Geo Politics
France & Germany have found common ground against the US’ Inflation Reduction Act, according to a report. The reports come after French president Emmanuel Macron and German Chancellor Olaf Scholz met in Paris. EU nations have been miffed over unfair competition from the US and efforts are underway to resolve the issue. France & Germany, the two biggest economies in Europe, being on the same page over the issue is a boost to the EU. The two leaders reportedly agreed that US’ state subsidy plans represent measures to convince companies to shift production to the US. The US is offering tax cuts and energy benefits for companies investing there, which puts the EU at a disadvantage. Is the western unity under threat?
Credit CRUX