The European Union must guard against short-sighted measures to protect its business community from US green subsidies, says EU President Sweden. In the long run, these could actually be counterproductive, warns Prime Minister Ulf Kristersson.
The EU is seeking a response to US subsidies for electric cars and the batteries needed for them. These are only intended for American manufacturers and put European competitors at a disadvantage. More and more EU countries are pushing for similar measures of their own to protect European industry.
But countries like Holland and Sweden, president of the union for six months, are less enthusiastic. They traditionally swear by free trade and fear that protectionist measures will ultimately hurt their economy.
Competitive location
At the start of the Swedish presidency, Kristersson insists that the EU must strengthen its competitive position precisely in the long term. ‘We don’t do short-term things that we actually think are bad for long-term competitiveness. The more we do in the short term, the more commitment we have to show in the long term.’
The European Commission will present proposals later this month for EU leaders to discuss at a summit in early February.
Source: BNR
Fernando Dowling is an author and political journalist who writes for 24 News Globe. He has a deep understanding of the political landscape and a passion for analyzing the latest political trends and news.
