Guest commentary – Global Challenges: The auto pact from Berlin and Paris is harming the EU
The agreement combines the worst political instincts, argue Ignacio García Bercero, Simone Tagliapietra and Jeromin Zettelmeyer of the Brussels think-tank Bruegel.
France and Germany have jointly issued a statement on securing the future of the European automotive industry, but it has been met with criticism. The statement, released on October 16, appears to combine the two countries' worst policy instincts. Germany has agreed to weaken EU targets for reducing CO2 emissions from cars by 2035, despite rising diesel prices driving the adoption of electric vehicles.
In return, France has secured support for strict "Made in EU" preferences, limiting subsidies to electric cars produced in Europe. The joint initiative is likely to influence EU legislation and pressure the European Commission and other EU countries to adapt.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
