Physical Address

304 North Cardinal St.
Dorchester Center, MA 02124

Berlin urges Brussels to approve subsidies for German heavy industry


The new economy minister of Germany warns that the survival of the country’s heavy industry is important for the sovereignty of Europe, as he requested Brussels to approval to support German power-intensive companies.

Catherina Rich said that he was hopeful that the European Commission had realized the need to subsidize electricity costs for sectors such as Berlin’s chemicals and steel, which helps to end Germany’s long -standing period.

He emphasized that Berlin implemented structural reforms and reveals an € 1TN investment plan in its infrastructure and its defense industry “Determined to do his homework”. However, he also made the case to protect the other production industry, refers to previous mistakes that led Russia and China to excessive dependence.

“The production of steel in Germany does not mean new dependence will be entered,” Reich told the Financial Times in his first interview to an international media agency. “And basic chemical production means entering new dependence.”

He added: “Growth in Germany is important to achieve growth in Europe again. The Commission had to go Correct its growth goals For this year. The The So we have to try our best to strengthen Germany as a business destination. “

The largest economy of the eurozon is dependent on the heavy production industry, which is due to the exit of nuclear power, and in 2022, the full-scale aggression of Russia has faced higher energy expenditures in part. It has added a burden to its export-centered companies, which are also fighting competition from China and domestic labor deficiencies. Donald Trump’s 50 percent of the tariff threat to EU imports could now lean Germany to contraction this year after three years of stagnation.

The new coalition of Conservative Chancellor Fredrich Merge has promised to reduce the cost of electricity at least five cents every kilowatt by cutting tax and grid charges as part of a broad drive to support the country’s carpewards and other manufacturers.

It has promised to introduce a special reduction electricity rate for energy-intensive industries such as steel, glass, cement and chemicals.

Catherina Rich
© Gordon Welters/Foot

This plan is at risk of reading EU rules on state assistance, which is designed to prevent member states from introducing unjust benefits to their economy. However, after the invasion of Ukraine in Russia 2022, these rules were made more flexible so that countries could back downstop the industries suffering from record high gas prices.

“For keeping the power-intensive industries-but not only these are our state support approval in-Germany”, Reich added, “A current price compensation system associated with indirect carbon dioxide expenses should also” expand “.

He argued that growth was essential for the health of democracy on this continent: “We are also in competition between the system and Europe – and we will show that we are able to respond quickly. To improve our democratic processes and still protect our values.”

The 3 -year -old Reich is one of the two former CEOs brought by the cabinet by Merge, whose Christian Democrats (CDU) won the parliamentary elections in February and took charge earlier this month.

Although he had earlier spent 17 years as a CDU member of the Bundestag and served twice as a junior minister during the office of Angela Merkel, he spent the last decade working in business. For the past five years, he was the chief executive of the German power giant Eion’s auxiliary company Wested.

Rich indicates a break with the previous government in collaboration with European power. Former Chancellor Olaf Sholz’s alliance in Brussels fought French efforts to prevent nuclear power as part of the EU decorbonization drive. Reich said that it was important to work constructively with Paris on this national issue.

“My point of view is what shares us and looking less to find the general field,” he added, adding that a region will be nuclear fusion technology, which will not produce any long -term radioactive waste, opposite the division.

Reich emphasized the need to balance China, which is one of the most important markets for German exporters, including large carmakers, but is also seen as an economic and geological threat to Europe.

Germany, he said that over time, dependence on Chinese products and raw materials needs to be reduced, and added that it should maintain a “reasonable, good relationship” with Beijing. “This is a huge market, it is an economic force, it’s a military force. Our companies are investing abundant in there. Investing in China comes a lot of extra value.”

The Nord stream gas pipeline between Richia and its country was horrified about the recent call from a string of German politicians, including several of his own party.

“Go back to Russian gas? With a governing system that gives Kiev bomb every day? This is absolutely unimaginable to me,” he said.

He argued that Germany – which was used as the largest customer in Gazprom in Europe – instead needed to intensify its supply to diversify. “We need to do our best to tap to other sources of energy.”

Growing up under the Communist rule in East Germany, Reich said that he had a “alien” to Russia in some parts of the region. “My parents, grandparents and grandparents had a company that was seized several times, so my relationship with the former Soviet Union is not free of excitement,” he said. “I was very happy when I read the wall.”

He said that Germany was “suicidal to a liar” in this belief that the Russian gas supplies were protected in the world, he added: “We paid a bitter value for this innocent attitude.”

Far right Option for GermanyWhich came first in many eastern constituencies in February, there was “the feeling of uncertainty”, he mentioned that the political and economic rise of the Nazi government, the German Democratic Republic and the reunion had passed for decades.

He remembered some of the superstitions held by the West German to their former cousins. “All I can say is that the curiosity of East Germany about West Germany in the nineties was certainly more than East West Germany,” he said.

“This region is running through permanent structural changes, or there is a feeling that it never breaks because it never ends,” he adds. “There is one more change and it is also reflected in the feeling of uncertainty, the fear of losing prosperity, the fear of low possibilities.”

Extra Report of Alice Hancock in Brussels



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *