In what was likely her last speech on the state of the European Union on Wednesday, Commission President Ursula von der Leyen did not skimp on criticizing China. E-mobility is a crucial sector for a ‘clean economy’. Global markets are now being ‘flooded’ by cheap Chinese electric cars, the price of which is being pushed down by government subsidies. Von der Leyen announced an investigation into unfair competition.
But she stressed the importance of keeping channels of communication open to China: “Minimize risks, but don’t disconnect: that will be my position towards the Chinese leadership at the EU-China summit later this year.” This would lead to punitive tariffs being proposed on Chinese electric vehicles. On several other fronts, measures are already underway to reduce the EU’s dependence on China in strategically important areas – including rare earths.
This is how the EU economy should become fit for the future
In her speech, the 64-year-old conservative politician explained how the EU economy should be prepared for the future. In addition to electromobility, attention is also paid to wind energy. Approval procedures must be accelerated here. Auction systems “across the EU” need to be improved. “We will focus on skills, access to finance and stable supply chains,” said the Commission President. The Commission will also launch a series of energy transition dialogues with industry this month. “We will support the industry in this transition. They can rely on that.”
In her speech, Von der Leyen also underlined the importance of decarbonizing the economy. The head of the commission referred to heat waves across Europe, as well as forest fires and floods in Greece and Spain. “This is the reality of a planet that is cooking,” exclaimed the former German defense minister. To tackle the three major challenges of our time – labor shortages, competitiveness and the framework conditions for European companies – Von der Leyen proposes several initiatives. She asked former ECB President Mario Draghi – one of Europe’s top economic experts according to the Commission boss – to prepare a report on the future of European competitiveness. According to Von der Leyen, artificial intelligence (AI) will improve healthcare, increase productivity and help combat climate change. “But we should not underestimate the very real dangers,” she warned.
Coups in Africa: “Our security is in danger”
Other projects from Brussels’ perspective: trade agreements with Australia, Mexico and also the controversial Mercosur treaty should be completed by the end of the year. Given the series of military coups in West and Central Africa, there is a desire to strengthen cooperation with the continent. “Russia has its hands in the game and is taking advantage of the chaos. The region has become a fertile ground for increasing terrorism. This puts Europe – our security and our prosperity – directly at risk,” said Von der Leyen. That is why the Brussels authority, together with EU foreign affairs chief Borrell, will present a new strategic concept for the next EU-AU summit.
Ukraine’s future lies in the EU
Von der Leyen continues to see the future of Ukraine, but also of the Western Balkans and Moldova, in the EU. But the road to it will not be easy. “Accession is based on performance and the Commission will always defend this principle.” However, Ukraine has already made great progress since the country was granted candidate country status. The head of the Commission also refuted concerns that an enlargement of the EU could limit its ability to act. Europe will also function with more than thirty states.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
