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    Modi’s Visits Abroad Help to Build His Image in India

    For an audience in India, the prime minister is linking his diplomatic reception abroad, and himself, to the country’s growing importance on the world stage.His grip on the levers of national power secure, his hold on India’s domestic imagination cemented, Prime Minister Narendra Modi has increasingly turned to advancing himself on a new horizon: the global stage.With a packed diplomatic calendar that includes India’s hosting of the Group of 20 summit later this year, Mr. Modi is building an image going into his re-election campaign as a leader who can win respect and investment for his vast nation. The state visit accorded to Mr. Modi in Washington, which ends on Friday, is perhaps the biggest prize yet in that quest.“It’s not just about a fairer bargain abroad,” said Ashok Malik, a former government adviser who is the India chair at the Asia Group, a consulting firm. “It’s also that ‘my investments in key foreign policy relations are actually helping to build the Indian economy and therefore create opportunities for Indians at home and strengthen India overall.’”At home, Mr. Modi’s Hindu nationalist party has continued to sideline institutions that were once important checks on the government. It has persisted in its vilification of the country’s 200 million Muslims, even as Mr. Modi used an exceedingly rare news conference in Washington to claim that there was no discrimination against anyone in India.But abroad, world leaders eager to court an ascendant India have offered little pushback. And often, they have given Mr. Modi invaluable fodder for an information campaign that shapes perceptions of him among many Indian voters who are ecstatic to see their country’s importance affirmed.Eid-al Fitr prayers in Chennai, India, in April. Mr. Modi used a news conference in Washington to claim that there was no discrimination against anyone in India, including the country’s huge Muslim minority.Idrees Mohammed/EPA, via ShutterstockWhen Mr. Modi traveled to Australia last month, Prime Minister Anthony Albanese referred to him as “the boss” in front of an arena in Sydney packed with about 20,000 people. Mr. Modi then returned to New Delhi to a large crowd gathered for his welcome at 6 in the morning, telling supporters that the grand welcome for him abroad was about India, not him.On Friday, as Mr. Modi was wrapping up his meetings in the United States before arriving in Egypt for another grand greeting, his political party and the large sections of the broadcast media friendly to him reveled in the reception he had gotten from President Biden and other American leaders.The red carpet in Washington played perfectly into one of Mr. Modi’s talents: He can build a media campaign out of virtually anything, projecting himself as the only leader who can expand India’s economy and usher a nation coming into its own to new heights.While opposition leaders back home were holding their largest gathering yet, hoping to find a formula for uniting to challenge the prime minister in elections early next year, Mr. Modi was reaching for the world.Social media was flooded with montage videos, set to regal background music, of Mr. Modi making a grand entrance into the House of Representatives for his address to a joint session of Congress. The speech, after which several lawmakers sought Mr. Modi’s autograph, made him one of only a very small number of world leaders to have addressed that body twice.Another video online kept count of the number of times Mr. Modi received applause or standing ovations during his speech. A third cut to dramatic images of Mr. Modi contrasting him with the dynastic leaders who came before him, advancing a constant narrative that he represents a subversion of the old elite that long ruled India.“History tells us that powerful people come from powerful places. History was wrong,” a deep voice intones in the video. “Powerful people make places powerful.”Congress offers a standing ovation for Mr. Modi’s speech on Capitol Hill on Thursday.T.J. Kirkpatrick for The New York TimesMr. Modi’s next major opportunity to appear as a global statesman will come in September when India welcomes the Group of 20 leaders, a summit meeting he has framed to his support base as his bringing the world to India.His government has turned promotion for the meeting into a roadshow, hosting hundreds of G20 events, so many that foreign diplomats in New Delhi quietly complain about travel fatigue. Cities and towns across India are decked out with billboards bearing the G20 logo — which cleverly incorporates the lotus, a symbol both of India and his Bharatiya Janata Party — and pictures of Mr. Modi.In promoting the G20 presidency, Mr. Modi has taken to frequently describing India, the world’s most populous nation, as the “mother of democracy.” Abroad, however, he has pursued a transactional brand of diplomacy built not on practicing democratic values, but on what best serves Indian economic and security interests, and what elevates India in the world.The image of “a rising India, a new India being seen more seriously abroad” helps Mr. Modi politically, Mr. Malik said. But Mr. Modi is also investing heavily in U.S. relations with an eye toward how they could help an Indian economy that is struggling to create enough jobs for its huge young population and that must put up a fight against an aggressive China next door.