Latest news with #Article5
Evening Standard
4 hours ago
- Politics
- Evening Standard
Iran, China and the world at war: what this week's Nato summit really told us
Apart from the big daddy chatter, the media got hung up on the rhetorical barbed wire of America's interpretation of the Article 5 treaty obligation of an attack on one ally meaning a response from all. Trump doctrine seems to be saying 'not necessarily so,' and 'it depends what you mean by.' Article 5 in the Nato treaty does not mean an automatic response. It generates a request and requirement from the ally being attacked. The reaction depends on the degree, circumstance and severity of the attack. If Russia attacked a Norwegian Navy tug, for example, would it call for a thermo-nuclear response ?
Euractiv
17 hours ago
- Business
- Euractiv
The Brief – 27 June 2025: The Good, the Bad, and the Ugly
Orlando Whitehead Euractiv Jun 27, 2025 18:13 4 min. read Opinion Advocates for ideas and draws conclusions based on the author/producer's interpretation of facts and data. Good Friday afternoon. Well done for making it through the succession of early doorsteps and late nights, roundtables and sideline stunts, and all the thrills that came with a double-barrel week of NATO and EUCO summits. As is always the case when Trump is on the bill, the meeting in The Hague was the focus of attention, his arrival prefaced by debate in Europe about defence spending. Keeping the big man sweet was the name of the game, and alliance chief Rutte was prepared to prostrate himself (and European allies) for his excellency's pleasure. Any self-respecting person would have told him to knock it off. Instead, Trump shared the intimate messages. And the NATO comms team kept up the nauseating narrative, sharing a "family photo" shortly after the 'daddy' of the group cast doubt over America's commitment to Article 5 – the very cornerstone of the alliance. It's almost as if someone's forgotten who came to their assistance on the only occasion the crucial article has ever been invoked... Surprising perhaps, was the general acceptance that this degradation was vindicated by Trump's apparent satisfaction with the 5% pledge. A credulous Rutte vaunted a "stronger, fairer and more lethal alliance", and others applauded his efforts. If realpolitik demands spinlessness, so be it. The President's parting homage to "the love and the passion that [EU leaders] showed for their country" was especially uncomfortable to hear. "I've never seen anything like it,' he beamed. Neither had we. But will it stop him clobbering the continent with 50% tariffs in two weeks? Don't hold your breath. EUCO With NATO hailed a success, a weary procession headed closer to Euractiv HQ for the European Council summit, which president António Costa was intent on keeping to one day (they overshot by a couple of hours). High on the agenda was the EU's response to incoming US tariffs, and how to strike the balance between assertiveness and provoking an aggressive pushback. While the jury is out on the best strategy for dealing with POTUS, the desire to reduce economic dependence on America is universal. To this end, von der Leyen floated the idea of an alternative to the World Trade Organisation, whose rules Trump has interpreted as optional as he rides roughshod over free trade agreements. But besides indicating that this could not include the US, the proposal is still in gestation. A Space Act to make Musk blast off? Not content with wrapping 27 member countries with red tape, the Commission plans to turn its regulatory spray gun on the cosmos, with a landmark Space Act that aims to set the global standards for launching rockets and maintaining satellites. The law won't apply until at least 2030, but it could be on a collision course with tech companies already angling to exploit the extraterrestrial zone. Greenwashing back on the menu? The controversy that broke last Friday when the Commission announced that the Green Claims law would be dropped, continued to boil this week. Whilst a Commission official told The Capitals newsletter on Sunday that the law – which is designed to prevent companies from making unfounded claims about the environmental or climate friendliness of their products – would live on (albeit substantially diluted), Italy withdrew support for the law on Monday, casting further doubt over its future. Progressive MEPs have been fuming over the subterfuge but EPP president Manfred Weber was unrepentant, describing a "authoritarian wave" of green policies that his party is on a mission to kill. Vilified by the left, assailed by the right At the same time, the Commission was targeted by a motion of no confidence on Thursday, brought forward by 74 right-wing MEPs belonging to the Patriots for Europe and ECR groups. But the motion lost momentum as Meloni's allies were divided on whether to get behind the campaign and it transpired that an eventual plenary vote would likely be unsuccessful. Want to get The Good, the Bad, and the Ugly in your inbox? Subscribe to The Brief.
