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EU
President Donald Trump has threatened a 100% tariff on goods from any country, particularly targeting European nations, that implement taxes on digital services provided by US companies. This escalation comes as countries seek revenue in increasingly digital economies, with unresolved tensions over digital tax regulations.
Europol reported a significant rise in organised crime within the EU, identifying 731 active criminal networks comprising over 400,000 members. Drug trafficking remains predominant, with cybercrime rapidly increasing. Law enforcement aims to dismantle these networks by targeting their financial structures and promoting cross-border collaboration.
The European Commission proposed excluding military-age Ukrainian men from its temporary protection scheme, extending the initiative until March 2028. This recommendation aims to strengthen Ukraine’s armed forces, reflecting integration challenges and Kyiv’s needs amid ongoing martial law prohibiting most men aged 23 and older from leaving Ukraine.
The European Commission’s “Defence Readiness Omnibus” aims to streamline defence procurement and enhance production amid security threats. Although key negotiations are ongoing, concerns about eligibility criteria and national sovereignty persist, complicating efforts to fortify Europe’s defence capabilities ahead of looming challenges.
EU IMPORTS CONCERNS
This morning, Europe addresses rising dependence on imports amid fears of economic instability and potential geopolitical shocks.
Urgent discussions expected on trade strategies.
The European Union is enhancing its preparedness for future quarantine measures, recognising the need for improved strategies since previous crises. Although a unified playbook remains absent, recent steps aim to bolster the EU’s response capabilities moving forward.
A conservative win in Andalusia’s recent regional election highlights Spain’s rightward shift, as the Socialist Party loses ground. This trend underscores a growing divide between Pedro Sánchez’s progressive image abroad and his waning local support amidst increasing challenges for his administration.
The European Commission is intensifying efforts to protect EU industries amid a surge in Chinese imports, which have caused the trade deficit with China to reach €359.9 billion in 2025. Upcoming discussions on 29 May will address strategies to mitigate overreliance on Chinese production.
Hungary has signalled readiness to engage with Ukraine under new Prime Minister Péter Magyar, aiming to resolve issues concerning the Hungarian minority in Transcarpathia. Discussions may pave the way for lifting Budapest’s veto on Ukraine’s EU accession, contingent on guarantees for minority rights.
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