EU

The European Commission has retained its carbon border tax in a new plan for fertilisers, aimed at supporting farmers despite rising costs linked to carbon pricing. Commissioner Christophe Hansen stated the importance of maintaining competitiveness against cheaper imports while acknowledging the financial pressure on agriculture and food prices.

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Former German Chancellor Angela Merkel received the European Order of Merit on Tuesday. In her acceptance speech, she emphasised that Europe can no longer assume peace and security, highlighting concerns over Russia’s invasion of Ukraine and shifting US security policies that indicate a loss of established certainties.

Diplomats and MEPs reached an agreement to implement the EU-US pact, which removes duties on most US industrial goods imported into Europe. The deal follows US President Trump’s threat of 25% tariffs on EU cars, with MEPs negotiating terms amid ongoing tensions in transatlantic relations.

The European Commission is sending a high-level delegation to Budapest next week to assess Hungary’s progress in unlocking €10 billion in EU recovery funds. Following a change in government, Budapest faces a tight deadline to meet conditions related to rule of law and anti-corruption reforms by August.

Estonian Defence Minister Hanno Pevkur emphasised the need for accountability in the EU’s €90 billion loan to Ukraine, amidst an investigation into graft allegations involving a former Zelenskyy aide. Pevkur highlighted that Ukraine must demonstrate responsible fund usage to secure ongoing support from both Ukrainians and Europeans.

Between 40,000 and 70,000 people marched in Brussels on 12 May, protesting against the Belgian government’s “anti-social” reforms. Organised by three major trade unions, demonstrators highlighted issues of pensions, purchasing power, and wage indexation amid rising energy prices linked to the Middle East conflict.

The European Union plans to implement a ban on certain agricultural imports, just two weeks after the EU-Mercosur trade deal provisionally entered into force, liberalising agricultural trade despite strong opposition from farmers. This decision signifies ongoing tensions in global trade policies.

Austria has expelled three Russian diplomats following accusations of espionage linked to extensive antenna systems on Russian diplomatic buildings in Vienna. Foreign Minister Beate Meinl-Reisinger characterised the situation as a significant security issue, asserting that diplomatic immunity should not facilitate intelligence activities.

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