“Addressing China is not just about soldiers and weapons at the border, it’s also about building economic alternatives to what China offers,” Mr. Malik said.Supporters of Mr. Modi’s Bharatiya Janata Party cheer during a rally in Bengaluru, India, last month.Manjunath Kiran/Agence France-Presse — Getty ImagesThe list of agreements between the United States and India, announced at the end of a bilateral meeting at the White House, was long, covering defense, space and a wide range of technological cooperation.Defense cooperation, in particular — including deals on Indian manufacturing of General Electric jet engines and purchasing Predator military drones — received a major boost after what had been a history of reluctance and bureaucratic hurdles on both sides. Dr. Tara Kartha, a former senior official in India’s security council who dealt with U.S. on defense, said the agreement on aircraft engines was “an affirmation of trust” that would help the military partnership beyond the smaller steps of the past two decades.“Each country is trying to get past its bureaucratic constrains,” she said. “Until the bureaucracy can catch up, there will be frustrations.”Among ordinary Indians on the streets of New Delhi, opinions of Mr. Modi’s diplomatic efforts were divided.Vijay Yadav, a 26-year-old taxi driver, said Mr. Modi’s outreach abroad could not cover for how India’s economy was struggling to create enough jobs.“I saw on Instagram a news feed which was constantly touting Mr. Modi’s trip to America as if no other Indian leader had been there before,” he said. “Firstly, he must get down to solving the problems of his own countrymen before he goes abroad to project himself as a hero.”Nidhi Garg, 41, who has inherited a vegetable and fruit shop from her father, said her heart swelled each time she saw Mr. Modi representing India abroad.“Today, wherever you see, the name of our nation is being taken,” she said. “The first thing that comes to anyone’s mind when they mention the word India, they immediately connect it to Prime Minister Modi.”Suhasini Raj More

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    Plans in Congress on China and TikTok Face Hurdles After Spy Balloon Furor

    With budgets tight and political knives drawn, lawmakers seeking to capitalize on a bipartisan urgency to confront China are setting their sights on narrower measures.WASHINGTON — Republicans and Democrats are pressing for major legislation to counter rising threats from China, but mere weeks into the new Congress, a bipartisan consensus is at risk of dissipating amid disputes about what steps to take and a desire among many Republicans to wield the issue as a weapon against President Biden.In the House and Senate, leading lawmakers in both parties have managed in an otherwise bitterly divided Congress to stay unified about the need to confront the dangers posed by China’s militarization, its deepening ties with Russia and its ever-expanding economic footprint.But a rising chorus of Republican vitriol directed at Mr. Biden after a Chinese spy balloon flew over the United States this month upended that spirit — giving way to G.O.P. accusations that the president was “weak on China” — and suggested that the path ahead for any bipartisan action is exceedingly narrow.“When the balloon story popped, so to speak, it felt like certain people used that as an opportunity to bash President Biden,” said Representative Raja Krishnamoorthi of Illinois, the top Democrat on the select panel the House created to focus on competition with China.“And it felt like no matter what he did, they wanted to basically call him soft on the C.C.P., and unable to protect America,” he said, referring to the Chinese Communist Party. “That’s where I think we can go wayward politically,”For now, only a few, mostly narrow ventures have drawn enough bipartisan interest to have a chance at advancing amid the political tide. They include legislation to ban TikTok, the Beijing-based social media platform lawmakers have warned for years is an intelligence-gathering gold mine for the Chinese government; bills that would ban Chinese purchases of farmland and other agricultural real estate, especially in areas near sensitive military sites; and measures to limit U.S. exports and outbound investments to China.Such initiatives are