Tesla favors production in the US for subsidies
The impact ofInflation Reduction Act of the USA with the hundreds of billions allocated to give subsidies to those who decide to produce on US soil is starting to bear the first fruits in Europe as well. Yes, but poison yourself. The last one, the one that made the most news given the popularity of the subject in question, is “produced” by Tesla e Germany is paying the price.
The electric car giant Elon Musk in fact, he candidly admitted that the plans for his German plant in Grünheide, near Berlin, have radically changed due to the subsidies promised by the Biden administration. Of course, there will be production in the Teutonic plant, but not battery cells as initially assumed. Preparations are underway in Grünheide for the production of individual components such as electrodes, but not for battery cells. “The IRA tax breaks influenced our original plansas cell production is focused on manufacturing facilities in the United States,” Tesla admitted.
The reassurances made by the Musk giant that “the launch and expansion of production in the United States” will be “supported by Grünheide” count for little. Also because Tesla has invested a billion dollars in the German plant, so much so that German Chancellor Olaf Scholz and Economy Minister Robert Habeck also attended the inauguration as guests. The perspective for Europe – if a team is not quickly found in Brussels for the allocation of funds capable of countering the negative effects of the American bazooka – it is that of becoming, in the best of cases, a Washington branch with second-rate productions, and therefore investments. While at worst it is to transform itself into a continent of consumers only.
In Europe there is already a queue to invest in the USA
But that of Tesla, we said, is only the case that makes the most noise. There is starting to be a queue of European companies who are starting to think about substantial investments in the US thanks to the subsidy programme. Last week the CEO of Liquid air – French giant that deals with the production of gases used in industrial plants and chemical laboratories – Francois Jackow he explained at a press conference that the company “has never had such an investment opportunity in its history” in the US.
It’s not about motes. Suffice it to say that in the 2022-2025 investment plan, Air Liquide’s program is to allocate 16 billion euros in investments.
Not to mention Linde, the German industrial gas production giant, which plans to invest between 7 and 9 billion in projects related to the production of clean energy over the next two to three years. It is not clear where, but what is certain is that the billions of dollars made in the USA are tempting. So much so that the CEO Sanjeev Lambaalready at the end of last year, explained that Linde could invest 30 billion dollars in the US over the next decade.
There is no hurry in Brussels
In an industrial and investment landscape that risks desertification in favor of the greener USA, Brussels and the European states are engaged in a battle for their own backyard. The dialogue on possible new mutual funds to deal with the aggressive US maneuver is stranded in the most classic of European quicksands.
As a matter of balance, the new mutual funds, which see the Italian government among the main promoters, do not meet the taste of countries capable of autonomously supporting their companies such as France and Germany. Which, not surprisingly, are instead pushing for relaxation of the rules on state aid. And, if it goes well, a squad will arrive by the summer. Meanwhile, European multinationals are already embarking towards the West to fetch the gold promised by Biden.