EU signs contract with Philips on ventilators

"I can confirm that Philips has signed framework contracts with the European Commission to supply ventilators under an EU joint-procurement agreement," a spokesman for Philips told Reuters.

At the beginning of April, Philips reached a similar deal with the United States, committing to selling 43,000 hospital ventilators throughout the rest of the year for a total sum of $647 million.

Later in the month, U.S. President Donald Trump said the country had acquired so many ventilators that it would send some machines to countries who needed them most.

Asked about the contract with Philips, a spokesman for the European Commission confirmed agreements had been signed with the Dutch firm and others, but declined to name the other companies that won the EU tender because procedures were not yet completed. He also declined to comment on the price.

Under the scheme, the EU executive commission negotiates prices with suppliers and signs framework contracts. After that, governments can place orders.

The EU joint procurement for ventilators was launched on March 17 and the first contracts were signed in April, but the Commission was not aware of any order having been placed yet by an EU government, the commission spokesman said.

The coronavirus outbreak reached its peak in most EU countries at the beginning of May, the head of the EU disease control agency said last week - a trend confirmed by reduced pressure on intensive care units in many EU states.

However, as governments begin easing their lockdowns and let economic activity restart, public health officials have warned of the need for vigilance against the risks of new waves of contagion.