Tag: European Union

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European Technological Sovereignty Package: EU Can Still Win the Battle for AI Adoption

European Technological Sovereignty Package

Today, Brussels presented the European Technological Sovereignty Package, a comprehensive collection of measures. In some areas, it focuses on updating existing legislation.

Europe intends to remain an open economy and avoid protectionism, emphasized European Commissioner for Tech Sovereignty Henna Virkkunen. “But it must also be able to make its own choices.” Currently, that is not happening enough because more than 80 percent of the digital products and services used in Europe are purchased from outside the EU. This is the result of decades of choices, she noted, which caused Europe to “consume more than it produces.”

European Technological Sovereignty Package

Key Highlights of the Package

It is too late for Europe to become a global leader in AI development. That ship has sailed. However, the EU could still “win the battle for AI adoption and implementation,” according to the Commission. In terms of applying AI, businesses and citizens in the US and the EU barely differ. In fact, some European countries, such as Sweden, are further ahead than America.

The same reasoning applies to chips and semiconductors. Europe traditionally possesses a strong industrial base. The Commission believes this base must recover and strengthen by utilizing more AI and chips. To achieve this, greater security of supply is required. Several measures aimed at strengthening the sector and increasing Europe’s market share in semiconductor production will be included in an updated law, the Chips Act 2.

There is a strong desire to prevent “Nexperia scenarios.” This means preventing supply disruptions of small chips from disrupting the European automotive industry. European companies should always have at least two suppliers available from which to source crucial components.

All Europeans must transition to smart energy meters to help conserve energy. The European Commission is making it easier to share energy consumption data within Europe.

Data center capacity in Europe needs to triple over the next five to seven years. Every country should designate areas for data centers because the demand for computing power is growing much faster than the supply in Europe. If this remains unchanged, dependency on non-European cloud service providers will continue to increase. It is an illusion to think that you can continue to digitalize without building data centers, Commissioner Virkkunen stated. “Using a smartphone without a data center is like putting your phone on airplane mode.”

There will be no “Buy European” mandate for IT services in the European Union. However, when issuing public tenders, governments will be required to consider whether their purchases provide “added value for Europe.” This criterion can apply to all areas, ranging from investments and jobs to access to rare technology.

The Commission has established a four-tier sovereignty scale for cloud services. For a small portion of the most sensitive government data, such as judicial evidence and sensitive defense data, only tier-four services may be used. These will exclusively be European providers. Non-European providers may be hired for tier-three data traffic and management following an assessment by the European Commission. This will be extremely difficult for US companies, Virkkunen noted. According to Commission sources, approximately 70 percent of government work falls into “tier 1.” This implies that, in practice, little will need to change regarding the use of US cloud services by governments.

The European Commission wants to provide extra incentives for prototype development. Currently, a significant amount of EU funding goes toward research. However, when companies want to develop products based on that research to capture markets, they often move to the US in search of investors. The playing field for these startups and scale-ups should change by allocating EU funds differently, focusing more heavily on product development.

The European Commission wants to enable EU member states to share data center capacity without undergoing procurement procedures. This would allow them, for example, to back up sensitive government data in a neighboring country and vice versa. The term being used for this concept is “digital embassies.”

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Europe Over-Regulating AI, Warns Top Tech CEO

AI Act Europe

​The European Union is stifling artificial intelligence innovation and pushing tech companies out of the region with burdensome rules, warned Christophe Fouquet, CEO of ASML.

​As the head of Europe’s most valuable tech company, Fouquet noted that the bloc’s restrictive regulatory approach is out of touch with actual industry needs. ASML, valued at 515 billion euros and based in the Netherlands, manufactures the highly advanced lithography machines required to print the world’s most sophisticated microchips. These chips power everything from smartphones and data centers to the complex AI models currently transforming the global economy.

​A Growing Rift Over the AI Act

In an exclusive interview, Fouquet highlighted a growing divide between Brussels policymakers and major industrial leaders. He specifically criticized the EU’s landmark AI Act, pointing out that European authorities are imposing strict boundaries before local companies have even had a chance to build competitive products.

​”We didn’t start running, we didn’t start even walking, and we already had in front of us all the obstacles to not be able to make even the first step,” Fouquet stated, adding that this approach does not serve the industry.

​The disconnect is highly visible in ASML’s own commercial data. An astonishing 99 percent of the company’s machine sales currently come from outside of Europe.

