EU budget leaves health MEPs guessing at the prognosis
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Agree first, negotiate later
Eddy Wax Jul 31, 2025 08:13 10 min. read News Based on facts, either observed and verified directly by the reporter, or reported and verified from knowledgeable sources. Scoop ( generated by humans ): The European Commission has confirmed it is withdrawing its AI liability bill, meant to clarify who bears responsibility when AI causes harm. The move sparked backlash in Parliament when it was first shelved in February. The executive has backtracked on other bills it pulled, such as an anti-discrimination law. Euractiv's Maximilian Henning has the full story. Welcome to the Capitals by Eddy Wax, with Nicoletta Ionta. Feedback is welcome. I * Eddy * am around in Brussels for another week, and this newsletter is still rolling, so get in touch, share tips, tell me what's happening, and let's grab a coffee. Were you forwarded this newsletter by a friend? Sign up here. In today's edition: - EU-US deal: Surrenderists vs. Machiavellians - Parliament eyes fixes for no-shows - A fresh censure threat - Eurozone growth beats expectations - Austrian envoy resigns over sex blog In the capital Even as Brussels settles into its summer slumber, diplomacy does not rest. On the thirteenth floor of the Berlaymont, Ursula von der Leyen remains at her desk, negotiating a joint statement with Donald Trump, which would transform Sunday's tariff handshake into more of a reality. She is hoping to conclude it this week. But don't hold your breath. The UK signed its trade deal with the US on 16 June, and six weeks later, no joint statement yet exists. What followed that handshake has been a collision of narratives. One camp argues that Brussels capitulated: surrendered to 15 percent tariffs on most exports, lofty investments, and a retaliation strategy that arrived too late to matter. Trump, true to form, has celebrated loudly. His negotiator, US Commerce Secretary Howard Lutnick, guffawed with joy when told on CNBC that France and Germany were upset with the deal. Accustomed to domestic media scorn, the US president has been basking in the rare warmth of European press coverage. In the second camp are those who believe the Commission actually played a blinder. That with its back against the wall, it got the best possible deal – shrewdly offering investments it won't be able to drum up, purposefully flattered Trump's ego in public, and accepting public humiliation in order to keep him onside over Ukraine. US commentators who loathe Trump, including Paul Krugman, have entertained this line, and America-founded Politico declared the deal a 'personal triumph' for von der Leyen. Even some of my colleagues here have argued that she outfoxed Trump. Jean-Luc Demarty, who ran the EU Commission's trade directorate for eight years and negotiated with Trump during his first term, sees truth in both views. Speaking to The Capitals, he argued that the EU struck the least bad deal it could – but only because it had already weakened its own hand by not retaliating much earlier in negotiations with the US. 'This deal is damage limitation in the short to medium term,' he said, but for the EU 'it's a disaster in the long-term because the Commission has conceded to Trump's ... close to mafia-extortion and coercion, so why would others like China not try to coerce the EU too?' Demarty also challenged the idea that going soft on Trump was smart diplomacy for Ukraine's sake. 'At a certain point in time Trump will give up Ukraine and will strike a deal with [Russian President Vladimir] Putin,' he said, warning that banking on the US President's goodwill is more of a gamble than a strategy. In Paris, there's little patience for nuance. President Emmanuel Macron griped that the EU wasn't 'feared enough' to get a better deal. His Europe minister continues to wave the so-called trade "bazooka", the bloc's anti-coercion mechanism. And according to Macron, the story isn't over yet. Indeed, on Wednesday, the US appeared to call into question the EU's digital laws, with Lutnick saying 'the attack on our tech companies' will be on the table. Demarty, who is French, accused Paris of strategic amnesia over its harsh reaction to the trade deal. 'Criticising the imbalance now, having asked for a framework which would have led to unbalanced results, it's nearly tautological,' he said. But is it even a real deal? As Euractiv's Thomas Møller-Nielsen explains, that answer may be more complicated than it seems. Parliament eyes fixes for no-shows The European Parliament's plenary hemicycles in Strasbourg and Brussels are empty for the summer. But even when Parliament is in session, the chambers rarely fill. For example, this month's appearance by Danish PM Mette Frederiksen was poorly attended, even by her own Socialist MEP allies. President Roberta Metsola has asked top officials from political groups to come up with ideas on how to improve MEP attendance, to discuss after the holiday period, according to three sources. A brainstorm exercise last year created a 'blue card' system, in which MEPs can challenge each other mid-speech. The Parliament has also been trialling withholding advance notice of the speakers' list, obliging MEPs to spend longer inside the chamber waiting for their turn to speak. But an MEP told The Capitals that lawmakers have already found a workaround. Some wait for a text from their assistants watching the livestream, telling them they're up next, before sprinting to the hemicycle. The next test will come in September, when von der Leyen delivers her State of the Union speech. A