As US$100 billion begins to feed the German war machine, gasoline prices in this European country climb to new all-time highs.
Eric Trappier, the CEO of French aircraft manufacturer Dassault Aviation, welcomed the defense budget increase announced by German authorities but lamented that Europeans have «a preference» for U.S. weapons.
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According to outlet BFM Business, Trappier said Berlin’s decision to spend US$100 billion on defense was «good news» and an update on what the Germans «should have done a long time ago».
Nevertheless, among the first purchase decisions of the German ruling elite is the acquisition of the «famous F-35», said the French businessman, who recalled the importance of his company by mentioning that the United Arab Emirates, Indonesia and other countries had requested Rafale fighter jets.
As the German war machine begins to grow, gasoline prices in this European country climb to new all-time highs. The General German Automobile Club (ADAC) announced that prices for standard E10 fuel exceeded the 2-euro mark per liter for the first time, which represented an increase of 18 euro cents within six days.
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— Pareekh Jain (@pareekhjain) March 8, 2022 At the same time, the price for a liter of diesel even surged 28 euro cents, reaching an average 2.03 euros, making it more expensive than standard E10 despite lower taxes on diesel. The higher price spike for diesel was caused by the increased demand for heating oil. Many consumers would fear supply bottlenecks due to the Russia-Ukraine crisis and were now «filling their tanks in late winter, contrary to their usual habits.»
Since Christmas last year, prices for E10 and diesel in Germany have gone up 26 and 35 percent, respectively. The ADAC warned that fuel prices in Germany could rise even further as a result of the Ukraine crisis and associated consequences.
German motorists have been paying an additional carbon dioxide (CO2) tax on gasoline and diesel since early 2021. The CO2 pricing in the transport and housing sectors of 30 euros per ton CO2 is to be gradually raised to 55 euros by 2025.
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