France braces for trouble, Macron to address ‘yellow vest’ anger

A trash bin burns as youths and high school students attend a demonstration to protest against the French government's reform plan, in Paris, France, December 7, 2018. REUTERS/Benoit Tessier

By Richard Lough and Sudip Kar-Gupta

PARIS (Reuters) – France hunkered down for another wave of potentially violent protests on Saturday as embattled President Emmanuel Macron planned to address the nation next week over public fury at the high cost of living, senior allies said.

Interior Minister Christophe Castaner said the three-week-old “yellow vest” revolt had “created a monster” and vowed police would have no tolerance for violence, with much of Paris in lockdown and tens of thousands of police deployed nationwide.

Named after the fluorescent safety vests that all French motorists must carry, the protesters are billing their planned action on Saturday as “Act IV” of worst unrest seen in the capital since the 1968 student riots.

Castaner warned that radicals would likely again infiltrate the protest movement – a backlash against high living costs but also, increasingly, a revolt against Macron himself, including his perceived loftiness and reforms favoring a moneyed elite.

“These last three weeks have created a monster,” Castaner told reporters. “Our security forces will respond with firmness and I will have no tolerance for anyone who capitalizes on the distress of our citizens.”

Some 89,000 policemen will be on duty nationwide to forestall a repeat of last Saturday’s destructive mayhem in exclusive central districts of Paris. Police in Paris will be backed up by armored vehicles equipped to clear barricades.

Senior allies of Macron said the president would address the nation early next week. Navigating his biggest crisis since being elected 18 months ago, Macron has left it largely to his prime minister, Edouard Philippe, to deal in public with the turmoil and offer concessions.

But the 40-year-old is under mounting pressure to speak more fully as his administration tries to regain the initiative following three weeks of unrest in the G7 nation.

“The President will speak early next week. I think this is what the French people want, they want answers,” Transport Minister Elisabeth Borne told Sud Radio on Friday.

Macron has not spoken in public since he condemned last Saturday’s disturbances while at the G20 summit in Argentina and opposition leaders accused him of turning the Elysee Palace into a bunker where had taken cover.

“Is Macron still in Argentina? He must surely have an opinion,” hard-left leader Jean-Luc Melenchon said on Twitter on Tuesday.

“The president himself must speak,” main opposition conservative Republicans leader Laurent Wauquiez told Europe 1 radio on Thursday.

Yellow vests are hung outside windows of an apartment building in support of the "yellow vests" movement in Marseille, France, December 7, 2018. REUTERS/Jean-Paul Pelissier

Yellow vests are hung outside windows of an apartment building in support of the “yellow vests” movement in Marseille, France, December 7, 2018. REUTERS/Jean-Paul Pelissier

“FORGOTTEN FRANCE”

After the Dec. 1 riots in central Paris and sometimes violent demonstrations in dozens of other cities and towns across France, the government offered a rush of sweeteners to soothe public anger.

It started by scrapping next year’s planned hikes to fuel taxes, the first major U-turn of Macron’s presidency and costing the Treasury 4 billion euros ($4.5 billion).

But protesters want Macron to go further to help hard-pressed households, including an increase to the minimum wage, lower taxes, higher salaries, cheaper energy, better retirement provisions, and even Macron’s resignation.

But, mindful of France’s deficit and not wanting to flout EU rules, Macron will have scant wriggle room for more concessions.

The “gilets Jaunes” (yellow vest) movement remains amorphous and hard to define, with a rapidly shifting agenda and internal divisions.

One faction, which dubs itself the “Free Yellow Vests”, called on protesters not to travel to Paris on Saturday but criticized Macron for refusing to hold direct talks.

“We appeal for calm, for respect of public property and the security forces,” Benjamin Cauchy declared in front of the National Assembly. His group are seen as moderates within the broader movement.

“The forgotten France is the France of the regions and it is in the regions that France will show peacefully their anger,” Cauchy said.

Youths and high school students attend a demonstration to protest against the French government's reform plan, in Paris, France, December 7, 2018. REUTERS/Benoit Tessier

Youths and high school students attend a demonstration to protest against the French government’s reform plan, in Paris, France, December 7, 2018. REUTERS/Benoit Tessier

“SMASHING THINGS UP”

The Eiffel Tower, opera house, and Louvre are among dozens of museums and tourist sites in Paris that will close on Saturday to pre-empt feared attacks by yellow vest militants.

Luxury boutiques and restaurants in fancy neighborhoods and near the presidential palace erected barricades and boarded up windows. Department stores Galerie Lafayette and Printemps said they would not open in the capital on Saturday.

The trouble is jeopardizing a timid economic recovery in France just as the Christmas holiday season kicks off. Retailers have lost about 1 billion euros in revenue since the protests erupted, the retail federation said.

On the French stock market, retailers, airlines and hoteliers suffered their worst week in months.

