France'S Ministry Of Finance Proposes Countermeasures For Industrial Sector Crises.

In response to the social crisis and threats to the industrial sector caused by de industrialization, French finance minister recently proposed measures. Since the middle of 2019, the central government has discussed with the local government, trade unions and employers on five major issues, such as energy, agriculture and agricultural products processing, technological innovation, industry and digital technology, to propose specific solutions.

The proportion of French industry to gross domestic product fell from 17% to 12% in 20 years. In the same period, the ratio maintained 23% in Germany and 18% and 14% in Italy and Spain respectively. In the past ten years, nearly 100 factories in France are closed each year, and nearly a million jobs are lost. As for France's proud industry sectors such as aviation, luxury goods and alcohol, there has been no progress.

The Minister of finance is currently developing five development goals, including:

(1) zero carbon economy - a carbon tax is expected to be created in 2025.

(two) strengthen vocational training in the future industry.

(three) industrial upgrading through scientific and technological innovation - we expect to invest 20 billion euros in public and private sector funds to finance the technology industry in 2025.

(four) reducing or deleting imp TS de production - this topic deals with 72 billion euro tax revenue, 7 times the number of Germany and 2 times of the euro area average.

(five) expand the jurisdiction enjoyed by local governments in various regions for the economic sector, especially tax and socio-economic affairs.

At present, the government expects to adopt a related Act (LOI Pacte 2) and other related tax laws in the autumn of 2020.