Institute for Energy Policy 2/2025 Analysis

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The Mario Draghi report has revealed the balance between Europe’s ambitious climate goals and their economic consequences. Despite warnings about the slow decline of the European economy, it has not led to an awakening within the European Union.

Meanwhile, the beginning of Donald Trump’s presidency in the United States signals further shifts in the global economic landscape, which the EU is struggling to keep up with.

This analysis delves into regulatory barriers, financial shortages, and competitive struggles facing the European Union, highlighting why reforms are essential for sustainable growth without compromising its global leadership in environmental protection.

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