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BREAKING
Da Silva: What is happening in Gaza is not a war, it is a genocide
Da Silva: Even the Jewish people do not want this war; it is revenge by a government against the possibility of establishing a Palestinian state
Brazilian President Lula da Silva: What we are seeing is not a war between two armies. [What we have is a] completely professional army that is killing women and children in the Gaza Strip.
Hamas: We affirm our readiness to immediately begin a round of indirect negotiations to reach an agreement on the points of contention
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Al Mayadeen's correspondent: Israeli occupation forces blew up Noura Al-Kaabi Hospital, designated for kidney dialysis patients, in the northern Gaza Strip
Al Mayadeen's correspondent: Israeli drone targets a car on the Ayta al-Shaab-Debel road in southern Lebanon
Yemeni Armed Forces Spokesperson Yahya Saree: The remaining airlines that have not yet complied with the ban are urged to take this into serious consideration to ensure the safety of their aircraft and passengers
Yemeni Armed Forces Spokesperson Yahya Saree: The YAF, after successfully imposing a partial ban on air traffic at Lydd Airport, are now working to impose a full ban on air traffic at the aforementioned airport in the coming period
Yemeni Armed Forces Spokesperson Yahya Saree: YAF's UAV Unit carried out three military operations targeting three vital Israeli sites in the occupied Palestinian areas of Yafa, Isdud, and Umm al-Rashrash, using three drones

France plays bad cop, threatens building EU defenses: Politico

  • By Al Mayadeen English
  • Source: Politico
  • 18 Oct 2022 16:01
3 Min Read

President Emmanuel Macron accuses Washington of protectionism and threatens to put EU’s defenses up.

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  • US President Joe Biden and French President Emmanuel Macron. Source: AFP/Thomas COEX
    US President Joe Biden and French President Emmanuel Macron (AFP)

As France reclaims its usual role as Europe's troublemaker on the transatlantic trade front, US President Joe Biden should beware, Politico reported.

On Biden's watch, it appeared like tensions between Brussels and Washington were thawing. Faced with a common antagonist in China, the EU and the US reached a truce last year on tariffs imposed by former President Donald Trump on European steel and aluminum. Russia's military operation in Ukraine has required America and Europe to portray a united front, at least politically, this year.

The EU is enraged that the US is putting money into the domestic electric car industry. Europe, accusing Washington of protectionism, is now threatening to build its own defenses.

Unsurprisingly, French President Emmanuel Macron is leading the charge. “The Americans are buying American and pursuing a very aggressive strategy of state aid. The Chinese are closing their market. We cannot be the only area, the most virtuous in terms of climate, which considers that there is no European preference,” Macron told the French daily Les Echos.

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Increasing the stakes, he urged Brussels to assist consumers and businesses who purchase electric vehicles manufactured in the EU rather than those manufactured outside the bloc. There are good reasons why the Europeans are fretting about their trade balances.

The war has delivered a massive terms-of-trade shock, with skyrocketing oil costs dragging the EU into a massive bloc-wide trade deficit of €65 billion in August, up from barely €7 billion the previous year. One aspect of these tensions is Europe's growing reliance on American liquefied natural gas to replace lost Russian supply.

Macron's remarks reflect EU concern about Washington's Inflation Reduction Act, which encourages US consumers to "Buy American" when choosing a greener car. The EU claims that forcing cars to be assembled in North America and to have a particular amount of local content discriminates against the EU and other trade partners.

Read next: Putin betting EU unity on Ukraine to fracture: EU Borrell

The European Commission aims to convince Washington to find a diplomatic compromise for European carmakers and their suppliers. If it doesn't, it would leave the EU no choice but to challenge Washington at the World Trade Organization, EU officials and diplomats told Politico.

Macron's remarks "are clearly a response to the Inflation Reduction Act," said Elvire Fabry, a trade policy researcher at Paris' Institut Jacques Delors. “Macron plays the role of the bad cop, compared to the European Commission, which left Washington some political room to make adjustments,” she noted. 

Read next: White House to release another 15mln barrels of oil from SPR

  • United States
  • Emmanuel Macron
  • France
  • Joe Biden

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