​This warning follows a joint letter sent to European Commission President Ursula von der Leyen by a coalition of Europe’s largest industrial giants, including ASML, Airbus, Ericsson, Nokia, and Siemens. The companies collectively warned that over-regulation risks permanently hobbling European firms in the face of intense competition from American and Chinese rivals.

​The Problem with Subsidizing Supply Without Demand

​While EU policymakers recently introduced an “omnibus” simplification package to ease some rules for industrial AI applications, Fouquet dismissed the logic of creating overly complex legislation just to scale it back later. Instead, he urged Brussels to collaborate directly with businesses when drafting industry frameworks.

​Fouquet also cautioned against the EU’s upcoming tech sovereignty package, which aims to build up domestic data centers and microchip factories. He argued that spending massive amounts of public subsidies on manufacturing plants is pointless without first stimulating local market demand for AI applications and cloud infrastructure.

​As an example, he pointed to Intel’s collapsed project to build an advanced chip factory in Germany. Fouquet noted that because Europe currently lacks a robust ecosystem of companies utilizing ultra-advanced chips, any wafers produced by such a factory would simply end up being exported to the United States.

​In response to the criticism, European Commission spokesperson Thomas Regnier defended the legislation, stating that the AI Act ultimately fosters investment by increasing consumer and industry trust. He emphasized that the recently updated rules offer clearer timelines and a more innovation-friendly environment for European tech companies.

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The Fragmentation of Global Order: Transatlantic Divergence and the Reconfiguration of Regional Alliances

Fragmentation Global Order

The contemporary international landscape is undergoing a profound structural transformation characterized by the erosion of traditional transatlantic cohesion and the emergence of new strategic alignments.

Recent shifts in United States foreign policy (specifically regarding the escalation of conflict with Iran and the subsequent closure of the Strait of Hormuz) have acted as a catalyst for global realignment. By analyzing the diplomatic outcomes of the European Political Community (EPC) summit in Yerevan, I am exploring the dual phenomena of non-Western tilt toward Russo Chinese influence and the simultaneous consolidation of Western middle powers around the European Union’s institutional framework.

Fragmentation Global Order

Introduction

The onset of military hostilities against Iran, initiated by the Trump administration with Israeli support, has triggered a series of systemic shocks that extend far beyond the Middle East. The resulting maritime blockade of the Strait of Hormuz has disrupted global energy and fertilizer supply chains, forcing a pragmatic reorientation of trade policies in the Indo Pacific. Concurrently, the decision to withdraw substantial military contingents from Germany and Romania has signaled a retreat from the post Cold War security architecture, prompting a re evaluation of the European Union’s role as a primary security guarantor for democratic states.

The Pragmatic Pivot: Energy Security and Russian Influence

Data from recent trade agreements suggests that Asian and Middle Eastern powers are increasingly prioritizing resource security over normative alignment with Western sanctions. The disruption of traditional supply routes has led nations such as India, Indonesia, and the Philippines to strengthen ties with Moscow.

  • Industrial Infrastructure: The joint development of urea production facilities between India and Russia indicates a long-term strategic commitment to agricultural stability.
  • Nuclear Energy Expansion: The ratification of contracts for nuclear power plant construction in Vietnam and Myanmar signifies a shift toward Russian technological dependence in the energy sector.
  • Resource Pragmatism: Negotiations involving Thailand and the UAE regarding Russian fertilizer imports demonstrate that the “aggressor” narrative prevalent in EU discourse fails to resonate in regions where domestic food and energy security are at stake.

Strategic Sentiment and Historical Path Dependency

The resilience of Russian and Chinese influence in the Global South can be attributed to deep seated anti Western and anti colonial sentiments. For many former colonies and erstwhile communist states, the perception of Russia as a counterweight to Western hegemony remains potent. China, under President Xi Jinping, leverages this sentiment to challenge the existing world order. The “century of humiliation” serves as a foundational narrative for Beijing’s current strategy: ensuring that Russia does not face a strategic defeat in Europe, which would otherwise bolster Western dominance and impede the transition to a multipolar system.

The Yerevan Summit: The EU as a Normative Anchor

In contrast to the shift toward Moscow in Asia, the European Political Community (EPG) summit in Yerevan (May 2026) demonstrated an unexpected level of European and “Western aligned” consolidation. The choice of venue (a former Soviet republic) served as a symbolic rejection of Russian regional hegemony.

