US promises EU tax breaks in exchange for moving away from China
[ad_1]
On March 10, US President Joe Biden and European Commission President Ursula von der Leyen will hold talks in Washington. On the eve of them, Washington sent Brussels both “urgent warnings” that Beijing was considering the possibility of supplying weapons to Russia, and promises to smooth out existing trade disputes, Politico reports.
The US has pledged to give European Union (EU) companies access to some tax breaks and subsidies under the 2022 US Inflation Reduction Act (IRA). It provides for the allocation of $430 billion, a significant part of which will go to industry subsidies, including in the field of green technologies. The EU has previously stated that this law infringes on the rights of their producers. Europeans were most unhappy with the subsidies that the Biden administration provided to American electric car manufacturers and their customers, as well as benefits addressed to foreign companies that moved to the United States.
[ad_2]
Source link
