Abolqassem Delfi, referring to the French President’s criticisms to Washington’s plan to help industrial companies on the condition that they produce on American soil and describing it as “hostile” by Europe, told the Strategic Council on Foreign Relations that the title of this plan is the “Inflation Reduction” Act in America and it is supposed to be implemented from January 2023.

He added that a part of this plan, which aims to reduce inflation and improve the environment, was approved by the Congress last summer and it was announced that 430 billion dollars has been allocated for its implementation. According to this law, companies that work in the fields of electric cars, batteries and renewable energy in the geographical area of ​​the United States will enjoy a lot of subsidies.

Delfi said that under this plan, car buyers and manufacturers in the US will be greatly supported. In fact, the American consumer loses about 8,000 dollars by buying any electric car produced outside of the United States, and in contrast, the American producer and the consumer of these products benefit from significant amounts of assistance or subsidies.

The former ambassador of our country in France stated that this plan is a kind of support for the manufacturer in the US and to prevent the increase of inflation and in line with carbon reduction in this country.

He added that according to the figures published by the US, about 78 percent of the total productions related to electrical cars, relevant industries and renewable energy are owned by China and the rest by other countries. Therefore, in its grand plan, under the pretext of reducing and decarbonizing and compensating for the backwardness of China, the US is trying to bring back capital and producers to the US.

Delfi stated that based on this plan, producers in Canada and Mexico will also profit from the benefits of this plan due to the many economic benefits and commonalities, and pointed out that Europe is also lagging behind the US and China in these industries and in the circumstances that the US has announced it will give subsidies to these industries, they are worried that European companies active in these fields will go to the US and invest and operate in that country. As of now, some important European companies, such as “Eni Oil Company of Italy” and some other European energy sector companies, are planning to migrate to the US and take advantage of subsidies.

He added that in this situation, naturally, the goods produced in Europe are not competitive with the prices of the goods produced in the US, and European companies will lag behind in the international scene. Europe’s concern is that with the departure of some of the major companies active in these industries from Europe, these countries will experience inflation and unemployment.

This expert on international issues reminded that France owns the lowest amount of battery production, electric vehicle-related industries and renewable energies among the European Union member countries in the US market, and they do not have that much export capacity for the US, and their production is mostly for inside Europe, but because Macron considers himself in the current situation to be a person who is, in other words, a spokesperson for Europe, he entered this campaign as a defender of European interests.

Referring to the importance of the French President’s visit to America and his warm welcome, Delfi said that Macron is the only President of the Fifth Republic of France who has visited this country twice at the invitation of the US Presidents as a state visit, adding that Europe will be severely affected by the implementation of this law in the US, and this issue is also very important for Germany.

“In this context, the European Commission announced last November that if we do not reach a result in our negotiations with the US, we will take the matter to the World Trade Organization. Therefore, the preparations for the tension have also been prepared, of course, referring this issue to the World Trade Organization requires preliminary preparations, which is the consensus in the European Union, therefore, in this situation, one of the goals of Macron’s trip is to resolve this tension in the form of dialogue in order to prevent it from turning into another commercial dispute between the two sides of the Atlantic.”

The former diplomat stated that the tension between the two sides of the Atlantic, which existed in the past to secure interests, still exists, and said that Francois Mitterrand, the former president of France, also admitted that Europe is in a constant, vital and real economic war with the US; However, Europe’s effort is to resolve these tensions through dialogue.

Referring to the imposition of heavy costs on Europe and the security risks and consequences of the energy sector due to the war in Ukraine in the Green continent, he said that the solution of the economic problems between the United States and Europe is conceivable through dialogue and added that the Western group and the allies defined in NATO, have greater interests with each other, which will usually prevent acute differences between them. However, no country is willing to give up its economic interests unless it reaches higher interests.

The former ambassador of Iran to France emphasized that of course, the Americans do not look at Europe as an ally and first partner, as in the past. They have changed their strategy in their view of the world and for them the Pacific and China and dealing with it has become more important and within the framework of this strategy, they have designed other arrangements and formed a group with the UK, Australia, Japan and some other countries in the Pacific region in which Europe has no place. Although France has an eye on it due to its presence in the Pacific.

He also added that the differences that occurred between France and Australia and the disruption of the submarine purchase agreement between France and Australia with the intervention of the United States, showed that the United States is abandoning Europe for more general interests.

Delfi said: Although Europe is an important and influential economic group, it does not have a high political capacity as in the past, and it does not seem that in the future world order, which can be predicted after the current crisis subsides, the US and Europe can jointly create a new world order.