This is what one of Macron’s advisers tells the press ahead of Macron’s trip to Washington next week.
France and other EU countries are increasingly concerned about the fallout from the so-called Reduced Inflation Act (IRA) that Biden signed in August.
EU trade ministers said on Friday they would be forced to respond if Washington keeps all terms of the IRA, which favors local companies through subsidies.
The concern is that the climate, health and tax package, designed to accelerate America’s green transition, will hurt transatlantic trade by giving American companies unfair advantages.
The IRA contains about $370 billion in subsidies for green energy, as well as tax cuts for US-made cars and batteries.
– We cannot risk further deindustrialization of Europe at a time when we are trying to reindustrialise, Macron’s anonymous adviser said on Friday.
According to him, the greatest concern is that US investments in Europe will be “brought home”. Macron understands that making major changes to the IRA is out of the question, which is regarded as one of Biden’s greatest political victories. But he hopes it is possible to make exceptions that could help European industry, according to the French president’s adviser.
