U.S. administers 118.3 million doses of COVID-19 vaccines: CDC

(Reuters) – The United States has administered 118,313,818 doses of COVID-19 vaccines in the country as of Friday morning and distributed 154,199,235 doses, the U.S. Centers for Disease Control and Prevention said.

The tally is for Moderna, Pfizer/BioNTech, and Johnson & Johnson’s vaccines as of 6:00 a.m. ET on Friday, the agency said.

According to the tally posted on March 18, the agency had administered 115,730,008 doses of the vaccines, and distributed 151,108,445 doses.

The agency said 77,230,061 people had received at least one dose while 41,934,629 people are fully vaccinated as of Friday.

A total of 7,630,706 vaccine doses have been administered in long-term care facilities, the agency said.

(Reporting by Mrinalika Roy in Bengaluru; Editing by Shailesh Kuber)

U.S. backs distance of three feet between students, which may help schools open

By Carl O’Donnell

(Reuters) – The U.S. government on Friday updated its COVID-19 mitigation guidance to narrow the acceptable distance between students who are wearing masks to at least three feet from at least six feet, potentially easing the path for schools that have struggled to reopen under previous recommendations.

The new recommendation from the U.S. Centers for Disease Control and Prevention is a boost to the Biden administration’s goal of reopening in-person learning for millions of public school students without sparking outbreaks of the virus.

Many schools continue to teach students remotely more than a year after the novel coronavirus prompted widespread closures across the United States.

The new guidance applies to students from kindergarten through high school and in areas with low, moderate, and substantial community transmission of COVID-19. Middle and high school students in communities with high levels of COVID-19 should stay six feet apart unless their school day contact can be limited to a single small group of students and staff.

Students should continue to maintain six feet of distance when interacting with teachers and other school staff and when eating, the CDC said.

The CDC has been under pressure to relax its guidance to schools and Director Rochelle Walensky said this week that the agency was looking at data in part from a recent study in Massachusetts which suggested tighter spacing had not impacted COVID-19 transmission.

Many schools do not have the space in classrooms to maintain six feet between students, and outside of the United States public health agency recommendations for social distancing start at about three feet and range to more than six.

The guidance urged schools to conduct widespread COVID-19 testing of students and said such regular use of screening tests offers added protection for schools that require fewer than six feet of separation.

School districts should expand screenings for students participating in sports or other extracurricular activities, and consider universal screening prior to athletic events.

The agency continues to recommend quarantines for anyone who has been within six feet of someone sick with COVID-19 for more than 15 minutes within a 24-hour period.

The White House said Wednesday said it would allocate $10 billion to states to support COVID-19 screening testing for teachers, staff and students to assist schools resume in-person instruction.

The CDC said students are required to wear masks on school buses and any other forms of public transit they use to get to school. The agency issued an order in February requiring travelers to wear masks when using public transit.

The Biden administration has urged states to vaccinate teachers and childcare workers, with the goal of getting all of them inoculated by the end of March.

Mexico to tighten borders against COVID-19 as U.S. offers vaccine help

MEXICO CITY (Reuters) – Mexico’s government said on Thursday it would apply travel curbs on its southern border with Guatemala to help contain the spread of COVID-19 as officials said the Biden administration planned to loan Mexico vaccines to fight the pandemic.

The foreign ministry’s announcement that Mexico would restrict movement on its border with Guatemala comes just as the country plans to step up enforcement efforts in the area against illegal immigration, according to a Reuters report.

President Joe Biden is under increasing pressure to reduce a recent surge in migrants from Central America reaching the U.S. border while Mexico has been pressing the U.S. government for a loan of vaccines to help its drive to tackle COVID-19.

A U.S. congressional source said the mutually beneficial news on the vaccines and the border curbs was no coincidence. A Mexican official did not immediately reply to a request for comment on whether the two announcements were linked.

Confirming details reported by Reuters, Mexican Foreign Minister Marcelo Ebrard said that Mexico and the United States were crafting a deal for 2.5 million doses of AstraZeneca’s COVID-19 vaccine and that he would reveal more on Friday.

“This would be the best start for a broad cooperation on vaccines,” Ebrard said on Twitter.

A U.S. official told Reuters that under the loan deal, the United States would send Mexico 2.5 million doses of the AstraZeneca vaccine that it is not using. Canada is also set to receive 1.5 million doses under the arrangement.