Patrick Delmas, 49, will shut his “Le Monte Carlo” bar next to the Champs Elysees on Saturday, blaming hoodlums from anarchist and anti-capitalist groups, as well as the yellow vest movement’s violent fringe.

“We have lost 60 percent of business over the last 15 days,” he said. “The problem is all those people who arrive with the sole intention of smashing things up.”

(Reporting by Emmanuel Jarry, Dominique Vidalon, Sudip Kar-Gupta, Richard Lough and Marine Pennetier; Writing by Richard Lough; Editing by Mark Heinrich)

Macron administration warns of ‘great violence’ in Paris from hard core ‘yellow vests’

Trash bins burn as youths and high-school students clash with police during a demonstration against the French government's reform plan in Marseille, France, December 6, 2018. REUTERS/Jean-Paul Pelissier

By Richard Lough and Marine Pennetier

PARIS (Reuters) – French authorities warned another wave of “great violence” and rioting could be unleashed in Paris this weekend by a hardcore of ‘yellow vest’ protesters, as senior ministers sought to defuse public anger with conciliatory languages on taxes.

Despite capitulating this week over plans for higher fuel taxes that inspired the nationwide revolt, President Emmanuel Macron has struggled to quell the anger that led to the worst street unrest in central Paris since 1968.

Rioters torched cars, vandalized cafes, looted shops and sprayed anti-Macron graffiti across some of Paris’s most affluent districts, even defacing the Arc de Triomphe. Scores of people were hurt and hundreds arrested in battles with police.

French police stand guard as youth and high school students burn a trash container during a protest against the French government's reform plan, in Bordeaux, France, December 6, 2018. REUTERS/Regis Duvignau

French police stand guard as youth and high school students burn a trash container during a protest against the French government’s reform plan, in Bordeaux, France, December 6, 2018. REUTERS/Regis Duvignau

An official in Macron’s office said intelligence suggested that some protesters would come to the capital this Saturday “to vandalize and to kill.”

Prime Minister Edouard Philippe said 65,000 security personnel would be deployed across the country on that day to keep the peace.

In a bid to defuse the three-week crisis, Philippe had told parliament late on Wednesday that he was scrapping the fuel-tax increases planned for 2019, having announced a six-month suspension the day before.

Finance Minister Bruno Le Maire told a conference he was prepared to bring forward tax-cutting plans and that he wanted workers’ bonuses to be tax-free.

But he added: “In this case, it must go hand-in-hand with a decrease in spending.”

He also said France would impose a tax on big internet firms in 2019 if there was no consensus on a European Union-wide levy, seeking to appeal to the “yellow vests'” anti-business sentiment.

SOCCER MATCHES CANCELED

The threat of more violence poses a security nightmare for the authorities, who make a distinction between peaceful ‘yellow vest’ protesters and violent groups, anarchists and looters from the deprived suburbs who they say have infiltrated the movement.

On Facebook groups and across social media, the yellow vests are calling for an “Act IV”, a reference to what would be a fourth weekend of disorder.

“France is fed up!! We will be there in bigger numbers, stronger, standing up for French people. Meet in Paris on Dec. 8,” read one group’s banner.

Education Minister Jean-Michel Blanquer urged people to stay at home during the coming weekend. Security sources said the government was considering using troops currently deployed on anti-terrorism patrols to protect public buildings.

Several top-league soccer matches on Saturday have been canceled and the Louvre museum said it and others were awaiting word from Paris officials on whether to close their doors.

The protests, named after the fluorescent jackets French motorists are required to keep in their cars, erupted in November over the squeeze on household budgets caused by fuel taxes. Demonstrations swiftly grew into a broad, sometimes-violent rebellion against Macron, with no formal leader.

Their demands are diverse and include lower taxes, higher salaries and Macron’s resignation.

France’s hard-left CGT trade union on Thursday called on its energy industry workers to walk out for a 48 hours from Dec. 13, saying it wanted to join forces with the yellow vests. The movement, with no formal leader, has so far not associated itself with any political party or trade union.

A French riot policeman stands next to a burning car as youth and high school students protest against the French government's reform plan, in Nantes, France, December 6, 2018. REUTERS/Stephane Mahe

A French riot policeman stands next to a burning car as youth and high school students protest against the French government’s reform plan, in Nantes, France, December 6, 2018. REUTERS/Stephane Mahe

STREET POLITICS

The fuel-tax volte-face was the first major U-turn of Macron’s 18-month presidency.

The unrest has exposed the deep-seated resentment among non-city dwellers that Macron is out-of-touch with the hard-pressed middle class and blue-collar laborers. They see the 40-year-old former investment banker as closer to big business.

Trouble is also brewing elsewhere for Macron. Teenage students on Thursday blocked access to more than 200 high schools across the country, burning garbage bins and setting alight a car in the western city of Nantes.

Meanwhile, farmers who have long complained that retailers are squeezing their margins and are furious over a delay to the planned rise in minimum food prices, and truckers are threatening to strike from Sunday.

