At the heart of economic and industrial challenges, France has deployed significant resources to support its industrial sector, mobilizing an average of 26.8 billion euros per year between 2020 and 2022. This impressive amount includes subsidies, tax incentives, and loans, highlighting the scale of national commitment. Despite this colossal effort, the results remain sometimes mixed, prompting a reassessment of the effectiveness of current strategies in the face of market fluctuations and new energy requirements.
Between 2020 and 2022, French industrial companies benefited from an annual public support of 26.8 billion euros. This amount includes subsidies, tax incentives such as research tax credit, contribution exemptions, as well as loans and repayable advances. Adding the State’s involvement in the capital of major companies, the support even rises to 34.8 billion euros per year. Despite this significant effort, the Court of Auditors notes mixed results, highlighting often poorly targeted and unstable policies. To address the challenges of reindustrialization, it recommends reducing production taxes and controlling the rise in energy prices.
Public support for the industry: analysis of the amounts allocated between 2020 and 2022
Between 2020 and 2022, industrial companies in France received substantial public support. This figure amounts to 26.8 billion euros on average per year, including various mechanisms such as subsidies, tax incentives, and repayable loans. This reflects the State’s commitment to support a vital sector for the country’s economy.
Evaluation of the results of this massive support
Despite this considerable aid, the expected results do not seem to meet expectations. The Court of Auditors has expressed concern over the results deemed “mixed” regarding these policies. The measures are not sufficiently specific to the industry, and the instability of various plans has generated inefficiencies in their implementation. This situation highlights an urgent need for strategic realignment to maximize the impact of these allocated funds.
Suggestions to improve the effectiveness of support
To enhance the effectiveness of current policies, several suggestions have been put forward. Reducing production taxes and stabilizing energy prices are at the top of the Court of Auditors’ recommendations. A better allocation of resources, avoiding the multiplication of small amounts and focusing on ambitious transformation projects, could also transform the French industry to be more competitive internationally.