In a statement, Mexico’s foreign ministry said restrictions for non-essential activities on its borders with the United States and Guatemala would take effect starting on Friday, and would remain in place until midnight of April 21.

During the past few months, Mexico had announced extensions to restrictions along its border with the United States as part of bilateral efforts to stem the spread of the pandemic.

Those monthly communiques did not mention the border with Guatemala, where average COVID-19 cases are now lower than they were in January, though they have been ticking up.

Mexico’s own infections have fallen sharply in the last few weeks, and the two southern states covering over 85% of the border with Guatemala are two of only three in the country at the lowest COVID-19 alert level, health ministry data show.

Mexico has 31 states.

(Reporting by Diego Ore and Dave Graham in Mexico City and Jeff Mason in Washington; Writing by Laura Gottesdiener; Editing by Andrea Ricci)

Blinken warns entities involved in Nord Stream 2 pipeline to immediately quit

WASHINGTON (Reuters) – The U.S. State Department is tracking efforts to complete Russia’s Nord Stream 2 natural gas pipeline and evaluating information on entities that appear to be involved, U.S. Secretary of State Antony Blinken said on Thursday.

“Any entity involved in the Nord Stream 2 pipeline risks U.S. sanctions and should immediately abandon work on the pipeline,” Blinken said in a statement, adding the Biden administration is committed to complying with 2019 and 2020 legislation with regards to the pipeline and sanctions.

Shortly after Blinken’s statement, Senator Ted Cruz, a Republican and an opponent of the pipeline, lifted a hold he had placed on two of President Joe Biden’s nominees, including William Burns for director of the Central Intelligence Agency.

Nord Stream 2, led by Russia state energy company Gazprom with its Western partners, would double the capacity of an existing link to take Russian gas to Germany under the Baltic Sea. Biden believes the project is a “bad deal” for Ukraine and Central and Eastern European allies, Blinken said.

The pipeline would bypass Ukraine, likely depriving it of lucrative transit revenues and potentially undermine its efforts against Russian aggression.

Sanctions law that went into effect this year require the State Department to sanction companies that help Nord Stream 2 lay pipeline or provide insurance or certification of its construction. Nearly 20 companies, mostly insurance firms, recently quit the project after Washington warned them in recent months that they could be sanctioned.

Cruz said he would maintain a hold on Wendy Sherman, who Biden has nominated to be the No. 2 official at the State Department until the administration imposes full sanctions on ships and companies involved in the project. Sherman easily passed through the Senate Foreign Relations Committee last week and a hold would only likely delay a full Senate vote on her nomination.

(Reporting by Daphne Psaledakis and Timothy Gardner; Editing by Chris Reese)

Exclusive: U.S. looks to Canada for minerals to build electric vehicles – documents

By Ernest Scheyder and Jeff Lewis

(Reuters) – The U.S. government is working to help American miners and battery makers expand into Canada, part of a strategy to boost regional production of minerals used to make electric vehicles and counter Chinese dominance.

On Thursday, the U.S. Department of Commerce is hosting a closed-door virtual meeting with miners and battery manufacturers to discuss ways to boost Canadian production of EV materials, according to documents seen by Reuters.

The move comes as demand for electrified transportation is set to surge over the next decade.

Conservationists have strongly opposed several large U.S. mining projects, leading officials to look north of the border to Canada and its supply of 13 of the 35 minerals deemed critical for national defense by Washington.

Tesla Inc, Albemarle Corp, Talon Metals Corp and Livent Corp are among the more-than 30 attendees at Thursday’s meeting who will discuss ways Washington can assist U.S. companies expand in Canada and overcome logistical challenges, according to the documents.

The U.S. Department of Commerce did not immediately respond to requests for comment.

The event comes after U.S. President Joe Biden and Canadian Prime Minister Justin Trudeau committed last month to building an EV supply chain between the two countries.

Since Biden’s election, three U.S. mining companies have invested in Canada, where mining accounts for 5% of the country’s gross domestic product, versus roughly 0.9% in the United States.

Canada’s Fortune Minerals Ltd, which is developing a cobalt mine in the Northwest Territories, has also held funding talks with the U.S. Export/Import Bank, its chief executive told Reuters.

“The United States is really taking this seriously,” CEO Robin Goad said.

Lithium-ion batteries are dangerous to transport over long distances, so automakers prefer to have them built near assembly plants. That should aid efforts by Ontario and Quebec to develop their own battery cell plants with both provinces close to U.S. automakers in Michigan and Ohio, industry executives said.