A significant development was the participation of Canadian Prime Minister Carney, marking the first time a non-European leader joined the EPG. This move signals a search for strategic alternatives to the United States among traditional allies. Under the leadership of European Council President António Costa and figures such as Macron and Von der Leyen, the EU is increasingly viewed as a primary bastion of the international rule of law.

Conclusion: The Erosion of US Hegemony

The current trajectory of US foreign policy (defined by the instrumentalization of military withdrawals as political punishment, such as the drawdown of troops in response to Chancellor Merz’s criticism) is inadvertently accelerating American isolation. While the White House may perceive these actions as exercises of power, the systemic result is the fragmentation of the global order.

Trump’s policies have not only driven key regional players into the Russo Chinese orbit but have also forced a consolidation of Western powers around the European Union, potentially diminishing the long term geopolitical leverage of the United States.

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The Price of Plenty: Is Norway’s Wealth Becoming a Burden?

Norway too rich

While most nations strive for economic growth, Norway presents a unique paradox: a country so affluent that its success may be eroding its future resilience. The nation’s immense oil wealth has created a society where financial constraints feel like a relic of the past, but this “unlimited” budget is starting to show significant side effects.

Is Norway getting too Rich

A Monument to Excess

Oslo’s skyline is dominated by the Munch Museum, a 13-story architectural marvel of glass and aluminum. While it stands as a tribute to Scandinavia’s artistic heritage, it also serves as a symbol of Norwegian fiscal extravagance. The project was completed a decade late and ran €184 million over its initial budget. In Norway, such astronomical costs are often met with a shrug; when you are this rich, efficiency often takes a backseat to ambition.

The Sovereign Safety Net

Norway’s economic engine is its €2.02 trillion sovereign-wealth fund. To put that in perspective, roughly 368,000 stashed away for every one of its 5.6 million citizens. This fund bankrolls one of the most comprehensive welfare systems on the planet and maintains a GDP per capita of approximately €82,800, surpassed only by a few tax havens and city-states.

However, a new sentiment is emerging. Critics, including economist Martin Bech Holte, author of The Country that Became Too Rich, argue that this safety net has become a “gilded cage.” The concern is that the constant flow of oil money is distorting the behavior of politicians and citizens alike, leading to a culture of complacency.

Political Profligacy and Reform Inertia

The wealth fund was designed to invest abroad to prevent domestic inflation, with only small portions funneled back into the national budget. Yet the scale of this “payout” has exploded. In 2008, the government drew about €5.9 billion from the fund; by 2025, that figure reached €36.8 billion, covering a fifth of all public spending.

This reliance on “easy money” has led to several systemic issues:

  • Delayed Reforms: Despite healthcare costs being 30% higher than the EU average, there is little pressure to modernize or streamline hospitals.
  • Lack of Accountability: Lawmakers often skip rigorous cost-benefit analyses for new projects.
  • High External Spending: In 2023, Norway allocated €230 billion (half of its total tax revenue from labor and capital) to foreign aid and climate initiatives, a ratio far higher than that of other developed nations.

The Social Cost of Security

The abundance of wealth has also impacted the private lives of Norwegians. Household debt is the highest in Europe at 250% of annual income, largely because citizens feel the state will always be there to catch them.

In the labor market, the effects are even more pronounced:

  • Education Inflation: With free higher education and generous stipends, many Norwegians stay in school well into their adulthood. This has led to a “hyper-educated” workforce where 70% of unskilled service workers hold master’s degrees.
  • Youth Unemployment: Joblessness among Norwegians in their 20s is double that of neighboring Denmark.
  • Stagnating Productivity: As the drive to innovate weakens, worker productivity has plateaued and real wages have begun to dip.

The 6% Gamble

The prevailing theory in Oslo is that if the fund’s returns exceed 6% annually, the country can maintain this lifestyle indefinitely, even after the oil runs out. But this is a dangerous gamble. If global markets underperform or AI fails to deliver a massive productivity boost, those returns may vanish.

More importantly, wealth cannot replace the social value of a functional economy. When a government no longer needs to justify its spending to taxpayers, accountability fades. When citizens no longer feel the necessity of work or saving, the spirit of innovation withers. Norway’s greatest challenge in the coming decades may not be managing its poverty but surviving its prosperity.

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Experts Issue Warning: Europe’s Defense Billions Are Being Misspent

In the coming years, Europe will invest billions more in defense. Although spending is at an all-time high, experts warn of three critical mistakes that could cause these funds to evaporate without genuinely improving security.

Europe's Defense Spending

Inefficient Procurement and Dependency

Europe now spends nearly 400 billion dollars annually on defense. Notably, Europe’s spending within the Nato alliance has now surpassed that of the United States.

