Macron: France and Germany close to deal to protect EU carmakers

French President Emmanuel Macron said Paris and Berlin are finalising an agreement to protect Europe’s car industry. The deal could be announced within days or even hours, Paris says.

The EU is preparing a package of measures to support local production, along with a concrete plan for phasing out sales of combustion-engine cars. France and Germany, the bloc’s key car-making countries, disagree on the next steps, which has complicated the introduction of new rules.

“We are just finishing the talks with our German partners so that Europe can move forward — precisely in order to better protect our industry,” Macron said. According to him, the agreement is “close” and will provide a degree of flexibility, as well as consensus on the European share of production.

What Paris and Berlin are discussing

The talks centre on Germany’s long-standing demand for more flexibility on the EU’s 2035 CO2 emission limits and more room for carmakers to meet those targets. The large package being planned is meant to help protect jobs in the car sector. Bloomberg reported that on Sunday Macron hosted a dinner for car industry representatives, including German ones.

On Monday, an agreement between the EU and China was already announced: for four years, it will limit imports of Chinese hybrid cars into the bloc.

Around Prague, based on reporting by novinky.cz