“The border between Canada and the U.S. is inconsequential with respect to EVs and EV minerals,” said Arne Frandsen, CEO of mining investment group Pallinghurst, which is the largest shareholder in Nouveau Monde Graphite Inc, which is building a graphite mine and anode plant in Quebec.

Pallinghurst joined Livent last November to buy the Nemaska lithium project in Quebec, in what will be North America’s largest lithium mine. Both projects are slated to open by 2024 just as automakers launch dozens of new EV models.

“We do see Canada as a natural fit for expansion as the whole battery supply chain is going through a huge self-reckoning about sourcing,” said Livent CEO Paul Graves.

Livent has supply deals with BMW and Tesla.

’51ST STATE’

To be sure, the United States is also trying to boost domestic production of EV metals, which the Biden administration has said is critical.

But Washington is increasingly viewing Canada as a kind of “51st State” for mineral supply purposes and plans to deepen financial and logistical partnerships with the country’s mining sector over time, according to a U.S. government source.

Both countries are members of the Energy Resource Governance Initiative, a pact to share mining experience and resources.

Canadian firms are also able to apply for U.S. government grants under the U.S. Defense Production Act and other U.S. funding programs. There are no U.S. tariffs on Canadian EV battery metals or EV parts.

“You’re beginning to see Canada become an important part of the North American EV supply chain,” said Keith Phillips, CEO of Piedmont Lithium Ltd, which in January bought 20% of Sayona Mining Ltd, a developer of a Quebec lithium project.

Canada’s First Cobalt Corp is building the continent’s only cobalt refinery, part of an effort to wean the EV industry off supplies from the Democratic Republic of Congo, where child labor has been used. Cobalt is used to make battery cathodes.

Adding to the appeal of Canada, some of the country’s mines bill themselves as environmentally friendly and promise to use hydroelectric power to reduce their carbon emissions.

The United States knows “that we are the most-secure and most-resilient source of metal imports for them,” Canadian Natural Resources Minister Seamus O’Regan told Reuters.

Last week, privately-held USA Rare Earth invested in Search Minerals Inc’s rare earths project in Newfoundland in eastern Canada.

While USA Rare Earth already controls a rare earths deposit in Texas, executives said they wanted access to more of the minerals used to make electronics and weapons.

“You can’t just rely on projects in the U.S. for supply,” said Pini Althaus, USA Rare Earth’s CEO. “You have to collaborate with Canada.”

(Reporting by Ernest Scheyder in Houston and Jeff Lewis in Toronto; Editing by Amran Abocar and Marguerita Choy)

U.S. plans to send four million doses of AstraZeneca vaccine to Mexico, Canada

By Jeff Mason

WASHINGTON (Reuters) – The United States plans to send roughly 4 million doses of AstraZeneca’s COVID-19 vaccine that it is not using to Mexico and Canada in loan deals with the two countries, an administration official told Reuters on Thursday.

Mexico will receive 2.5 million doses of the vaccine and Canada will receive 1.5 million doses, the official said.

“This virus has no borders,” the official told Reuters on condition of anonymity. “We only put the virus behind us if we’re helping our global partners.”

The Biden administration has come under pressure from allies worldwide to share vaccine, particularly from AstraZeneca, which is authorized for use in other countries but not yet in the United States.

AstraZeneca has millions of doses made in a U.S. facility, and has said that it would have 30 million shots ready at the beginning of April. The company’s shares rose slightly on the news.

The deal to share the vaccine, which is still being finalized, does not affect President Joe Biden’s plans to have vaccine available for all adults in the United States by the end of May, the official said. The deal is likely to be announced publicly in the coming days.

Two officials said the vaccine would be delivered in “short order” once the deal was completed, but they declined to give a more specific timetable.

The “releasable” vaccines are ready to be used once they arrive. Under the deal, the United States will share doses with Mexico and Canada now with the understanding that they will pay the United States back with doses in return. The official said that would take place later this year.

The United States had no plans to share the vaccine with other countries at this time, he said.

“They are our neighbors, they are our partners,” the official said about Mexico and Canada. Mexican President Andres Manuel Lopez Obrador had requested the vaccine previously.

Biden has said if the United States has a surplus of vaccine, it will share it with the rest of the world.

The official noted that the United States has pledged $4 billion to the COVAX vaccine facility that aims to deliver coronavirus vaccines to poor countries.

