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EU
A Canadian national of Chinese origin, accused of espionage, will remain in pre-trial detention in Belgium. The Federal Prosecutor’s Office extended her detention by one month after rejecting her appeal, following her arrest linked to NATO’s Supreme Headquarters Allied Powers Europe amid an ongoing investigation.
Romania is poised to forfeit €770 million in EU funds after failing to agree on a public-sector salary law by the 31 August deadline, jeopardising its post-pandemic recovery plan. The European Commission will assess the impact during the final payment request review due by the end of September.
Dominique de Villepin, a former French prime minister, is poised to enter the 2027 presidential race, confirming his candidacy “once the election campaign has begun.” He dismisses participating in a primary as “the latest gimmick for the desperate,” while Olivier Faure plans to announce his entry into the Socialist Party’s primary.
EUROPE BRIEFING
This morning, the European Union focuses on energy funding and the impact of ongoing geopolitical tensions.
Discussions also include reform strategies for economic resilience.
High Representative Kaja Kallas has reiterated her rejection of direct talks between the European Union and Russia, emphasising that Moscow is preparing for a “long-term confrontation with the West.” Kallas highlighted the necessity of remaining resolute in the face of escalating military tensions.
US President Trump has intensified his criticism of German Chancellor Friedrich Merz, urging him to focus on the Russia-Ukraine conflict rather than the Iran war. Trump’s remarks follow Merz’s assertion that the US is being “humiliated” by Iran, and highlight ongoing tensions over NATO troop presence in Europe.
EU Trade Commissioner Maroš Šefčovič announced discussions with US counterparts about establishing a digital legislation forum, aiming to address concerns related to the EU’s Digital Services and Markets Acts. The US seeks to ease these regulations, linked to ongoing steel and aluminium tariff negotiations.
Belgium is negotiating with French energy group Engie to take control of its nuclear power plants, aiming to secure energy supplies. Prime Minister Bart de Wever confirmed plans to halt decommissioning operations while advocating for increased use of nuclear energy amid rising energy prices linked to global conflicts.
European defence spending surged by 14% in 2025, totalling €739 billion, with Germany becoming the largest investor after increasing its budget by 24% to €97 billion. This rise comes amid US pressure for NATO members to meet 5% GDP targets by 2035, marking the highest growth since the 1950s.
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