Germany called for looser state aid rules and reduced bureaucracy in the EU’s upcoming Clean Industrial Deal, according to Euractiv.
The document, first reported by Contexte, outlines Germany’s position on the EU’s plan to drive the bloc’s industries toward carbon neutrality while enhancing competitiveness. Berlin argues that expanding state subsidies for companies is crucial to achieving the goals.
Germany is pushing for the EU to extend its relaxed state aid rules, initially introduced during the energy crisis, to support renewable energy and clean industry projects. The government is also seeking to maintain a loophole that allows it to provide €32 billion in subsidies to energy-intensive industries “until 2030 and beyond” – and to expand this support to other sectors.
The document emphasises the need for “ambitious and goal-oriented progress” in integrating the EU’s single market for capital, modernising competition laws, and freeing businesses from “the shackles of unnecessary bureaucracy.”
Germany also advocates for the EU to pursue “ambitious” trade deals with other countries and urges Brussels not to “prejudge” decisions related to the EU’s seven-year budget, negotiations for which are set to begin later this year.
The Clean Industrial Deal, announced by European Commission President Ursula von der Leyen ahead of her re-election in July, is one of the EU executive’s flagship initiatives for its first 100 days. It is scheduled to be formally presented by Teresa Ribera, the EU’s competition and climate chief, on 26 February.
The proposal follows the release of the Commission’s “Competitiveness Compass” last month, which called for an “unprecedented” reduction in red tape to revitalise the EU’s struggling economy over the next five years.