limited in scope, predominantly defensive and relatively cheap — which lawmakers say are important factors in getting legislation over the hurdles posed by this split Congress. And, experts point out, none are issues that would be felt keenly by voters, or translate particularly well into political pitches on the 2024 campaign trail.A Divided CongressThe 118th Congress is underway, with Republicans controlling the House and Democrats holding the Senate.Jan. 6 Video: Speaker Kevin McCarthy’s decision to grant the Fox News host Tucker Carlson access to thousands of hours of Jan. 6 Capitol security footage has effectively outsourced a bid to reinvestigate the attack.John Fetterman: The Democratic senator from Pennsylvania is the latest public figure to disclose his mental health struggles, an indication of growing acceptance, though some stigma remains.Entitlement Cuts: Under bipartisan pressure, Senator Rick Scott of Florida, a Republican, exempted Social Security and Medicare from his proposal to regularly review all federal programs.G.O.P. Legislative Agenda: Weeks into their chaotic House majority, Republican leaders have found themselves paralyzed on some of the biggest issues they promised to address.“There would be nervousness among Republicans about giving the administration a clear win, but I’m just not sure that the kind of legislation they’ll be looking at would be doing that,” said Zack Cooper, who researches U.S.-China competition at the American Enterprise Institute. “It’s more things that would penalize China than be focused on investing in the U.S. in the next couple of years.”At the start of the year, the momentum behind bipartisan efforts to confront China seemed strong, with Republicans and Democrats banding together to pass the bill setting up the select panel and legislation to deny China crude oil exports from the U.S. Strategic Petroleum Reserve. A resolution condemning Beijing for sending the spy balloon over the United States passed unanimously after Republican leaders decided not to take the opportunity to rebuke Mr. Biden, as many on the right had clamored for.But with partisan divisions beginning to intensify and a presidential election looming, it appears exceedingly unlikely that Congress will be able to muster an agreement as large or significant as the major legislation last year to subsidize microchip manufacturing and scientific research — a measure that members of both parties described as only one of many policy changes that would be needed to counter China. Only a few, mostly narrow ventures have drawn enough bipartisan interest to have a chance at advancing amid the political tide.Kenny Holston/The New York Times“The biggest challenge is just the overall politicized environment that we’re in right now and the lack of trust between the parties,” said Representative Mike Gallagher of Wisconsin, the chairman of the new select panel, who has committed to make his committee an “incubator and accelerator” on China legislation. “Everyone has their guard up.”Still, there are some areas of potential compromise. Many lawmakers are eyeing 2023 as the year Congress can close any peepholes China may have into the smartphones of more than 100 million TikTok American users, but they have yet to agree on how to try to do so.Some Republicans have proposed imposing sanctions to ice TikTok out of the United States, while Representative Michael McCaul, Republican of Texas and the chairman of the Foreign Affairs Committee, wants to allow the president to block the platform by lifting statutory prohibitions on banning foreign information sources.Senator Marco Rubio of Florida, the top Republican on the Senate Intelligence Committee, and Senator Angus King, independent of Maine and a member of the panel, want to prevent social media companies under Chinese or Russian influence from operating in the United States unless they divest from foreign ownership.But none have yet earned a seal of approval from Senator Mark Warner of Virginia, the Democrat who is chairman of the committee and whose support is considered critical to any bill’s success. He was the chief architect of last year’s sweeping China competition bill, known as the CHIPS and Science Act, and he wants to tackle foreign data collection more broadly.“We’ve had a whack-a-mole approach on foreign technology that poses a national security risk,” Mr. Warner said in an interview, bemoaning that TikTok was only the latest in a long line of foreign data firms, like the Chinese telecom giant Huawei and the Russian cybersecurity firm Kaspersky Lab, to be targeted by Congress. “We need an approach that is constitutionally defensible.”There is a similar flurry of activity among Republican and Democratic lawmakers proposing bans on Chinese purchases of farmland  in sensitive areas. But lawmakers remain split over how broad such a ban should be, whether agents of other adversary nations ought also to be subject to the prohibition, and whether Congress ought to update the whole process of reviewing foreign investment transactions, by including the Agriculture Department in the Committee on Foreign Investment in the United States, an interagency group.