fresh bid to bring down the Commission MEPs from Jean-Luc Mélenchon's left-wing La France Insoumise are pushing for a fresh bid to bring down the Commission over von der Leyen's handling of the US trade deal. It would follow a failed far-right censure vote against the Commission chief in Strasbourg earlier this month, as dissatisfaction grows across the political spectrum. MEP Manon Aubry posted on X that her delegation of 9 MEPs was looking for support from other left-wing groups – in other words the Socialists, Greens and Renew. The push has not yet been formally discussed within the Left group that Aubry co-chairs, which raises the question: Is this a mere PR stunt channelling French domestic anger over the tariff agreement, a trial balloon or a serious effort to gather signatures? For two months after the latest vote, a higher threshold – one fifth of MEPs (144) – is required for it to be admissible. The Left already failed to get the 72 signatures needed to table a motion of no confidence following approval of the EU-Mercosur free trade agreement last year. Eurozone growth slightly beats expectations The Eurozone economy grew by 0.1% in the second quarter of this year, compared to the previous three-month period, according to preliminary figures released by Eurostat on Wednesday, beating forecasts of a flatline and despite concerns over the impact of US tariffs. This modest expansion represents a slowdown from the 0.6% GDP growth recorded in the first quarter. Read more. Austrian ambassador resigns over sex blog Austria's EU envoy, Thomas Oberreiter, stepped down after reports linked him to a misogynistic blog written under a female pseudonym. Though Oberreiter denied the allegations, his departure came just days after the country's foreign minister, Beate Meinl-Reisinger, was informed of the claims and launched an investigation into the matter. Read more. The Capitals BRUSSELS | Belgium prosecutors have referred war crime allegations against two Israeli nationals to the International Criminal Court, days after they were questioned by Belgian police while visiting the country for electronic music festival Tomorrowland. The suspects were allegedly seen waving the Givati brigade flag, an Israeli infantry unit, during a concert, according to the pro-Palestinian NGO Hind Rajab Foundation, who filed complaints in mid-July. They were released shortly after their police hearing. BERLIN | Germany's cabinet approved a 2026 budget with record investments and a major boost to defence spending. But Finance Minister Lars Klingbeil warned the government faces a €172 billion funding gap through 2029 that will require tough cuts and reforms to close. Read more. PARIS | Sciences-Po Lille, a prestigious French university, said Wednesday it has cancelled the enrolment of a female student from Gaza over her social media activity. While authorities did not release the content of the alleged posts, the country's foreign minister, Jean-Noël Barrot has called them "antisemitic." ROME | Italy summoned Russia's ambassador after top Italian officials were added to a Kremlin list of so-called 'Russophobes.' PM Giorgia Meloni blasted the move as Kremlin propaganda meant to distract from the war in Ukraine. Read more. MADRID | Spain's Court of Auditors has fined far-right party VOX €50,000 for opaque donations in 2020, its third penalty in that financial year, with total fines exceeding €1 million. The court called it 'a very serious infringement" of party financing rules. LISBON | Portugal said it 'may recognise' Palestinian statehood at the UN General Assembly in September, aligning itself with a growing number of countries pushing for recognition. In a joint statement issued at the close of a UN conference on the two-state solution, Portuguese officials also pledged support for Gaza's post-war reconstruction and stressed the need to exclude Hamas from any future Palestinian government arrangement. France, the UK and Malta have said in the past week that they would recognise a Palestinian state. Across the Atlantic, Canada last night also announced plans to do the same. WARSAW | A Colombian national carried out arson attacks in Poland on behalf of Russian intelligence, authorities said. The incidents appear to be connected to a broader sabotage campaign across Central and Eastern Europe. Read more. PRAGUE | Tainted oil from Azerbaijan has reached Czechia, but officials say fuel supply and refineries are unaffected. An investigation is underway to determine the source of the contamination. Read more. BRATISLAVA | Slovakia's top court and the French embassy here have dismissed PM Robert Fico's claims that foreign diplomats tried to interfere in a sensitive court case. The French side said the meeting in question happened before the law even existed and was merely routine diplomacy. Read more. BUCHAREST | Romania pledged to support Moldova in defending against cyber threats ahead of its September election, warning of likely Russian meddling through disinformation and vote buying. Read more. Earlier on Wednesday, Moldovan President Maia Sandu had accused Russia of planning 'unprecedented' interference in the country's upcoming parliamentary elections. Also on Euractiv
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HARVEST: What's the deal?
EURACTIV's Agrifood Team Euractiv Jul 31, 2025 08:06 5 min. read News Based on facts, either observed and verified directly by the reporter, or reported and verified from knowledgeable sources. Want to keep reading? Get a subscription on Euractiv Pro and elevate your political insight! Discover Euractiv Pro For corporations Already have an account? Log in
