Energy giant ExxonMobil sues EU to block energy windfall tax

US energy giant ExxonMobil is suing the European Union (EU) in a bid to stop its new windfall tax on oil firms.

A windfall tax is imposed on firms that benefited from something they were not responsible for.
Energy firms are getting much more money for their oil and gas, partly due to supply concerns after Russia’s invasion of Ukraine.

But Exxon has accused Brussels of exceeding its legal authority, calling the measure “counter-productive”.

ExxonMobil reported a quarterly profit of almost $20 billion (£17.3 billion) in October.

The company, along with other major players in the oil and gas sector, has argued that a crackdown, however, would discourage investment.