More than unfair competition, the Green deal industrial plan fights EU competition

The proposed measures are of little use in preventing the risk of business migration, following the US Inflation Reduction Act. Rather, they are industrial policy tools to accelerate the ecological transition process in the member states, removing the stringent relative constraints that regulate competition

There is the narrative and there are the facts. The narrative is that the plan to ease state aid rules to be discussed in the European Council of 9-10 February is the necessary response to unfair competition from the United States. In other words, the aid would be used to counter the relocation of European companies, attracted by the substantial American subsidies. However, the facts – for those who have the patience to read the Communication on the Green deal industrial plan – are quite different. The proposed measures do little to prevent the risk of migration of European companies. Rather, they are industrial policy tools to accelerate the process of ecological transition in the member states, removing the stringent constraints of competition policy.