“It’s actually kind of a more fraught issue than you would imagine,” Mr. Gallagher said.Lawmakers in both parties who want to put forth legislation to limit U.S. goods and capital from reaching Chinese markets are also facing challenges. The Biden administration has already started to take unilateral action on the issue, and further steps could box lawmakers out. Even if Congress can stake out a role for itself, it is not entirely clear which committee would take the lead on a matter that straddles a number of areas of jurisdiction.  Even before the balloon incident, existential policy differences between Republicans and Democrats, particularly around spending, made for slim odds that Congress could achieve sweeping legislative breakthroughs regarding China. Architects of last year’s law were dour about the prospect of the current Congress attempting anything on a similar scale.“The chances of us passing another major, comprehensive bill are not high,” said Senator John Cornyn of Texas, the lead Republican on the CHIPS effort, who noted that with the slim G.O.P. majority in the House, it would be difficult to pass a costly investment bill.G.O.P. lawmakers have been demanding cuts to the federal budget, and House Speaker Kevin McCarthy, Republican of California, has indicated that even military spending might be on the chopping block. Though no one has specifically advocated cutting programs related to countering China, that has some lawmakers nervous, particularly since certain recent ventures Congress created to beef up security assistance to Taiwan have already failed to secure funding at their intended levels.That backdrop could complicate even bipartisan ventures seeking to authorize new programs to counter China diplomatically and militarily, such as a proposal in the works from Senator Robert Menendez of New Jersey, the chairman of the Foreign Relations Committee, and Senator James Risch of Idaho, the top Republican, to step up foreign aid and military assistance to American allies in Beijing’s sphere of influence.That likely means that action on any comprehensive China bill would need to be attached to another must-pass bill, such as the annual defense authorization bill, to break through the political logjams of this Congress, said Richard Fontaine, the CEO of the Center for a New American Security. “China has risen as a political matter and things are possible that weren’t before, but it has not risen so high as to make the hardest things politically possible,” Mr. Fontaine said. 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    China Returns to Davos With Clear Message: We’re Open for Business

    Emerging from coronavirus lockdown to a world changed by the war in Ukraine, China sought to convey reassurance about its economic health.DAVOS, Switzerland — China ventured back on to the global stage Tuesday, sending a delegation to the World Economic Forum to assure foreign investors that after three years in which the pandemic cut off their country from the world, life was back to normal.But the Chinese faced a wary audience at the annual event, attesting to both the dramatically changed geopolitical landscape after Russia’s war on Ukraine, as well as two data points that highlighted a worrisome shift in China’s own fortunes.Hours before a senior Chinese official, Liu He, spoke to this elite economic gathering in an Alpine ski resort, the government announced that China’s population shrank in 2022 for the first time in 61 years. A short time earlier, it confirmed that economic growth had slowed to 3 percent, well below the trend of the past decade.Against that backdrop, Mr. Liu sought to reassure his audience that China was still a good place to do business. “If we work hard enough, we are confident that growth will most likely return to its normal trend, and the Chinese economy will make a significant improvement in 2023,” he said.Mr. Liu, a well-traveled vice premier who is one of China’s most recognizable faces in the West, insisted that the Covid crisis was “steadying,” seven weeks after the government abruptly abandoned its policy of quarantines and lockdowns. China had passed the peak of infections, he said, and had sufficient hospital beds, doctors and nurses, and medicine to treat the millions who are sick.A clinic waiting room in Beijing in December. The Chinese government announced a broad rollback of its zero Covid rules earlier that month.Gilles Sabrie for The New York TimesHe did not mention the 60,000 fatalities linked to the coronavirus since the lockdowns were lifted, a huge spike in the official death toll that China announced