However, this does not translate into proportional military capability. Due to the lack of a unified approach, each country procures its own equipment, resulting in Europe having four times as many different weapon systems as the US. Moritz Schularick of the Kiel Institute emphasizes that despite outspending America, Europe remains entirely dependent on the US.

Buying Yesterday’s Weapons

​Recent exercises in Estonia revealed that European allies are unprepared for modern warfare involving drones. While significant funds are allocated to conventional weapons, venture capital investment in defense innovation like AI is eight times higher in the US. Schularick argues that Europe should stop ordering manned systems and instead invest in the autonomous military vehicles of the future.

Neglecting Diplomacy

Experts note that increased defense spending often comes at the expense of diplomacy. For every 42 euros spent on weapons, only 1 euro is allocated to diplomatic consultation. Neglecting conflict prevention and structural issues like climate change could lead to greater long-term instability and migration flows toward Europe.

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​The European Onion: A Layered Strategy for a Continent in Search of its Path

The European Onion

​For decades, the dream of a “United States of Europe” has been the North Star for federalists in Brussels. They marched under various banners, Communities, Unions, and Councils, always pushing for a singular, synchronized leap toward integration. However, the reality of 2026 suggests a different path. We are witnessing the birth of what some playfully call the “European Onion”: a multi-layered, pragmatic model of continental cooperation.

The European Onion
The European Onion

Beyond the One-Size-Fits-Old Model

​The traditional EU approach, where every member must move at the same speed, is increasingly hitting a wall. In a geopolitical climate that demands rapid responses, the “slowest member” rule has become a liability. Whether it is military autonomy, trade policy, or technological independence, Europe can no longer afford to wait for total consensus.

​The “Onion” metaphor, popularized by Belgian Prime Minister Bart De Wever, envisions a Europe of concentric circles:

  • ​The Core (The Kernel): A pioneering group of “heavy hitters”, like the E6: France, Germany, Italy, the Netherlands, Poland, and Spain, pushing for deeper economic and military integration.
  • ​The Inner Layers: Countries participating in the Single Market and Schengen but perhaps opting out of certain federalist deeper dives.
  • ​The Outer Layers: Strategic partners like Ukraine or even the UK, who require a functional relationship with the bloc without immediately meeting every rigid bureaucratic standard.

​Pragmatic Federalism in Action

​We are already seeing this “variable geometry” take shape. When financial aid or security measures are blocked by a small minority, “coalitions of the willing” simply move forward. This is not about creating second-class citizens; it is about pragmatic federalism.

​History shows that where pioneers lead, others eventually follow. The Euro and the Schengen Area both started as smaller projects before becoming continental standards. By allowing a vanguard to forge ahead, we prevent the entire European project from ending in tears due to inertia.

If the current structure of the EU is too rigid for the modern world, we must be bold enough to peel back the layers and redesign it. A multi-speed Europe is not a sign of weakness; it is a strategy for survival.

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Facing Persistent American Threats, Macron Advocates for “European Preference” in Strategic Sectors

Macron Calling for Joint European Investment in Strategic Sectors

​In the face of competition from the United States and China, Emmanuel Macron is calling for “joint investment.” In an interview with several European newspapers, the French President invited his European counterparts to invest in the ecological transition, artificial intelligence, and quantum computing to avoid being left behind.

Macron Calling for Joint European Investment in Strategic Sectors
Macron Calling for Joint European Investment in Strategic Sectors

A Call for Sovereignty and Shared Debt

​”For nine years, I have advocated for a more sovereign Europe,” Macron stated this Tuesday, February 10, just two days before a meeting of EU heads of state and government in Brussels. The President believes that trade threats and “intimidation” from the United States are not over. He warned that the twenty-seven member states will be “swept away” if they do not establish a European preference in strategic sectors.

​To cement European power, Macron is pushing for a common debt capacity to fund future expenditures (Eurobonds). This joint borrowing would finance strategic investments and allow the European Union to “tackle the hegemony of the dollar.”

​Three Key Battles

​Macron identified three critical areas where Europe must act within the next three to five years to remain relevant:

Security and Defense

​Green Transition Technologies

​Artificial Intelligence and Quantum Computing

“In all these areas, we invest much less than China and the United States,” Macron explained. He estimates the required public and private investment at approximately €1.2 trillion per year. He emphasized that these efforts must be collective rather than national to avoid fragmenting the internal market.

