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Once-Bitten Germany Wary of New US Trade War Over Inflation Law

  • French president has urged robust response to green subsidies
  • Officials in Berlin see provoking dispute as strategic mistake
Olaf Scholz, left, greets Emmanuel Macron at the EU leaders summit in Brussels, on Oct. 21.Photographer: Valeria Mongelli/Bloomberg
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German Chancellor Olaf Scholz doesn’t want to start a new transatlantic trade war and he’s worried France’s Emmanuel Macron may be stoking one.

Macron -- who’s due to visit Joe Biden in Washington at the end of this month -- has pushed for a “Buy European Act” to counter a recently passed American climate and tax law, which aims to boost domestic production of electric cars and reduce reliance on China for battery components and materials.