French President Emmanuel Macron and Vice President Kamala Harris met during the Munich Security Conference to discuss various issues including concerns about the United States’ subsidies for electric vehicles (EVs) and other clean technologies. Macron acknowledged that they are working hard to address the issue.
While the European Union (EU) welcomes the US’s commitment to energy transition, the EU is concerned that the US Inflation Reduction Act’s (IRA) $369 billion of subsidies for EVs and other clean technologies could disadvantage European companies. The bill is a critical part of US President Joe Biden’s plan to address climate change, promote American manufacturing, and compete with China. However, it has caused tension between the US and its allies, from Brussels to Seoul.
See also: France will produce one million EVs by 2027, Emmanuel Macron says
Macron and Biden celebrated their countries’ relationship at a state dinner in December, during which they agreed to address issues surrounding the made-in-America EV law. However, months have passed, and Washington has yet to offer a solution that would be acceptable to France.
During their meeting, Harris and Macron also discussed their commitment to supporting Ukraine against Russia’s invasion. However, no comment was made regarding the subsidy issue before reporters were asked to leave.
The US and EU share common goals in addressing climate change, but it is essential to find ways to work together without disadvantaging each other’s economies. Hopefully, discussions such as these will lead to a mutually beneficial solution that supports both the environment and economic growth.