three days ago.Mr. Liu’s mild words and modest tone were in stark contrast to those of his boss, President Xi Jinping, who came to Davos in 2017 to claim the mantle of global economic leadership in a world shaken up by the election of Donald J. Trump in the United States and Britain’s vote to leave the European Union.Since then, the United States and Europe have united to support Ukraine against Russia, leaving the Russians isolated with the Chinese among their few friends. Russia’s revanchist campaign has raised questions among Europeans about whether China might have similar designs on Taiwan, and escalated security concerns among the world’s democracies.Mr. Liu steered clear of political issues like the war in Ukraine or China’s tensions with the Biden administration. But he did say, “We have to abandon the Cold War mentality,” echoing a frequent Chinese criticism of the United States for attempting to contain China’s influence around the world.But it is China’s demographics and economic growth that are raising the biggest questions among businesspeople. The decline in population lays bare the country’s falling birthrate, a trend that experts said was exacerbated by the pandemic and will threaten its growth over the long term. The 3 percent growth rate, the second weakest since 1976, reflects the stifling effect of the government’s Covid policy.“The Chinese are worried, and they should be,” said Evan S. Medeiros, a professor of Asia studies at Georgetown University. “The entire international business community is way more negative about China over the long-term. A lot of people are asking, ‘Have we reached peak China?’”Children playing in the village square after school in Xiasha Village in Shenzhen, China, in November. China’s population has begun to shrink, the government announced on Tuesday.Qilai Shen for The New York TimesProfessor Medeiros, who served as a China adviser in the Obama administration, said, “For the past 20 years, China has benefited from both geoeconomic gravity and geopolitical momentum, but in the last year it has rapidly lost both.”The signposts of China’s economic weakness are everywhere: the government announced on Friday that exports fell 9.9 percent in December relative to a year earlier. “China has an export slowdown, construction is in crisis, and the local governments are running out of money,” said Jean-Pierre Cabestan, professor of political science at Hong Kong Baptist University. “China needs the world: to boost its economy, to accompany the return to more normalcy.”Mr. Liu laid out a familiar set of economic policies, from upholding the rule of law to pursuing “innovation-driven development.” He insisted that China was still attractive to foreign investors, who he said were integral to China’s plan to achieve the government’s goal of “common prosperity.”Lianyungang port in China’s eastern Jiangsu province. The government announced on Friday that exports fell 9.9 percent in December relative to a year earlier.Agence France-Presse — Getty Images“China’s national reality dictates that opening up to the world is a must, not an expediency,” Mr. Liu said. “We must open up wider and make it work better. We oppose unilateralism and protectionism.”But China’s delegation was a reminder of how the government has sidelined some of its own best-known entrepreneurs as it has reined in powerful technology companies. Jack Ma, a co-founder of the Alibaba Group, used to be one of the biggest celebrities at the World Economic Forum, holding court in a chalet on the outskirts of Davos. Now shunted out of power, Mr. Ma is absent from Davos.Instead, China sent less well-known executives from Ant Group, an affiliate of the Alibaba Group, as well as officials from China Energy Group and China Petrochemical Group. Unlike other countries, notably India and Saudi Arabia, which plastered buildings in Davos with advertisements for foreign investment, China has been low-key, holding meetings at the posh Belvedere Hotel.After his speech, Mr. Liu, who has a command of English and holds a graduate degree from Harvard, met privately with business executives. Some expected him to be more candid in that session about the challenges China has faced.Mr. Liu did not meet top American officials in Davos, though he will meet Treasury Secretary Janet Yellen in Zurich on Wednesday. Martin J. Walsh, the labor secretary who is at the conference, said he welcomed China’s return. “China’s in the world economy,” he said. “We need to engage with them.”Mr. Liu speaking on Tuesday.Fabrice Coffrini/Agence France-Presse — Getty ImagesThough Mr. Liu, 70, has a significant international profile — having led trade negotiations with the Trump administration — China experts noted that he is not in Mr. Xi’s innermost circle. He is also no longer a member of the Chinese government’s ruling Politburo, though analysts said he retained the trust of Mr. Xi.When he spoke at Davos in 2018, Mr. Liu’s speech was among the best attended of the conference. This year, however, about a quarter of the hall emptied before Mr. Liu spoke, after having been packed for a speech by Ursula von der Leyen, the president of the European Commission.The difference in crowd sizes reflected the reshuffled priorities of the West, now focused on exhibiting unity against Russian aggression.Ms. von der Leyen, who celebrated that solidarity in her remarks, did not exactly warm up the audience for Mr. Liu. She accused the Chinese government, in its drive to dominate the clean-energy industries of the future, of unfairly subsidizing its companies at the expense of Europe and the United States.