New controversy over electric cars. Here comes the arm wrestling. The deadline is 2035 and continues to be discussed.
The industry of Automobiles is grappling with a long and delicate path of transition. For decades, engines have been a major contributor to pollution. In recent years, however, the need to be able to protect the environment has increasingly emerged. For this reason, methods have been studied so that cars could have zero emissions.
The solution that has caught on the most today is that of electric, green and low-pollution cars. International institutions are pressing for an ever greater use of electric cars.
Europe and the United States, controversy over the new law
However, the controversies do not cease to exist. The dispute over critical minerals in electric vehicle batteries continues. In American law Inflation Reduction Act there are incentives that threaten to shut out European companies.
Dialogues continue to end the accusations of protectionism and to initiate greater mutual transparency on industry subsidy policies. Joe Biden and the president of the European Commission Ursula von der Leyen they met to study a transatlantic «coordination» between the European Union and the USA
A deal on critical minerals could also undermine China’s strong position in the sector. The Asian country is now considered the main rival of the West. «We are committed to achieving an ambitious outcome in the negotiations on the Global Agreement on Sustainable Steel and Aluminum by October 2023»said von der Leyen and Biden at the end of their meeting.
The topic of discussion is also European energy security after the outbreak of war in Russia. Despite the supplies arriving from the USA on the continent, there is still much to be done about it.
Europe and the United States seek bilateral agreement on electric car batteries
Nell’Inflation Reduction Act, in all about 400 billion dollars made available for the incentives, among the requirements to obtain them is domestic production or procurement from countries with which Washington has formal free trade agreements. In this case the EU would be penalised.
This is why the aim is for a bilateral agreement that can replace these obstacles and start a free trade agreement that protects Made in Europe without having to leave Europe to transfer everything America. In short, Europe and the United States work hand in hand. In this way, European companies will not be penalized in the transition from combustion engines to electric ones.