Macron: France And Germany Ready To Give Ambitious Response To U.S. Inflation Law
Emmanuel Macron, the president of France, and Olaf Scholz, the chancellor of Germany, announced at a news conference that they had developed a common position on Europe’s response to the American measure aimed at reducing inflation.
According to Mr. Macron, « We have identified a unified framework for moving toward bold and prompt action on the part of Europe, which will be based on making our support system simpler, more apparent » (quoted by AP). Better methods for financing from both public and commercial sources should be made available, according to him, by the European Union.
The Inflation Reduction Act of 2022 was signed into law by American President Joe Biden. The agreement would provide government grants totaling $400 billion to help the American economy. The law, according to France and Germany, will cause production cuts in Europe, the transfer of some plants to the United States, and an overall deterioration in the industrial sector. Mr. Macron warned that the American plan might cause Europe to become less industrialized earlier in January.