(Reporting by Jeff Mason; Editing by Heather Timmons and Alistair Bell)

Canada extends travel restrictions at U.S. border: Canadian official

By David Shepardson

WASHINGTON (Reuters) – U.S. land borders with Canada will remain closed to non-essential travel until at least April 21, the Canadian government said Thursday.

The new 30-day extension is the second announced under President Joe Biden and comes as U.S lawmakers in border states have urged lifting the nearly year-old restrictions to address the COVID-19 pandemic.

Canada has shown little interest in lifting the restrictions and last month imposed new COVID-19 testing requirements for some Canadians returning at crossings.

(Reporting by David Shepardson; Editing by Chizu Nomiyama)

U.S. facing biggest migrant surge in 20 years: Homeland Security

By Doina Chiacu

WASHINGTON (Reuters) – The United States is facing the biggest surge of migrants at its southwestern border in 20 years, the homeland security secretary said on Tuesday as the Biden administration races to handle an influx of children trying to cross the U.S.-Mexico border alone.

The number of attempted border crossings by people from Central America and Mexico has steadily increased since April 2020 and most single adults and families are being turned away, Homeland Security Secretary Alejandro Mayorkas said.

Poverty, violence and corruption in the Mexico and the Northern Triangle – Guatemala, Honduras and El Salvador – have led people to seek a better life in the United States for years, and there have been surges in the past.

Conditions there have continued to deteriorate and two hurricanes made living conditions even worse, while the coronavirus pandemic complicated the border situation, Mayorkas said in a statement.

“We are on pace to encounter more individuals on the southwest border than we have in the last 20 years,” he said.

U.S. border agents conducted 100,441 apprehensions or expulsions of migrants at the border with Mexico in February, the U.S. Customs and Border Protection said last week, the highest monthly total since a border crisis of 2019.

Single adults make up the majority of people who are being expelled, Mayorkas said. Children traveling alone, some as young as six years old, are not being turned back.

The government is creating a joint processing center to transfer the children promptly into the custody of the Department of Health and Human Services (HHS) and is trying to find additional shelters for them, Mayorkas said in a statement.

President Joe Biden’s administration has been struggling to speed up the processing of hundreds of youths under 18 who are crossing the southern border alone every day.

Republicans in Congress say the Biden administration sparked the border surge by promising to unwind some of former President Donald Trump’s hardline policies against illegal immigration.

“It didn’t have to happen. This crisis is created by the presidential policies of this new administration,” House of Representatives Republican leader Kevin McCarthy said at an El Paso border facility on Monday.

Republicans in turn were criticized by Democrats for their own immigration record, as well as Trump’s policies.

Nearly 4,300 unaccompanied children were being held by Border Patrol officials as of Sunday, according to an agency official who requested anonymity. By law, the children should be transferred out of Customs and Border Protection facilities to HHS-run shelters within 72 hours.

In the short term, the federal government is setting up additional facilities in Texas and Arizona to shelter unaccompanied children and families, and is working with Mexico to increase its capacity to receive expelled families, Mayorkas said.

(Reporting by Doina Chiacu and Ted Hesson; Editing by Jonathan Oatis and Alistair Bell)

Moderna begins study of COVID-19 vaccine in kids

(Reuters) – Moderna Inc has begun dosing patients in a mid-to-late stage study of its COVID-19 vaccine, mRNA-1273, in children aged six months to less than 12 years, the company said on Tuesday.

The study will assess the safety and effectiveness of two doses of mRNA-1273 given 28 days apart and intends to enroll about 6,750 children in the United States and Canada.

The vaccine has already been authorized for emergency use in Americans who are aged 18 and older.

In a separate study which began in December, Moderna is also testing mRNA-1273 in adolescents between 12 and 18 years old.

The latest study is being conducted in collaboration with the National Institute of Allergy and Infectious Diseases (NIAID) and the Biomedical Advanced Research and Development Authority (BARDA).

(Reporting by Manojna Maddipatla in Bengaluru; Editing by Shailesh Kuber)

Cold weather chills U.S. retail sales, manufacturing production

By Lucia Mutikani

WASHINGTON (Reuters) – U.S. retail sales fell more than expected in February amid bitterly cold weather across the country, but a rebound is likely as the government disburses another round of pandemic relief money to mostly lower- and middle-income households.

The harsh weather also took a bite out of production at factories last month as the deep freeze in Texas and other parts of the South put some petroleum refineries, petrochemical facilities and plastic resin plants out of commission.

