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Fears about deindustrialization of Europe intensify

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Fears about deindustrialization of Europe intensify

Duralex glass furnaces have been operating along the banks of the Loire River in Orléans, France since the end of World War II. However, since his news/information site Politico, this winter the glass lines at La Chapelle-Saint-Mesmane fell silent. The low-temperature dormancy and inactivity of the facility is explained by the fact that the natural gas needed to operate at full capacity was simply too expensive. However, at lower temperatures, furnaces produce nothing. But if they were completely disabled, the molten glass would solidify inside them and the equipment would be destroyed. “We had to make a difficult decision,” said José-Loui Yacuna, president of the La Maison Française du Verre group, which owns the Duralex and Pyrex brands, speaking from his office next to the factory. “Hibernation comes with technical and human risks, but allows us to save energy.” The durable glass cups of Duralex, the unseen triumph of European industry, can be found in every French school canteen and exported all over the world. You can buy them at John Lewis UK and even MoMA in New York. They can also be found on many shelves and tables in Greek homes.

Incentives from Washington for European businesses to move across the Atlantic.

According to Mr. Jakunas, the plant’s future in Europe is secured. But its struggle for survival reflects a much deeper crisis affecting the centuries-old manufacturing base of the Old Continent. Energy costs have become onerous for many manufacturing companies to maintain their manufacturing base in Europe. At the same time, a massive US green industry subsidy package has shocked and angered EU officials, who see the US as a supposed ally in enticing businesses to move across the Atlantic. The energy crisis is particularly acute in glass, chemicals, metals, fertilizers, paper and pulp, ceramics and cement, which also require proportionately more energy for their industrial production, which employs 8 million people. But, faced with ever-increasing competition from China and an increasingly protectionist US stance, European leaders are openly warning of a deindustrialization “virus” spreading across the continent. Preventing this development is one of the central issues on the EU agenda for 2023.

In a recent email received by Politico, European Internal Market Commissioner Thierry Breton described strengthening Europe’s global competitiveness as a “top priority”. It says, in part: “High energy prices in Europe will continue to affect our fellow citizens, as well as entire industrial supply chains and SMEs. At the same time, China, the US and other countries are trying, not without success, to bring our know-how and skills to the industry. Without a strong manufacturing base, the security of supply, export capacity and jobs in Europe is at risk.”

Author: newsroom

Source: Kathimerini

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