TL:DR – OECD Chief Mathias Cormann Urges EU Leaders to Heed Mario Draghi’s Recommendations
• Mathias Cormann, head of the OECD, spoke at the World Governments Summit in Dubai on 3 February 2026 about EU economic challenges.
• Cormann urged EU leaders to heed Mario Draghi’s recommendations for structural reform in response to tariffs.
• Draghi advocates for the EU to operate as a “true federation,” a view he reiterated on 3 February.
• EU leaders will meet next week in Belgium, with Draghi attending at António Costa’s invitation.
• The OECD highlighted concerns over Chinese trade practices and market distortions affecting the EU.
Europeans ‘would do well listening to Mario Draghi,’ OECD chief says
European leaders should heed the advice of Mario Draghi as they seek solutions to the challenges posed by tariffs on the European Union’s economy, according to Mathias Cormann, Secretary-General of the Organisation for Economic Co-operation and Development.
Speaking at the World Governments Summit in Dubai on February 3, 2026, Cormann emphasised the urgency of navigating the EU’s structural challenges in an evolving trade landscape.
Cormann pointed out that the EU is a “uniquely successful story,” but must adapt to new global dynamics where international rules are increasingly scrutinised. He remarked that Draghi’s insights, presented in a 2024 report advocating for radical changes in the EU’s functionality, are critical at this juncture.
Draghi recently reiterated his call for the EU to operate as a “true federation,” moving beyond the current framework of individual nation-states.
Mathias Cormann Highlights Draghi’s Leadership
“Mario Draghi is an exceptional leader,” Cormann told Euronews. He encouraged EU leaders to “listen very carefully” to Draghi’s recommendations. Cormann remarked on the pressures facing Europe, stating, “The EU has to position itself in the best possible way in evolving circumstances.”
He also noted that European Union leaders will convene at an informal retreat next week in Belgium, with Draghi invited by European Council President António Costa.
In a previous interview with Euronews, António Costa indicated that he expects the leaders to provide “clear political guidance” regarding the largely unimplemented recommendations of Draghi’s report, which warned that the EU could face “slow agony” without transformative change.
Draghi has advocated for collective initiatives, including joint borrowing among EU member states for significant projects.
Trade Relations Amid Global Tariff Challenges
Cormann also addressed the impact of tariffs, asserting that trade remains a beneficial aspect of global relations despite the challenges posed by the US government’s trade policies. He highlighted that appetite for international cooperation persists, even as tariffs have been introduced.
Additionally, Cormann raised concerns about market distortions attributed to China’s trade practices. He noted that the European Union has urged Beijing to tackle its increasing trade deficit and warned of a potential “second China shock.”
“There are areas where we are concerned about market-distorting practices and excessive levels of state subsidies,” Cormann stated, emphasising the preference for alignment with market-based practices.