Industry: DGB boss insists on reform for EU state aid

The German Trade Union Confederation and the SPD in the Bundestag are committed to a rapid and noticeable reform of the European rules for state aid.

Industry: DGB boss insists on reform for EU state aid

The German Trade Union Confederation and the SPD in the Bundestag are committed to a rapid and noticeable reform of the European rules for state aid. "In the new year we also have to talk about whether we don't need a reform of EU state aid law," said DGB boss Yasmin Fahimi of the German Press Agency in Berlin. SPD parliamentary group leader Achim Post demanded on Tuesday in Berlin: "EU state aid law urgently needs an update to make it even more crisis-proof and better geared to the new challenges in global competition."

Restrictions could be counterproductive

Fahimi explained: "EU state aid law currently stipulates, for example, that a company may not be subsidized with more than a maximum of 150 million euros, even temporarily." That's a lot of money though. "But in times of crisis, it shows that this limitation is counterproductive and no longer fits in with the times when the consequences of the crisis and transformation tasks have to be dealt with at the same time."

EU Commission chief Ursula von der Leyen had announced the presentation of a new framework for aid. In December, the head of the Commission explained that investment aid should reach the affected sectors more quickly.

From the point of view of SPD MP Post, more scope is needed for large investments in transformation and future technologies. Post asked the EU Commission to quickly submit a proposal for "such an ambitious reform". "That must be a European policy priority in the coming weeks," said Post of the dpa. At the same time, Post spoke out in favor of a strengthened EU funding policy. For this purpose, funds from the EU reconstruction program should be reallocated or new funds should be made available.

The Chancellor should address the issue

Fahimi said: "The countries of the EU need leeway to set meaningful state impulses." Today, with more than 150 million euros in support, the state itself has to get fully involved in entrepreneurial activity as an economic actor. "That's not always the best solution," says Fahimi. The chairwoman of the trade union federation also sees Chancellor Olaf Scholz (SPD) as having a duty here. So far, Scholz has not shied away from addressing unpleasant topics. "I hope he does the same in this case," said Fahimi.

It will be of central importance that the EU makes a contribution to reducing the vulnerability of the European value chains and reducing bottlenecks in the supply chains, said Fahimi. "The EU Commission must present and implement a convincing strategy in order to maintain a good, interconnected economic and industrial structure in Europe."

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