigen testing has gradually taken center stage, and a rush to purchase antigen test kits has swept across the country.

Facing the continuously rising market demand, companies related to antigen test kits are significantly increasing production and actively ensuring supply.

As of December 12th, the National Medical Products Administration has approved 42 COVID-19 antigen test kits, involving 24 listed companies, including Aotai Biological, Novozyme, Kefu Medical, YHLO, and Orient Bio.

Among them, YHLO stated that currently the company has no stock available. Its daily production capacity is 7.5 million test kits, and they are basically produced and dispatched on the same day. The order volume is relatively large. Oriental Bio also told the media that its current normal production capacity is 15 to 20 million, and the capacity is gradually recovering. At present, the supply is insufficient to meet the demand. Aotai Bio also stated that currently the company has no stock available and whether to expand production capacity depends on the order situation.

However, it should be pointed out that despite the sharp increase in demand, there is not much room for imagination about the price. According to the "Notice on Further Reducing the Prices of COVID-19 Nucleic Acid Testing and Antigen Testing" issued by the National Healthcare Security Administration, the government-guided price for the medical service project of "COVID-19 antigen testing" has been reduced to no more than 2 yuan per person.

At present, the prices of COVID-19 antigen test kits on major online shopping platforms are generally between 3 and 5 yuan per person. The more you purchase, the lower the average price.

According to a research report by GF Securities, the current production cost of a single antigen self-test kit in China is approximately 2 to 3 yuan. In extreme cases, the production cost can be reduced to 1.5 yuan per person. Therefore, the potential profit margin is not high.

World Cup Breaking News

At 23:00 Beijing time on Sunday, the final match of the Qatar World Cup will kick off, with Argentina facing off against the defending champion France.

On the eve of the peak showdown, three key players of the French team suddenly showed symptoms suspected to be flu, which drew widespread attention.

On December 15th local time, the head coach of the French national team, Didier Deschamps, said that winger Kingsley Coman is having a fever and is the third player in the team to show suspected flu-like symptoms after midfielder Rabot and center-back Upamecano.

French media outlets such as Le Parisien and RCM confirmed that the flu encountered by the French team was not COVID-19. The French team has always attached great importance to various types of flu and has taken preventive measures. After the semi-final against Morocco, all journalists must wear masks. Player Chouameni also revealed that various alcohol-based gel disinfectants have always been available at the French team's base camp, and everyone is very cautious.

Regarding the conditions of the three players, Deschamps told the media that currently, Umecano has not fully recovered, while Rabiot has improved somewhat and is theoretically eligible to participate in the final. According to French media reports, both of them participated in the team's joint training on Thursday local time, but Koeman did not take part in the training.

In addition, according to the renowned Spanish sports media outlet AS, the news that these three French players have contracted the disease reminds people of the once rampant Middle East Respiratory Syndrome (MERS), also known as "camel flu".

Data shows that "camel flu" is a viral respiratory disease caused by the Middle East Respiratory Syndrome Coronavirus (MERS-COV). Patients usually experience symptoms such as fever, cough and shortness of breath. In severe cases, it can lead to respiratory failure.

The virus was first confirmed in Saudi Arabia in 2012, and the confirmed cases are mainly concentrated in countries in the Middle East. According to data from the World Health Organization, from April 2012 to October 2022, 2,600 confirmed cases and 935 related deaths were reported to the WHO globally.

The UK Health Security Agency (UKHSA) has asked doctors to pay close attention to patients with fever and breathing difficulties. The agency said that regions like Qatar, where camels can be in contact, have a higher risk of infection.

At present, tourists returning to the UK from Qatar who have symptoms suspected of MERS such as coughing, fever and vomiting are all told to seek professional medical advice.