​Consistent Protection, Not Isolationism

​Regarding protectionism, Macron clarified that the goal is consistency rather than isolation. “The Chinese do it, the Americans do it too. Europe is currently the most open market in the world.” He argued that it is illogical to impose strict rules on European producers that do not apply to non-European importers.

​He cited several examples of this new direction:

  • ​Opposing the EU-Mercosur trade agreement, which he labeled a “bad deal.”
  • ​Implementing taxes on over-subsidized Chinese electric vehicles.
  • ​Introducing safeguard clauses on steel.
  • ​The recently presented “Car Plan” by the Commission, which features a clear European preference.
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The ‘Impoverishment’ of the French Economy: The ‘Argentina of Europe’

French Economy in Decline

The French economy has long been the problem child of the European Union. With the recently passed budget by Prime Minister Lecornu, little seems set to change. Economists and professors are increasingly alarmed by the state of France’s finances. “Our country has become the Argentina of Europe. France is trapped in a hellish spiral leading it toward third world status,” warns Nicolas Baverez, a renowned French economist.

French Economy in Decline © Roel Thijssen 2026
French Economy in Decline

The current state of the French economy is clearly reflected in its inflation figures. While inflation in many European economies has stabilized around 2%, Paris reports an unexpectedly low figure of 0.4%. For years, France has struggled with sky high national debt, while the budget deficit continues to spiral out of control. Attempts to tackle these deficits repeatedly hit a political dead end. Furthermore, major reforms never see the light of day because the French parliament is extremely divided, a situation that recent parliamentary elections have failed to resolve.

​A Tax Trap

​The core of the problem is that potential tax hikes may not provide a way out. Although they increase revenue, the national debt will continue to grow as long as government spending remains unchecked.

​Frédéric Douet, a professor of private law, observes how France is “slowly impoverishing” due to “consistent policies that are both costly and inefficient.” Writing in an op ed for Le Figaro, he expressed his disdain: “The mantra of our technocrats and politicians is that higher taxes will solve our problems.”

​High Unemployment and Low Productivity

​These concerns are well founded. For the third consecutive year, France’s GDP per capita has fallen below the European average. Additionally, inflation sits far below the eurozone average, and the country faces significantly higher unemployment than the EU mean. Baverez warns that raising taxes will be counterproductive, pushing more people into poverty without necessarily generating immediate revenue.

​Baverez believes increased productivity is the only solution. He points out that the French enter the workforce relatively late and have short careers. On average, the French start working at age 22.5 and retire at 62.5. This stands in stark contrast to life expectancy, which is 80 for men and 85.6 for women. Furthermore, the French work an average of only 679 hours per year, while other major European economies see between 715 and 780 hours. In the Netherlands, that figure reaches 837 hours (link to Eurostat). See the chart for 2024 here.

​Billion Euro Tax Burden

​The economist is also critical of the tax measures in the new budget, which aims to raise an additional 44 billion euros, including 12 billion euros from the corporate sector. Baverez warns that these plans accelerate France’s “financial suffocation” and create “the conditions for a major financial shock.” If France continues on this path, he fears the country will “no longer be among the world’s ten largest economies” by the end of this decade.

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Former ECB President Mario Draghi Calls for a Federal Europe: “We Must Decide if We Want to Become a True Global Power”

Mario Draghi

Europe must transform into a federation to survive in a world where the United States and China are rewriting the rules of the game. This was the core message from Mario Draghi, former President of the European Central Bank (ECB) and former Prime Minister of Italy. “We must decide whether we want to become a global power or remain subject to the priorities of others.”

Mario Draghi - May 2021

Mario Draghi

Mario Draghi advocates for a European federation to stand firm against superpowers like the US and China. Receiving an honorary doctorate at the University of Leuven (Belgium), Draghi argued that Europe must choose between being a market subservient to outside interests or becoming a sovereign global force. He proposes “pragmatic federalism,” where willing nations start building joint institutions with real decision-making power in specific sectors.

​The Collapse of the Old World Order

​During his acceptance speech at KU Leuven, the man credited with saving the euro did not mince words regarding Europe’s precarious global standing. Draghi noted that the global order, which underpinned European prosperity for decades, has permanently collapsed. This shift is driven by the changing stances of major powers.

​”Beijing controls critical points in global supply chains and does not hesitate to use that power as leverage,” Draghi remarked. “Meanwhile, our traditional ally, the US, is increasingly focused on its own costs and less on the mutual benefits derived from cooperation with Europe.”

