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Supporting Germany's push to revive industry with targeted state aid

Published July 27, 2026 at 7:02 AM UTC

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Proponents of the government's industrial strategy argue that targeted state aid and subsidies are essential to protect strategic sectors. High energy prices are not temporary, they say, and public investment in green technologies can create a new competitive advantage. Accelerated planning laws for renewable energy projects and electric vehicle charging infrastructure will lower costs in the long run. Without such support, Germany would lose entire industries to the US or Asia, undermining decades of technological leadership. The state has a duty to bridge the gap while the private sector adapts.