“Climate change needs a global approach,” she said in a chiding tone, “but it needs to be a fair approach.”Mark Landler More

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    ‘La French Tech’ Arrives Under Macron, but Proves No Panacea

    The president has brought innovation, jobs and growth. Still, resentments fester on the eve of the presidential election.PARIS — In full Steve Jobs mode, President Emmanuel Macron of France donned a black turtleneck in January and took to Twitter to celebrate the creation in France of 25 “unicorn” start-ups — companies with a market value of over 1 billion euros, or almost $1.1 billion.He declared that France’s start-up economy was “changing the lives of French people” and “strengthening our sovereignty.” It was also helping to create jobs: Unemployment has fallen to 7.4 percent, the lowest level in a decade.The start-up boom was a milestone for a young president elected five years ago as a restless disrupter, promising to pry open the economy and make it competitive in the 21st century.To some extent, Mr. Macron has succeeded, luring billions of euros in foreign investments and creating hundreds of thousands of new jobs, many in tech start-ups, in a country whose resistance to change is stubborn. But disruption is just that, and the president has at the same time left many French feeling unsettled and unhappy, left behind or ignored.As Mr. Macron seeks re-election starting on Sunday, it is two countries that will vote — a mainly urban France that sees the need for change to meet the era’s sweeping technological and economic challenges, and a France of the “periphery,” wary of innovation, struggling to get by, alarmed by immigration and resentful of a leader seen as embodying the arrogance of the privileged.Which France shows up at voting booths in greater numbers will determine the outcome.Campaign posters on display this month in the northeastern French town of Stiring-Wendel.Andrea Mantovani for The New York TimesIn many Western societies, the simultaneous spread of technology and inequality has posed acute problems, stirring social tensions, and France has proved no exception. If the disenchanted France prevails, Marine Le Pen, the perennial candidate of the nationalist right, will most likely prevail, too.Worried that he may have lost the left by favoring start-up entrepreneurship and market reforms, Mr. Macron has in the past week been multiplying appeals to the left, resorting to phrases like “our lives are worth more than their profits” to suggest his perceived rightward lurch was not the whole story.He told France Inter radio that “fraternity” was the most important word in the French national motto, and said during a visit to Brittany that “solidarity” and “equality of opportunity” would be the central themes of an eventual second term.Learn More About France’s Presidential ElectionThe run-up to the first round of the election has been dominated by issues such as security, immigration and national identity.On the Scene: A Times reporter attended a rally held by Marine Le Pen, the far-right French presidential candidate. Here is what he saw.Challenges to Re-election: A troubled factory in President Emmanuel Macron’s hometown shows his struggle in winning the confidence of French workers.A Late Surge: After recently rising in voter surveys, Jean-Luc Mélenchon could become the first left-wing candidate since 2012 to reach the second round of the election.A Political Bellwether: Auxerre has backed the winner in the presidential race for 40 years. This time, many residents see little to vote for.The pledges looked like signs of growing anxiety about the election’s outcome. After several months in which Mr. Macron’s re-election had appeared virtually assured, the gap between him and Ms. Le Pen has closed. The leading two candidates in Sunday’s vote will go through to a runoff on April 24.The election will be largely decided by perceptions of the economy. In Mr. Macron’s favor, the country has bounced back faster than expected from coronavirus lockdowns, with economic growth reaching 7 percent after a devastating pandemic-induced recession.Marine Le Pen speaking this month in