The Commissioner for the Economy, Paolo Gentiloni, has insisted that the European Union (EU) must provide a common response to counteract the effect of the United States subsidy law for green industries that strengthens the competitiveness of the single market through the creation of a sovereign wealth fund, as the president of the European Commission, Ursula von der Leyen, has already proposed, but without starting a “commercial war”.
“The scale must be European”, stressed the Commissioner for the Economy, who proposes a “rationalisation” of state aid without disturbing the Community model, but also common financing, because “it is not possible to react only at the national level”. “The European adds an added value that we must never forget”, he stressed.
Gentiloni stressed that the association between the EU and the United States is “perhaps one of the strongest in recent decades” in the context of the war in Ukraine, while stressing the importance of Europe strengthening its competitiveness, although without starting a trade war with the US.
For her part, the Swedish Finance Minister, who holds the Council’s rotating presidency, Elisabeth Svantesson, has also advocated strengthening Community competitiveness and joining efforts to safeguard the European market.
Along the same lines, the economic vice-president, Valdis Dombrovskis, stressed that it is “very important that the bilateral negotiations with the United States do not undermine the single market and preserve the EU’s playing field”.
Letter Sent by The European Commissioner
In addition, in line with the letter sent by the European Commissioner for Competition, Margrethe Vestager, to the Member States last Friday, Domvrobskis advocated this Monday for strengthening the European market before starting work on adapting the rules on state aid to deal with the escalation of energy prices or the impact of the US subsidy law on the competitiveness of European industry, all without jeopardizing the green transition.
For his part, the French Minister of the Economy, Bruno Le Maire, also agreed on Monday on the need highlighted by Brussels to reindustrialize the EU while favoring green projects, something that, in his opinion, should go hand in hand with a reform of the energy market that “dissociates” the price of green and fossil energy and that is in the interest of the 27 Member States. “It is a matter of justice and climate efficiency,” he added.
“Our priority is to streamline all state aid authorization procedures without jeopardizing the proper functioning of the internal market, guaranteeing equal treatment for all companies in all EU countries,” he previously indicated in this regard. to the Eurogroup meeting this Monday, the First Vice President of the Government and Minister of Economic Affairs and Digital Transformation, Nadia Calviño. Her Belgian counterpart, Vicent van Peteghem, added: “We have to make our own decisions, not let others make them for us, and act together.”
This article is originally published on bolsamania.com
