**US protectionism in favour of US electric cars annoys the EU**
The Biden plan, adopted last weekend, provides for a bonus of $7,500 only for the purchase of an American electric vehicle. Brussels denounces the measure as discriminatory to European manufacturers.
Tensions are mounting between US President Joe Biden and the European Commission. At the heart of the dispute is aid for buying electric vehicles on the American market, with a tax credit of up to 7,500 dollars, subject to two conditions: the vehicles must come exclusively from the United States, and the battery components from partner countries.
These are considered unfair by the European Commission. “We believe that this is a discriminatory measure, which puts foreign manufacturers at a disadvantage compared to American manufacturers,” commented Commission spokeswoman Miriam Garcia Ferrer on Friday 12 August.
**Protectionism, an American habit**
Joe Biden is used to promoting American cars. A few months ago, he showed up at the wheel of an electric Hummer in Detroit (USA), a stronghold of the car industry. “It’s a hell of a car,” he commented at the time. This fierce American protectionism, particularly visible under Donald Trump, has always existed in the country. “One of Joe Biden’s first measures was to strengthen protectionism in all sectors,” says François Durpaire, a historian and specialist on the United States. This strategy is a major setback for the European Union, which is investing massively in the construction of battery factories
Time for another tit for tat trade war?
Airbus: *Comment la table tourne…*
just slam a 20% malus on Teslas
I was so amazed how there was lots of propaganda about how everything will change when Biden comes and everything was Trump’s fault. Biden, trump etc. are just the face of something bigger. Nothing in American policies are depends on a single person and everything is part of the plan
Methinks this is also doubling as incentive to get our EV infrastructure built faster. I’ll need a new car in about a year and the lack of charging stations is the one thing holding me back.
Instead of constantly whining about what Americans decide to do with their own tax money, the EU would do well to be protectionist on its own. A few upsides.
1. Don’t want to have to import these massive american pickups in Europe, electric or otherwise
2. Protectionism on software/platforms would prevent the GAFAM from setting cultural trends in Europe (hello BLM)
3. Shorter supply chains are much better for the environment anyway
“This fierce American protectionism, particularly visible under Donald Trump, has always existed in the country.”
According to the article, this isn’t exactly new.
This is a hard one for me to form an opinion on. On one hand, the US president has a duty first and foremost to the US. On the other hand, I can see how this could be a detriment to EU/EU companies to try and compete with an uncaring United States. Considering electric vehicles are going to be huge in the coming decades, it’s not surprising that Biden has taken these measures. Though, at the same time, I see where the EU commission is coming from.
Edit: I think I lean more on letting the free market decide. US companies shouldn’t rely on the US government to protect them if they’re unable to compete, but Biden is within his right to do this.
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**US protectionism in favour of US electric cars annoys the EU**
The Biden plan, adopted last weekend, provides for a bonus of $7,500 only for the purchase of an American electric vehicle. Brussels denounces the measure as discriminatory to European manufacturers.
Tensions are mounting between US President Joe Biden and the European Commission. At the heart of the dispute is aid for buying electric vehicles on the American market, with a tax credit of up to 7,500 dollars, subject to two conditions: the vehicles must come exclusively from the United States, and the battery components from partner countries.
These are considered unfair by the European Commission. “We believe that this is a discriminatory measure, which puts foreign manufacturers at a disadvantage compared to American manufacturers,” commented Commission spokeswoman Miriam Garcia Ferrer on Friday 12 August.
**Protectionism, an American habit**
Joe Biden is used to promoting American cars. A few months ago, he showed up at the wheel of an electric Hummer in Detroit (USA), a stronghold of the car industry. “It’s a hell of a car,” he commented at the time. This fierce American protectionism, particularly visible under Donald Trump, has always existed in the country. “One of Joe Biden’s first measures was to strengthen protectionism in all sectors,” says François Durpaire, a historian and specialist on the United States. This strategy is a major setback for the European Union, which is investing massively in the construction of battery factories
Time for another tit for tat trade war?
Airbus: *Comment la table tourne…*
just slam a 20% malus on Teslas
I was so amazed how there was lots of propaganda about how everything will change when Biden comes and everything was Trump’s fault. Biden, trump etc. are just the face of something bigger. Nothing in American policies are depends on a single person and everything is part of the plan
Methinks this is also doubling as incentive to get our EV infrastructure built faster. I’ll need a new car in about a year and the lack of charging stations is the one thing holding me back.
Instead of constantly whining about what Americans decide to do with their own tax money, the EU would do well to be protectionist on its own. A few upsides.
1. Don’t want to have to import these massive american pickups in Europe, electric or otherwise
2. Protectionism on software/platforms would prevent the GAFAM from setting cultural trends in Europe (hello BLM)
3. Shorter supply chains are much better for the environment anyway
[EU tariffs on US made cars: 10% vs US tariffs on EU-made cars: 2.5% ](https://www.statista.com/chart/18771/passenger-car-trade-between-the-eu-and-the-united-states-in-2018/) Is this protectionism? If not, how so?
“This fierce American protectionism, particularly visible under Donald Trump, has always existed in the country.”
According to the article, this isn’t exactly new.
This is a hard one for me to form an opinion on. On one hand, the US president has a duty first and foremost to the US. On the other hand, I can see how this could be a detriment to EU/EU companies to try and compete with an uncaring United States. Considering electric vehicles are going to be huge in the coming decades, it’s not surprising that Biden has taken these measures. Though, at the same time, I see where the EU commission is coming from.
Edit: I think I lean more on letting the free market decide. US companies shouldn’t rely on the US government to protect them if they’re unable to compete, but Biden is within his right to do this.