Stiring-Wendel.Andrea Mantovani for The New York TimesThe most significant cultural transformation has come in the area of tech, where Mr. Macron’s determination to create a start-up culture centered around new technology has brought changes the government considers essential to the future of France.Cédric O, the secretary of state for the digital sector, wearing jeans and a white dress shirt, no tie, admits to being obsessed. Day after long day, he plots the future of “la French tech” from his spacious office at the Finance Ministry.Five years ago, that may have seemed quixotic, but something has stirred. “It’s vital to be obsessed because the risk France and Europe are facing is to be kicked out of history,” Mr. O, 39, said, borrowing a line often used by Mr. Macron. “We have to get back into the international technological race.”Toward that end, Mr. Macron opened Station F, a mammoth incubator project in Paris representing France’s start-up ambitions, and earmarked nearly €10 billion in tax credits and other inducements to lure research activity and artificial intelligence business. A new bank was created to help finance start-ups.The president wined and dined multinational chief executives, creating an annual gathering at Versailles called “Choose France.”Since 2019, France has become the leading destination for foreign investment in Europe, and more than 70 investment projects worth €12 billion have been pledged by foreign multinationals at the Versailles gatherings, said Franck Riester, France’s foreign trade minister.In the past four years, IBM, SAP of Germany and DeepMind, the London-based machine learning company owned by Google’s parent, Alphabet, have increased investment in France and created thousands of jobs.Station F, a mammoth project in Paris that represents France’s start-up ambitions.Roberto Frankenberg for The New York TimesFacebook and Google have also bolstered their French presence and their artificial intelligence teams in Paris. Salesforce, the American cloud computing company, is moving ahead with over €2 billion in pledged investments.“Macron brought a culture shift where France was suddenly open to the world of funders,” said Thomas Clozel, a doctor by training and the founder in 2016 of Owkin, a start-up that uses Artificial Intelligence to personalize and improve medical treatment. “He made everything easy for start-up entrepreneurs and so changed the view of France as an anticapitalist society.”François Hollande, Mr. Macron’s Socialist Party predecessor, had famously declared in 2012: “My enemy is the world of finance.” As a result, Mr. Clozel said, securing funds as a French start-up was so problematic that he chose to incorporate in the United States.No longer.“Today, I am thinking of reincorporating in France,” he said. “The ease of dealing with the government, the consortium of start-ups helping one another, and the new French tech pride are compelling.”Among the start-ups that have had a significant effect on French life are Doctolib, a website that allows patients to arrange for medical appointments and tests online, and Backmarket, an online market for reconditioned tech gadgets that just became France’s most valuable start-up, at $5.7 billion.They began life before Mr. Macron took office, but have grown exponentially in the past five years.“I have made 56 investments in the last two years, and 53 of them are in France,” said Jonathan Benhamou, a French entrepreneur who founded PeopleDoc, a company that simplifies access to information for human resources departments.Now funding new ventures and focusing on a new start-up called Resilience in the field of personalized cancer care, Mr. Benhamou credits Mr. Macron with “giving investors confidence in stability and creating a virtuous cycle.”Talented engineers no longer go elsewhere because there is an “ecosystem” for them in France, Mr. O said.Yellow Vest protesters blocking a road in Caen, in France’s Normandy region, in November 2018.Charly Triballeau/Agence France-Presse — Getty ImagesMr. Macron has insisted that opening the economy is consistent with maintaining protections for French workers and that the arrival of la French tech does not mean the embrace of the no-holds-barred capitalism behind the churn of American creativity.Despite the president’s overhauls, France remains one of the most expensive countries for payroll taxes, according to the Organization for Economic Cooperation and Development, with hourly labor costs of nearly €38, close to levels seen in Sweden, Norway and other northern European countries.“We know that we have to go further,” Mr. Riester, the foreign trade minister, said in a recent interview. “We still have some brakes that could be taken off the economy, and we have to cut some red tape in the future.”Who Is Running for President of France?Card 1 of 6The campaign begins. 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