Fico: US Trade Wars and Ban on Russian Fuels Greatest Challenges for Slovakia

Bratislava, May 11 (TASR) - The two biggest economic challenges currently facing the Slovak government are the trade wars waged by the United States against other countries, including the European Union (EU), and the looming threat of a complete halt in energy supplies from Russia, with changes to the so-called "kurzarbeit" (short-time work) system expected to be approved soon through a fast-tracked legislative process in response to these issues, Prime Minister Robert Fico (Smer-SD) stated at his Sunday press conference. Fico emphasized that the U.S. trade war could have a major impact on Slovakia due to Slovakia's heavy reliance on car manufacturing. The United States have already imposed a 25% tariff on car imports. "I can repeat and confirm that the Slovak government is ready to make the necessary amendments to the short-time work law. This law was adopted in response to COVID, but we are lacking a necessary provision in it, since no one anticipated that production could also be limited due to tariffs," Fico explained. The Prime Minister believes that the amendment should be debated in fast-track mode at the next session of Parliament, starting at the end of May. "This will allow employers — specifically car manufacturers — not to lay off workers. Employees will have shortened working hours, may stay at home, but will remain employed and continue receiving a significant portion of their wages," the Prime Minister clarified. The relevant fund currently has nearly €200 million available, which he said should be sufficient in the initial phase. The second “huge issue” for the government, according to Fico, is the proposed halt to the flow of gas, oil, and nuclear materials from Russia, as suggested by the European Commission (EC). Slovakia disagrees with this proposal and is awaiting specific legislative drafts, and intends to be highly active in attaching comments to them. "I am clearly stating that if these legislative acts follow the roadmap presented by the EC, the Slovak Republic will vote against such legislation, and if unanimous consent is required, we are prepared to veto such decisions," the Prime Minister warned. However, he added that he believes larger EU countries will push for decision-making by qualified majority in this matter, in order to effectively make decisions on behalf of smaller states. "In that case, we’ll only be able to vote against these nonsensical proposals," he concluded. mf