German Chancellor Angela Merkel and French President Nicolas Sarkozy on Monday resolved a major dispute ahead of France's EU presidency by reaching an unexpected deal over EU plans to reduce car emissions.
The two leaders announced the deal at a joint press conference after a Franco-German summit at the southern German town of Straubing.
According to Merkel, both countries now support a European Commission goal of cutting average carbon dioxide emissions to 120grams per kilometer for new cars by 2012.
Meanwhile the deal also includes more flexible transitional provisions to make it easier for carmakers to adapt to the new emission limit.
"We need a substantial phasing-in period for the renewal of theentire product range of the car industry," Merkel said.
EU plans to limit cars' carbon dioxide emissions had put Germany and France at odds for months with Berlin arguing that the plans would put Germany's luxury carmakers at a disadvantage to their French and Italian competitors which tend to build smaller, less polluting cars.
Merkel called Monday's deal an "important breakthrough" which showed that Germany and France can work together to resolve major differences.
"We have proven again that France and Germany can work together. We have agreed to work together," Merkel said.
She told German media ahead of the summit that Sarkozy could count on Germany's full support during France's six-month EU presidency which begins on July 1.
Sarkozy said that France needs Germany's support. "We intend to work hand in hand with Germany and the chancellor," he said.
The show of unity, however, did not mean that the two leaders see eye to eye on some other important issues.
On Monday, Sarkozy reiterated his proposal to cap soaring oil prices by lowering EU fuel taxes. The German chancellor has been noncommittal in reaction to the French initiative.
France and Germany also have different interest concerning Sarkozy's plans for the Mediterranean Union, which is expected to become a centerpiece of France's EU presidency.
Germany, which sees the proposal as a competition to EU eastward expansion and an attempt to sideline Berlin, has repeatedly warned of unilateral French moves on the issue.
On Monday, the French president also called for extended use of nuclear energy as "a solution of the future" and voiced the hope to build next-generation nuclear power plants in cooperation with Germany.
Merkel, however, said that she is bound by an agreement with her coalition partners to phasing out nuclear power by 2021 although she personally believes that it is an unwise choice.
The one-day Franco-German summit also involved French Prime Minister Francois Fillon and the two countries' foreign, defense, economy and environment ministers.
Source:Xinhua
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