Brussels, 20/07/2007 (Agence Europe) - France and the UK want a new reduced rate of VAT (value-added tax) to be levied on green products, explained French President Nicolas Sarkozy on Friday 20 July, following a meeting with new British Prime Minister Gordon Brown in Paris. Sarkozy told reporters that the two politicians would be asking the French and British finance ministers to go to see the European Commission as soon as possible to suggest to EU partners that all ecologically-sound products (green products) benefit from cut-rate VAT.
The strong euro exchange rate is still of concern to the French president, who slammed the Chinese currency, the yuan, as being undervalued and saying he hoped to be able to discuss the matter soon with the Chinese, speaking the day after Beijing announced record growth of 11.9% GDP in the second quarter of 2007. (ab)