France opts for €6bn car bail-out

French President Nicolas Sarkozy confirmed on 9 February 2009 that the state is set to lend three billion euros each to struggling carmakers Renault and Peugeot-Citroen, in exchange for their commitment to keep French production plants open.

Germany’s main industry federation together with the leader of the country’s largest opposition party urged the German government to oppose France’s aid package and warned against mounting protectionism in Europe. The Czech government are also critical of the package.

EurActiv, 10.2.09: French auto bail-out plan raises EU protectionism fears http://www.euractiv.com/euro-finance/french-auto-bail-plan-raises-eu-news-221143

France24, 11.2.09: France defends auto bailout amid protectionism row http://www.france24.com/en/20090211-france-defends-auto-bailout-amid-protectionism-row-lemaire-eu

ESO: Background information: Czechs act over ‘protectionist’ Paris http://www.europeansources.info/record/czechs-act-over-protectionist-paris/

EurActiv, 12.2.09: French auto bail-out plan 'not protectionist', says Fillon http://www.euractiv.com/transport/french-auto-bail-plan-protection-news-221390

France24, 28.2.09: French auto bailout satisfies Brussels before summit http://www.france24.com/en/20090228-luc-chatel-guarantee-protectionism-france-competition-commissioner-auto-bailout-plan-europe

European Commission: MEMO/09/90: State aids: the Commission obtains guarantees from the French government on the absence of protectionist measures in the French plan for aid to the automotive sector http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/09/90&format=PDF&aged=0&language=EN&guiLanguage=en

France24, 9.2.09: Sarkozy pledges 6.5 billion euro loan to French carmakers http://www.france24.com/en/20090209-government-loan-peugeot-renault-6-billion-france-automobile-bailout

ESO: Background information: French car industry to get up to €6bn state aid http://www.europeansources.info/record/french-car-industry-to-get-up-to-e6bn-state-aid/

France24, 9.2.09: meeting amid tensions with France http://www.france24.com/en/20090209-czech-pm-calls-emergency-crisis-meeting-amid-tensions-france-sarkozy

Deutsche Welle, 9.2.09: French Auto Bailout Blasted as a Threat to European Unity http://www.dw-world.de/dw/article/0,,4013018,00.html

EurActiv, 9.2.09: Czechs call extraordinary EU summit on protectionism http://www.euractiv.com/euro-finance/czechs-call-extraordinary-eu-sum-news-221117

BBC News, 9.2.09: French carmakers get 6.5bn euros http://news.bbc.co.uk/1/hi/business/7879615.stm

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