Le Maire said France was no longer spared from the wave of populism that has swept across Europe.

“It’s only that in France, it’s not manifesting itself at the ballot box, but in the streets.”

(Reporting by Richard Lough and Marine Pennetier; additional reporting by Leigh Thomas, Michel Rose and Myriam Rivet; Editing by Toby Chopra)

Macron makes U-turn on fuel-tax increases in face of ‘yellow vest’ protests

French Prime Minister Edouard Philippe attends the questions to the government session at the National Assembly in Paris, France, December 4, 2018. REUTERS/Gonzalo Fuentes

By Simon Carraud and Michel Rose

PARIS (Reuters) – France’s prime minister on Tuesday suspended planned increases to fuel taxes for at least six months in response to weeks of sometimes violent protests, the first major U-turn by President Emmanuel Macron’s administration after 18 months in office.

In announcing the decision, Prime Minister Edouard Philippe said anyone would have “to be deaf or blind” not to see or hear the roiling anger on the streets over a policy that Macron has defended as critical to combating climate change.

“The French who have donned yellow vests want taxes to drop, and work to pay. That’s also what we want. If I didn’t manage to explain it, if the ruling majority didn’t manage to convince the French, then something must change,” said Philippe.

“No tax is worth jeopardizing the unity of the nation.”

Along with the delay to the tax increases that were set for January, Philippe said the time would be used to discuss other measures to help the working poor and squeezed middle-class who rely on vehicles to get to work and go shopping.

Earlier officials had hinted at a possible increase to the minimum wage, but Philippe made no such commitment.

He warned citizens, however, that they could not expect better public services and lower taxes.

“If the events of recent days have shown us one thing, it’s that the French want neither an increase in taxes or new taxes. If the tax-take falls then spending must fall because we don’t want to pass our debts on to our children. And those debts are already sizeable,” he said.

The so-called “yellow vest” movement, which started on Nov. 17 as a social-media protest group named for the high-visibility jackets all motorists in France carry in their cars, began with the aim of highlighting the squeeze on household spending brought about by Macron’s taxes on fuel.

However, over the past three weeks, the movement has evolved into a wider, broadbrush anti-Macron uprising, with many criticizing the president for pursuing policies they say favor the rich and do nothing to help the poor.

Despite having no leader and sometimes unclear goals, the movement has drawn people of all ages and backgrounds and tapped into a growing malaise over the direction Macron is trying to take the country in. Over the past two days, ambulance drivers and students have joined in and launched their own protests.

After three weeks of rising frustration, there was scant indication Philippe’s measures would placate the “yellow vests”, who themselves are struggling to find a unified position.

“The French don’t want crumbs, they want a baguette,” ‘yellow vest’ spokesman Benjamin Cauchy told BFM, adding that the movement wanted a cancellation of the taxes.

Another one, Christophe Chalencon, was blunter: “We’re being taken for idiots,” he told Reuters, using a stronger expletive.

GREEN GOALS

The timing of the tax U-turn is uncomfortable for Macron. It comes as governments meet in Poland to try to agree measures to avert the most damaging consequences of global warming, an issue Macron has made a central part of his agenda. His carbon taxes were designed to address the issue.

But the scale of the protests against his policies made it almost impossible to plow ahead as he had hoped.

While the “yellow vest” movement was mostly peaceful to begin with, the past two weekends have seen outpourings of violence and rioting in Paris, with extreme far-right and far-left factions joining the demos and spurring chaos.

On Saturday, the Arc de Triomphe national monument was defaced and avenues off the Champs Elysees were damaged. Cars, buildings and some cafes were torched.

The unrest is estimated to have cost the economy millions, with large-scale disruption to retailers, wholesalers, the restaurant and hotel trades. In some areas, manufacturing has been hit in the run up to Christmas.

CHANGE FRANCE?

Macron, a 40-year-old former investment banker and economy minister, came to office in mid-2017 promising to overhaul the French economy, revitalize growth and draw foreign investment by making the nation a more attractive place to do business.

In the process he earned the tag “president of the rich” for seeming to do more to court big business and ease the tax burden on the wealthy. Discontent has steadily risen among blue-collar workers and others who feel he represents an urban “elite”.

For Macron, who is sharply down in the polls and struggling to regain the initiative, a further risk is how opposition parties leverage the anger and the decision to shift course.

Ahead of European Parliament elections next May, support for the far-right under Marine Le Pen and the far-left of Jean-Luc Melenchon has been rising. Macron has cast those elections as a battle between his “progressive” ideas and what he sees as their promotion of nationalist or anti-EU agendas.

Le Pen was quick to point out that the six-month postponement of the fuel-tax increases took the decision beyond the European elections.

(Additional reporting by Marine Pennetier, Elizabeth Pineau and Richard Lough, John Irish; Writing by Luke Baker; Editing by Richard Balmforth)