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Macron and Merz Move Closer to Agreement on Combustion Engines

Macron and Merz Move Closer to Agreement on Combustion Engines

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France and Germany are moving closer, after months of negotiations, to an agreement on easing the ban on the sale of new combustion-engine cars after 2035. The compromise is being pushed by French President Emmanuel Macron and German Chancellor Friedrich Merz as part of a broader effort to support the European automotive industry. Spiegel.de ↗

Germany is demanding that, even after 2035, it should still be possible to register a certain share of new vehicles with combustion technologies. Berlin argues that the automotive sector is facing a crisis and needs more flexible rules that would take into account different types of propulsion and market developments. Tagesschau ↗

Macron had until now rejected easing the ban. However, France pushed a different condition in the negotiations, concerning support for European manufacturing. The draft agreement is meant to tighten the rules on the participation of companies from countries outside the European Union in public procurement and in drawing on public support. Politico Europe ↗

Part of the compromise is also meant to include a requirement for greater use of components manufactured in Europe. France wants to use this to protect European manufacturers from competition from countries outside the Union, while Germany is seeking a more lenient approach to combustion engines. Le Monde ↗

The agreement has not yet been finally concluded. According to available information, the negotiations have become complicated due to persistent differences over emissions rules and the conditions referred to as "Made in Europe." Further progress will depend on the finalization of the proposal and its approval at the European level.

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