French and German economy ministers are travelling to Washington this week to lay bare concerns about unfair competition sparked by $370bn in federal US subsidies for clean energy.
But there is another layer of government support over which they have less sway: incentives offered by US states and localities.
Developers of projects from electric car plants to green hydrogen refineries are getting red-carpet treatment from state and local officials. Long vying with one another for inbound investment, some states have revamped subsidy schemes in response to last year’s passage of the landmark US Inflation Reduction Act climate law.
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