European Commission President Ursula von der Leyen said on Sunday she was determined to counter challenges posed by US subsidies for green technologies and speed up a now-blocked law on phasing out combustion-engined cars from of 2035.
Visiting Chancellor Olaf Scholz and the German government at the start of a two-day meeting near Berlin, Ursula von der Leyen said that the US Inflation Reduction Act (IRA).
Extend US tax benefits to batteries and their components
European electric car makers have had access to US tax breaks, but the EU must ensure they also benefit in the battery and battery component segments, where further talks with Washington are needed, he said. A European legislative action in a fortnight would propose to release European aid and funds that have not been used so far for the green transition at home, she said.
A Commission article on competitiveness, expected at the same time, would help reduce barriers within the EU’s internal market and address the shortage of skilled labour, described by Ursula von der Leyen as “the brakes on growth”.
No dead end at the end of thermal cars in 2035
In addition, after concluding trade agreements with New Zealand and Chile, the EU is seeking deals with Australia, Mexico and the Latin American bloc Mercosur by the end of 2023, he said. Olaf Scholz and Ursula von der Leyen said trade deals with Indonesia and India were also being considered.
On delaying the end of sales of new CO2-emitting cars in the EU until 2035, after Germany questioned its support for the policy, he said these problems could be resolved.
Ursula von der Leyen also said the EU was closely monitoring China’s compliance with its commitment not to help Russia in the war in Ukraine.
Source: BFM TV
