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IMAGO / Andia

Country Reports

Inflation Reduction Act: Only One of Several Incentives

The real competitive advantages of the US in the subsidy race

At a time when debates over protectionist industrial policies or even transatlantic trade conflicts are numerous, this Country Report shows that traditional economic metrics, such as a high-skilled employee-pool, a comparatively high return rate on sales and low per-unit labor costs respectively, are key factors that continue to motivate German companies to increase their investments and operations in the US. Much more so than the Inflation Reduction Act (IRA) and the ensuing European furor over the law has led many to believe. When trying to preserve Germany as a premier global business location, lawmakers would be well advised to further prioritize Germany's innovation potential along established economic metrics, while speeding-up approval and procedural processes in particular.

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The full length country report is currently only available in German. 

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Paul Linnarz

Paul Linnarz bild

Representative Tokyo Office and Director Regional Program "Economic Governance in Asia" (SOPAS) +81 3 6426 5041
Single title
July 21, 2022
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