Europe
Bernd Lange warns China + Nuclear debate + Russian grain
Dear reader,
Russia invades Ukraine, China threatens Taiwan – these are dangerous times. But geopolitical tensions have breathed new life into trade policy: Many of Bernd Lange's colleagues in the European Parliament, who previously drifted along in the trade-critical mainstream, now appreciate stable relations. The long-time chairman of the Trade Committee expects a whole series of new deals in the coming months, as he revealed to Amelie Richter and me in an interview.
The SPD politician also warns Beijing not to act on its threats against Taiwan, or else there would be far-reaching EU sanctions, regardless of economic damage to Germany and Europe. The local industry has apparently not yet realized how great the risks are: According to the Institute of the German Economy, it continues to invest in China at record levels. The consequences of a conflict over Taiwan could "even lead to bankruptcy" for particularly exposed companies, as the economists warn. More on this in the News.
The debate about high gas prices is likely to cut a few more capers, and we consider FDP Vice Chairman Wolfgang Kubicki's call to open the Nord Stream 2 Baltic Sea pipeline one of them. The discussion about the operating lifetimes of the remaining nuclear power plants is nevertheless hitting the home stretch: Chancellor Scholz expects the results of the network operators' stress test at the end of August, or beginning of September. Meanwhile, the forced ramp-up of coal-fired power plants has a side effect: The prices of certificates in European emissions trading are reaching old highs – much to the chagrin of the affected industries.
I wish you a great start to the week!
Your
Till Hoppe
