Will the American Inflation Reduction Act (IRA) generate a European equivalent? In any case, it is the explicit wish of the French executive that Bruno Le Maire reformulate on the sidelines of the Eurogroup meeting. On his program: inform European partners of Emmanuel Macron’s recent state visit to Washington DC.
The Bercy boss also revealed the three proposals on which the Europeans and Americans were going to work towards an agreement. The first will refer to the exemptions on a series of European products under the controversial US text. The second will aim to avoid a race for subsidies with, on the one hand, European aid and, on the other, the tax credits granted by American legislation, such as the purchase of the reserved for the acquisition of an electric vehicle from a North American factory with a locally manufactured battery and for a maximum amount of 7,500 euros.
“The third job that we are going to undertake is to protect the strategic investments that would be made in Europe,” said Bruno Le Maire.
“Be the best in the low carbon industry”
The Minister of Economy and Finance recalled, therefore: “Our conviction in France is that the best response to the American IRA is a European IRA, that is, the ability of Europe to provide the same simple, massive and effective means to reindustrialise the continent and achieve decarbonisation of the European economy”. He also set a very clear long-term goal:
For the Bercy boss, this ambition responds to a question of safeguarding, that of Europe as a “great industrial land” and “continent of innovations and cutting-edge technologies at the service of decarbonization” of its economy.
Source: BFM TV
