EU

Three MEPs are set to propose stricter foreign direct investment requirements in the EU, particularly targeting Chinese investors. Their report, tied to the Industrial Accelerator Act, aims to safeguard strategic sectors by mandating new thresholds and conditions for investments exceeding €50 million.

Latvia has banned the import of books, newspapers, and printed materials from Russia and Belarus, citing concerns over disinformation and war propaganda. This prohibition seeks to safeguard Latvia’s security interests and reduce ties with nations involved in aggression against Ukraine, effective from 1 September.

More than 3,500 film professionals, including stars like Javier Bardem and Juliette Binoche, signed a petition protesting Vincent Bolloré’s influence in France’s cinema industry. In response, Canal+ CEO Maxime Saada threatened to end collaborations with signatories, raising concerns over freedom of speech and workplace discrimination.

European Commission President Ursula von der Leyen and European Council President António Costa signed a modernised trade deal with Mexico at an EU summit, enhancing economic ties amid rising geopolitical tensions. This agreement opens markets for key sectors, supporting the EU’s diversification strategy and reducing reliance on the US and China.

Ireland’s Foreign Minister Helen McEntee warned that granting “associate membership” to Ukraine could hinder its EU accession momentum, risking a two-tier membership approach. This follows German Chancellor Friedrich Merz’s proposal aimed at overcoming a two-year stalemate in Ukraine’s EU bid.

The European Commission has downgraded its 2026 growth forecast for the EU economy to 1.1%, citing increased energy prices due to the Middle Eastern conflict. The eurozone outlook fell to 0.9%, reflecting risks from global energy market disruptions and escalating inflation, now expected to reach 3.1%.

Concerns about Europe’s security strategy intensify amid ongoing debates in the European Parliament over military spending. MEPs Lukas Mandl and Marc Botenga expressed starkly opposing views on investing billions in defence amidst geopolitical tensions, particularly Russia’s actions in Ukraine, highlighting Europe’s shifting military priorities.

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