EU

European industries face significant challenges amid the upcoming Trump-Xi summit, with concerns that a potential US-China deal could prioritise American access to rare earths, leaving Europe vulnerable. As critical supply chains are manipulated, Brussels prepares for potential economic fallout and intensified competition with cheaper Chinese products.

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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.

EUROPE MORNING BRIEFING

This morning, polling stations in Italy remain open for a two-day referendum on judicial reform, with voter turnout at 14.88%. The outcome will significantly impact Prime Minister Giorgia Meloni’s government ahead of national elections.

EUROPE MORNING BRIEFING

This morning, Hungarian Prime Minister Viktor Orbán addressed attendees at a CPAC event in Budapest, emphasising a global right-wing realignment and their challenge against progressive forces within the European Union.
Overnight, Czech Prime Minister Andrej Babis returned to Prague due to a suspected arson incident at a drone factory.

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