Giorgia Meloni, the most consequential Italian prime minister in decades, met recently with Donald Trump in Mar-a-Largo in a surprise visit. The meeting underscored the rapport between two leaders who have risen as emblematic figures of conservative movements in their respective nations.
It was also a slight to President Biden, who will see Meloni in Rome next week.
Meloni met with Trump and Elon Musk last month when they were in Paris to attend the re-opening of the Notre Dame Cathedral. On the heels of the Mar-a-Largo visit, it is being reported that Italy is considering a $1.6 billion SpaceX deal focused on telecom security.
For centuries, all roads led to Rome, situating Italy at the heart of global trade routes. However, in the decades after World War II, Italy failed to capitalize on its geographic advantages. Instead of becoming Europe’s gateway, the Italian economy became trapped by the shifting fortunes of the manufacturing and tourism industries.
As recently as the 1980s, Italy was the sixth-largest steel producer in the world. Now, it’s not even in the top 10.
Trump understands the pain of such distributions. He has frequently emphasized the importance of revitalizing economic foundations and leveraging strategic assets. Meloni has shared this vision as she seeks to restore Italy’s global stature. While Italy remains one of Europe’s major economies, its growth has stagnated. When Meloni became prime minister, she vowed to revive Italy’s economy. Italy needs a more ambitious plan.
Meloni’s administration is championing the Mattei Plan, named after energy magnate Enrico Mattei, which aims to bolster Italy’s ties with Africa through infrastructure, energy and diplomatic projects. This initiative holds promise, as Africa offers immense potential in terms of labor and energy resources — factors that could help Italy counter its aging population and rising energy costs.
The Southern Hydrogen Corridor project, designed to channel green hydrogen from Africa to Italy and further into Austria and Germany, is a valuable initiative. However, such projects will require substantial investment paired with a sustainability-focused approach. American companies could be partners in these areas. For example, Italy could be a gateway for U.S. LNG exports to Europe. However, hydrocarbon refinery opportunities might have even more stakes.
Recently, Germany attracted an acquisition offer from Emirati energy giant ADNOC for Covestro, a German firm. The voluntary acquisition offer of 62 eros per share values the company at 14.7 billion euros.
Covestro, a leader in sustainable chemistry, has pioneered environmentally friendly products, some of which use green hydrogen as a raw material. This investment strengthens Germany’s manufacturing workforce and enhances ties with the United Arab Emirates, a key Gulf economy, bolstering Germany’s position as Europe’s industrial hub. This is critical as German industry faced a projected 7 percent decline after the Russian energy embargo. The deal also reinforces Germany’s industrial base.
Initiatives like ADNOC’s investment in low-carbon ammonia and Iberdrola’s 400 MW wind and solar project in Spain, supported by the EU, position Italy as an emerging player in renewable energy. These projects, expected to provide power to 260,000 households, will promote energy security and job growth, particularly in Southern Italy. Additionally, Matrix Renewables has launched a large-scale project to develop up to 1.5 GW of standalone battery storage across the country.
Such projects often face local resistance. Here, Meloni could draw inspiration from philosopher Roger Scruton, whom she frequently cites. Scruton championed “oikophilia,” or love of home and landscape, as a basis for environmental stewardship. While the term itself may not gain traction, the concept resonates across the political spectrum: shifting from “Not In My Backyard” (NIMBYism) to a model of local care and management. Italy could incentivize communities to adopt eco-friendly projects like hydrogen or solar energy by offering royalties, much like landowners benefit from oil deposits.
Trump understands these tensions. He once clarified that a “top priority” for his first administration was ensuring that “America has among the very cleanest air and cleanest water on the planet. We want the cleanest air. We want crystal-clean water, and that’s what we’re doing, and that’s what we’re working on so hard.”
Many American companies have an opportunity to play a role in Italy’s transition, which means jobs in the United States and aligns with Italy’s environmental goals. The central question is whether Italy will seize this moment of change to set a new course, redefining its role as a central channel for sustainable development. Under Meloni’s leadership, Italy must mobilize its civil society leaders, refocus on its natural geographic strengths, and leverage the opportunities its strategic location offers. This is Meloni’s moment at the helm to navigate the shifting tides of energy and trade in the Mediterranean.