Macron, Scholz tackle tensions in 'constructive' meeting

French President Emmanuel Macron hosted German Chancellor Olaf Scholz for lunch Wednesday, with both sides saying they made progress towards easing differences on energy and defence dogging the European Union's vital double act.

The two leaders were "of one mind on the major directions" of policy, a German diplomatic source said after the meeting, while a source in the French presidency called it "very constructive".

"Today was a very good and important conversation on European energy supply, rising prices and joint arms projects," Scholz tweeted.

"Germany and France stand close together and are tackling challenges jointly".

Macron and Scholz were at pains to put on a show of friendliness as Scholz climbed out of his black Mercedes on arrival, with both smiling and shaking hands.

The pair spoke for around an hour longer than planned, including a one-on-one session without advisors.

The German source said they discussed issues including "European energy policy, national energy policies, economic development, defence, space and foreign policy".

Meanwhile the French presidency said the talks were "in a spirit of very close cooperation for the medium- and long-term".

But Macron and Scholz did not appear before journalists to announce any joint decisions or take questions.

Recent weeks had seen growing signs of discord between Berlin and Paris, under pressure from Russia's invasion of Ukraine and its knock-on effects especially on energy markets.

Berlin's move to spend up to 200 billion euros ($200 billion) subsidising soaring gas prices and refusal to consider an EU-wide energy price cap nettled Paris and other European capitals, who fear the effect on their energy costs.

On defence, France is rattled by German plans for a shared missile shield with other NATO nations using American equipment, while longer-term projects to jointly develop new fighter jets and tanks appear stalled.

A big-spending "new era" of German defence policy announced by Scholz following the Russian attack has not translated into major contracts within Europe, especially for French firms as Macron hoped.