France, Germany protest U.S. green subsidies on Washington trip By Reuters


© Reuters. FILE PHOTO: French Economy and Finance Minister Bruno Le Maire speaks during a joint news conference with German Economy and Climate Minister Robert Habeck (not seen) at the Bercy Ministry in Paris, France, February 7, 2022. REUTERS/Sarah Meyssonnier/

By Christian Kraemer and David Lawder

WASHINGTON (Reuters) -France and Germany’s economy ministers found a willingness in Washington to engage with Europe’s concerns over subsidies for green technologies under the U.S. Inflation Reduction Act, but emerged with few specifics from meetings with top officials there.

European capitals worry that the act, designed to shelter U.S. companies from the impact of price rises as well as subsidize investments in new green technologies, will undermine their firms’ competitiveness in the giant North American market.

German Economy Minister Robert Habeck and his French counterpart, Bruno Le Maire, said after a meeting with U.S. Treasury Secretary Janet Yellen that they agreed there had to be transparency on the specific subsidies so that the European Union could match them if necessary.

“It’s a process, and in a process you go step by step,” Le Maire told reporters. Earlier, Habeck said there was no rush to reach a solution on the question of access to key raw materials.

The symbolic trip by the duo in charge of Europe’s two largest economies was designed to highlight the matter’s importance, Habeck added.

At stake is Europe’s competitiveness in future industries such as electric vehicles and battery manufacturing, together with access to the raw materials that go into them.

After meetings with Yellen, Commerce Secretary Gina Raimondo and White House officials, Habeck and Le Maire emerged with few specifics other than pledges to be clear about their competing green subsidies.

While Canadian and Mexican companies are eligible to benefit from many of its provisions, the act does not help European competitors.

Noting the agreement on both sides on the need for transparency on subsidies, Habeck said, “We will (create) a technical group to make this transparency work.”

“You cannot have any fair competition if there is not full transparency on the level of public subsidies and public tax credits that are granted to private companies,” added Le Maire.

Among the meeting’s achievements, Habeck listed a commitment to have the U.S.-EU Trade and Technology Council (TTC) develop common standards for green goods and an agreement to explore creating a “critical minerals” club to help both sides of the Atlantic reduce dependence on China for minerals in batteries.


Readouts from U.S. officials were less specific about the outcomes and signaled no major concessions. The U.S. Treasury said Yellen discussed both the U.S. and European clean energy subsidy plans, “stressing the need to stimulate innovation and technology development and deployment on both sides of the Atlantic” to meet climate goals.

The Commerce Department said Raimondo noted in the meetings that the “IRA is a key tool for the United States and is the most significant U.S. climate legislation to date.” But Commerce said she applauded the TTC’s work to promote transparency for U.S. and EU semiconductor subsidies and support supply chains.

Some U.S. lawmakers say opening the act’s tax credits up to European rivals would lessen the competitive advantages they would confer on U.S. companies and limit U.S. investments.


Source link


Jacob Keiter is a husband, a writer, a journalist, a musician, and a business owner. His journey to becoming a writer was one that was paved with challenges, but ultimately led him to find his true calling. Jacob's early years were marked by a strong desire for creative expression. He was always drawn to music, and in his youth, he played in several bands, chasing the elusive promise of fame and success. However, despite his best efforts, Jacob struggled to find the recognition he craved. It wasn't until he hit a low point in his life that Jacob discovered his love for writing. He turned to writing as a form of therapy during a particularly difficult time, and found that it not only helped him to cope with his struggles, but also allowed him to express himself in a way that he had never been able to before. Jacob's writing skills quickly caught the attention of others, and he soon found himself working as a journalist for The Sun out of Hummelstown. From there, he went on to contribute to a variety of publications, including the American Bee Journal and Referee Magazine. Jacob's writing style is reflective of traditional journalism, but he also infuses his work with a unique voice that sets him apart from others in his field. Despite his success as a writer, Jacob also owns another business, JJ Auto & Home, which specializes in cleaning. Jacob's commitment to excellence is evident in all of his endeavors, whether it be in his writing or in his business ventures. Today, Jacob is the author of two books and continues to inspire others through his writing. His journey to becoming a writer serves as a reminder that sometimes our darkest moments can lead us to our greatest achievements.

Related Articles


  1. Very nice post. I just stumbled upon your blog and wanted to say that I’ve really enjoyed browsing your blog posts. In any case I’ll be subscribing to your feed and I hope you write again soon!

Leave a Reply

Your email address will not be published. Required fields are marked *