​”We are facing a future where Europe risks becoming
simultaneously subordinate, divided, and deindustrialized.”

Mario Draghi

​From Confederation to Federation

​To counter these threats, Draghi insists Europe must move away from its current model as a confederation (a loose collection of states with veto powers) and evolve into a true federation, effectively a “United States of Europe.”

​”A group of states that merely coordinates remains just a group of states,” he argued. “We must decide: do we remain just a large market subject to the priorities of others? Or do we take the necessary steps to become a global power?”

​He pointed out that while Europe acts as a unified bloc in trade, competition, and monetary policy (earning respect as a global player) it remains a “loose collection of mid-sized states” in areas like defense and foreign policy. This fragmentation makes the continent vulnerable to being “picked off one by one” by superpowers.

​The Greenland Precedent

​Draghi cited Europe’s military deployment to Greenland as a prime example of successful unity. This move followed repeated suggestions by U.S. President Donald Trump regarding placing the island under American authority.

​”By acting together against a direct threat, Europeans discovered a level of solidarity that previously seemed unattainable,” Draghi noted. He believes this shared determination resonated far more with the public than the typical declarations following European summits.

​Pragmatic Federalism

​Draghi’s solution is “pragmatic federalism.” This approach does not require every nation to hand over power in every sector immediately. Instead, he suggests that countries willing to cooperate should lead the way in specific domains such as energy, technology, or defense.

​”As Robert Schuman said in 1950, Europe will not be built all at once,” Draghi reminded his audience. “Not all countries will participate in every initiative from the start. The door remains open to others, but not to those who would undermine the common goal.”

​His vision involves building common institutions with genuine authority to act decisively under any circumstances. He pointed to the success of the Euro as the ultimate blueprint: a group of countries took the lead, built institutions with real authority, and created a bond of solidarity that goes deeper than any treaty.

Watch Mario Draghi’s speech in Leuven (from the 4th minute onwards):

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​EU and India Secure Landmark Free Trade Agreement After Decades of Talks

Trade Deal EU and India

​The European Union and India have reached a historic free trade agreement following nearly twenty years of negotiations. Described as one of the largest trade deals ever brokered, the pact establishes a trade zone encompassing two billion people.

Trade Deal EU and India

​”We have created a free trade zone for two billion people that will benefit both sides,” says European Commission President Ursula von der Leyen.

​Indian Prime Minister Narendra Modi echoed this sentiment, stating: “This agreement will unlock immense opportunities for India’s 1.4 billion citizens and millions across Europe.” Together, the EU and India account for 25% of the world’s gross domestic product (GDP).

​According to the Commission, the deal is expected to double European exports to India. However, the agreement still requires formal approval from EU Member States and the European Parliament before the new regulations take effect.

​Cars and Wine: Slashing Tariffs


​Trade in goods between the two blocs has already doubled over the past decade. This new treaty aims to eliminate approximately 90% of existing tariffs between Europe and India.

​The deal offers a significant boost to the European automotive industry, with Indian import duties on European cars set to plummet from 110% to just 10%. European winemakers also stand to gain, as tariffs on their products will drop from 150% to approximately 25%.

​Shifting Geopolitics: Seeking New Allies


​The timing of the accord is inextricably linked to the economic trajectory of the United States. The Trump administration recently imposed a 50% import tariff on India due to its trade in Russian oil, while simultaneously threatening the EU with new levies.

​In response, the EU and India are seeking to reduce their dependence on the U.S. by strengthening bilateral ties. “This is only the beginning,” Von der Leyen emphasized. “We will continue to expand and reinforce our strategic partnership, demonstrating to the world that rules-based cooperation still delivers exceptional results.”

​A Broader Trade Offensive


​The India deal is part of a wider EU strategy to secure global economic partnerships. Von der Leyen is also pushing for the swift implementation of the Mercosur agreement—a trade pact recently finalized with Brazil, Argentina, Uruguay, and Paraguay.

​The Mercosur deal has faced delays, however, as the European Parliament awaits a ruling from the European Court of Justice. Lawmakers have expressed concerns regarding the agreement’s impact on the competitive position of European farmers.

​Beyond India and Mercosur, the EU is actively negotiating deals with Australia, Malaysia, the Philippines, Thailand, and the United Arab Emirates. Recent agreements have already been secured with Indonesia and Mexico.

​The trade treaty with India is not yet final; it must still be ratified by India, the EU Member States, and the European Parliament.