Mario Draghi once again described the situation on the Old Continent, which has been talked about in recent years. Europe is deindustrializing. Key productions are exported. The war in Ukraine showed that there are not enough machine-building plants. The continent's energy problem is also not small. He relied for a long time on Russian raw materials, Chinese markets, and these factors are now missing.
This is what the economist Nikola Yankov told NOVA NEWS.
„China satisfies its needs with domestic production and exports, entering the traditional markets of Western European producers. Russia is “out of the game” with the supply of raw materials, which will be long-term. So the business model of old Europe doesn't work. The continent's biggest problem is the new climate policies. Europe is trying to be a world leader in decarbonisation and achieve carbon neutrality, resulting in heavy taxes – carbon fees. Because of this, heavy mechanical engineering, household and industrial chemistry are being exported”, added the expert.