(pensive music playing)
-: Jose-Manuel, it's a pleasure to have you here
at the European CFO conference of BCG.
Thank you for being with us.
-: My pleasure.
-: Europe is at the crossroads, right?
If you look at the dowry report,
the testament of overregulation,
and investments that we need to do,
what is your current take on that situation?
-: I agree, basically, that assessment.
And I believe we need to do much more.
But you know, in democracy
there is always an opportunity,
if the companies, if the business,
if the people in general,
express their concerns,
they will make the decision makers aware
that some decisions have to be made.
And I believe this time has come.
-: Are we in a trade-off between sustainability and climate
versus competitiveness?
-: I believe the trend will do something on climate change
will remain very strong,
because in fact it's a substantial problem for our planet.
But also, let's also do it in a way
that our industry does not feel
that they are put at a competitive advantage,
and that our less-wealthy people
feel that the pain is too high on them.
So we have to recalibrate the climate transition policy
with concerns of competitiveness,
and concerns of equality, and justice, and social matters.
If you don't do it,
there will be a huge backlash against that agenda.
-: And when you look at the different unions
that we already have, right?
So we do have the monetary union,
we don't have the fiscal union,
we don't have the political union.
And on defense,
where would you think we are on the different levels
of being united as Europeans?
And where do we actually progress at the moment?
-: For unfortunate reasons,
Europeans are going to do much more, in terms of defense.
From my point of view,
hopefully not in contradiction with NATO,
but complementing NATO.
So a stronger European security and defense identity
as a pillar of the transatlantic alliance,
this is happening.
Another area that I believe it's critically important is
financial markets union.
Because that's one of the problems of our competitiveness,
disadvantage with the United States.
Our companies don't have the access
to the depths of the financial markets
that our partners in the US have.
So that should be a priority.
-: In the light of Trump's agenda
of "Making America Great Again," right?
So we are talking, and discussing tariffs, and so forth.
What do you think the immediate consequences would be
when another tariffs come?
-: I think the Europeans have to organize themselves,
and speak with one voice with our American friends,
and say, look, this will have very negative consequences
in overall relationship.
You cannot ask us, for instance,
to have common geopolitical positions
on some delicate matters,
and afterwards punish us with tariffs.
Ideally, that could make
the new American administration to think again,
and at least to exclude Europe
from some of these tariffs that they are planning.
If we don't succeed,
and there is a high possibility that we don't succeed,
in convincing new administration
to avoid these tariff measures,
Mr. Trump said recently,
"The most beautiful word in the dictionary is 'tariffs.'"
(Jose-Manuel laughing)
If we don't convince him, in that case,
Europe has to take retaliatory measures.
Which is unfortunate, but there is no other way.
So the possibility of a trade war, today,
is a very serious possibility.
-: Final question, short one,
the current situation and the ambiguity:
Rather a crisis or rather a chance?
-: Crises are opportunities and chances,
and this type of crisis,
[it is] opportunity for Europe.
Why?
Because it forces us to make some decisions.
In Europe, by definition, because we are 27 countries,
we're not 1 country,
the temptation is to procrastinate,
to find some kind of middle ground,
and not to take a decision.
And now some of these trends are so dramatic,
that they will most likely force us to take a decision.
Let's hope it'll be the right one.
-: Jose-Manuel, thank you very much for being with us.
-: Thank you.
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