Europe’s Green Industrial Policy and the United States’ IRA
Two proposals released by the European Commission on March 16 are central to the EU’s green industrial policy. While these plans differ from their US counterparts, they share the goal of reducing dependence. The European Union’s internal production targets, however, oscillate between creating a necessary security buffer from monopoly suppliers and dirigiste protectionism. The EU should prioritize ensuring energy security through diversification and regulatory streamlining and avoid the overapplication of planned targets.