Europe Needs to Rewire Its Energy-Green Policy Mix

Rabah Arezki, Jean-Pierre Landau and Frederick van der Ploeg

EconPol Forum, 2025, vol. 26, issue 02, 42-45

Abstract: Key MessagesThe bilateral tariffs imposed by the US are uncalled for, and the EU must respond vigorously to deter the administration from harming their mutual trade relationship.The threats of tariffs come on top of adverse energy shocks associated with the war in the Ukraine and lagging productivity growth in the EU.In contrast, the US has benefited from a shale gas revolution, which has boosted its energy competitiveness.The EU’s green policy framework is out of date due to the new geopolitics, industrial policies emerging in China and elsewhere, and growing fiscal pressures.The EU must take swift action and rewire its energy-green policy mix.

Date: 2025
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