The setback is probably temporary, with the strongest economic growth since 1984 anticipated this year, thanks to massive fiscal stimulus and an acceleration in the pace of vaccines, which should allow for broader economic re-engagement, even as new COVID-19 cases are starting to creep up.

Federal Reserve officials, who started a two-day meeting on Tuesday, are likely to focus on the underlying economic strength, expectations of higher inflation and a steadily recovering labor market.

“We knew the economy took a major hit in February due to the brutally cold weather and a lot of snow,” said Joel Naroff, chief economist at Naroff Economics in Holland, Pennsylvania. “No reason to panic over the February numbers, the economy is moving forward rapidly and it should pick up the pace as the latest stimulus payout hits home.”

Retail sales dropped by 3.0% last month, the Commerce Department said. But data for January was revised sharply up to show sales rebounding 7.6% instead of 5.3% as previously reported. Economists polled by Reuters had forecast retail sales falling only 0.5% in February.

Unseasonably cold weather gripped the country in February, with deadly snow storms lashing Texas. The decline in sales last month also reflected the fading boost from one-time $600 checks to households, which were part of nearly $900 billion in additional fiscal stimulus approved in late December, as well as delayed tax refunds.

The broad-based decrease was led by motor vehicles, with receipts at auto dealerships dropping 4.2%. Sales at clothing stores fell 2.8%. Consumers also slashed spending at restaurants and bars, leading to a 2.5% drop in receipts. Sales at restaurants and bars decreased 17% compared to February 2020.

Receipts at electronics and appliance stores dropped 1.9% and sales at furniture stores tumbled 3.8%. There were also big declines in sales at sporting goods, hobby, musical instrument and book stores. Receipts at food and beverage stores were unchanged. Sales at building material stores decreased 3.0%. Online retail sales plunged 5.4%.

Stocks on Wall Street were mixed. The dollar rose against a basket of currencies. Longer-dated U.S. Treasury prices fell.

TEMPORARY SETBACK

Excluding automobiles, gasoline, building materials and food services, retail sales decreased 3.5% last month after surging by an upwardly revised 8.7% in January. These so-called core retail sales correspond most closely with the consumer spending component of gross domestic product. They were previously estimated to have shot up 6.0% in January.

President Joe Biden last week signed his $1.9 trillion rescue package into law, which will send additional $1,400 checks to households as well as extend a government-funded $300 weekly unemployment supplement through Sept. 6. Households have also accumulated $1.8 trillion in excess savings.

“This year, we expect the combination of an improved health situation and generous fiscal stimulus to fuel a consumer boom for the history books,” said Lydia Boussour, lead U.S. economist at Oxford Economics in New York.

Economists at Goldman Sachs on Saturday raised their first-quarter GDP growth estimate to a 6% annualized rate from a 5.5% pace, citing the latest stimulus from the Biden administration. The economy grew at a 4.1% rate in the fourth quarter.

Goldman Sachs forecast 7.0% growth this year. That would be the fastest growth since 1984 and would follow a 3.5% contraction last year, the worst performance in 74 years.

The rosy economic outlook was not dimmed by a separate report from the Fed on Tuesday showing output at factories tumbled 3.1% in February, also weighed down by a global semiconductor shortage because of the pandemic.

“While we expect these supply disruptions to be temporary, auto production could remain soft in the very near term,” said Veronica Clark, an economist at Citigroup in New York. “With substantial new fiscal stimulus to support demand for consumer goods in the coming months, supply disruptions could lead to rising prices.”

Indeed, supply constraints because of coronavirus-related restrictions are driving up commodity prices. A third report from the Labor Department showed import prices rose 1.3% last month after surging 1.4% in January. They jumped 3.0% on a year-on-year basis after rising 1.0% in January.

Though inflation is expected to accelerate as early as the first half of this year, many economists do not expect it to spiral out of control with millions of Americans unemployed. Supply chain bottlenecks are also expected to start easing as more people around the globe get vaccinated.

The dollar has also strengthened so far this year against the currencies of the United States’ main trade partners.

“There is still a great deal of unused industrial capacity in the U.S. economy. This will help keep inflation under control throughout this year,” said Gus Faucher, chief economist at PNC Financial in Pittsburgh, Pennsylvania.

(Reporting by Lucia Mutikani; Editing by Dan Burns and Andrea Ricci)