The Market Online
21 hours ago
- Business
- The Market Online
Almonty Industries shares EXPLODE! Rheinmetall, Renk, and Hensoldt left in the shadows!
Almonty Industries' share price (TSX:AII) has gained over 20% in recent days. On its current home exchange in Toronto, the market capitalization has now surpassed the important CAD 1 billion mark. The upcoming IPO on the NASDAQ is a contributing factor to the price surge, but there are many other reasons! The shares of what will soon be the largest tungsten producer outside China are in a perfect storm of positive momentum. The 5% defense spending target agreed upon by NATO countries is also pushing the stock higher. The shares still appear to be an attractive buy. Analyst price targets have not yet been reached and are likely to be raised soon. Almonty currently overshadows Rheinmetall, Renk, and Hensoldt – and rightly so. NATO's 5% defense spending target boosts defense stocks Sentiment toward defense stocks is positive again. Once again, the weak phase for RENK, Rheinmetall, and Hensoldt was short-lived. The shares have risen again in recent days but have been overshadowed by Almonty (TSX:AII). Following the latest NATO meeting, there is a gold rush in the industry. NATO member countries have reaffirmed their commitment to higher defense spending. In future, 5% of economic output is to be spent on the military and defense. In its summit declaration, NATO committed to investing billions in armaments and infrastructure by 2035. US President Donald Trump had repeatedly pushed for higher spending in the past and was accordingly satisfied with the latest commitments. He even went so far as to reaffirm the transatlantic military alliance's commitment to mutual defense (Article 5). A large portion of the billions in investments is also likely to benefit US defense companies. And regardless of whether production takes place in Europe or the US, the entire industry needs tungsten and, therefore, Almonty. No tungsten production in the US since 2015 The situation is particularly precarious in the US. The country has not produced any commercial tungsten since 2015, making it entirely dependent on imports. Yet tungsten is indispensable in aerospace, electronics, defense, and mechanical engineering. With a melting point of 3,422 °C, tungsten has the highest melting point of any metal and is extremely hard. This makes it ideal for use in rocket nozzles, armor-piercing ammunition, protective coatings, and armor plating. The problem is that China produces over 80% of the world's tungsten and is increasingly using it as a weapon in the trade war. The US is currently fighting back with all its might – and Almonty is benefiting. The company has received an official letter from the US House Select Committee on the Strategic Competition between the United States and the Chinese Communist Party and is now part of the Critical Materials Forum. Almonty is the tungsten hope for the West Almonty is seen as the great tungsten hope for the US, Europe, and all Western countries. The Company already operates a mine in Portugal, with plans for expansion, and owns two projects in Spain. But the key driver of its share price is in South Korea. There, after years of preparation and with support from Germany's KfW, Almonty is about to start production at the Sangdong mine. This mine has a lot to offer: Not only is it high-grade, but it also has a lifespan of over 90 years, making it the largest tungsten mine outside China. By 2027, Almonty aims to supply 43% of global demand outside China, with a particular focus on the defense sector, as CEO Lewis Black recently emphasized in an interview with CNBC. A US defense contractor has already secured at least 40 tons of tungsten oxide per month. The fact that there is a price floor but no price ceiling highlights the strength of Almonty's position. Anyone speculating that the NASDAQ listing and the start of operations at the Sangdong mine will trigger a setback is likely to be disappointed. For one thing, there is currently IPO fever in the US, with shares doubling on their first day of trading. In addition, Almonty has another strategically important raw material on offer: molybdenum. The heavy metal deposit is located on the Sangdong property. A long-term purchase agreement has already been signed for this as well. And then there are the expansion plans in Portugal and the two mines in Spain. Furthermore, the value chain can be extended. The fuel for Almonty's share price rocket is unlikely to run out anytime soon. Analysts likely to raise price targets soon Analysts are likely to raise their price targets once operations commence, as this will significantly increase the visibility of future revenues and profits. Sphene Capital's price target is currently CAD 5.40. Analysts at GBC Research currently estimate the fair value of Almonty shares to be CAD 5.50. Yesterday, the stock traded just under CAD 4. Almonty plans to ramp up Sangdong by 2027. GBC analysts expect revenues of CAD 314 million and net income of CAD 212 million by 2027, with the upward trend expected to continue. Conclusion: The price rocket still has plenty of fuel Investors are likely to continue benefiting from investing in Almonty shares. There are simply too many reasons pointing toward further gains. Those who waited for a significant price correction in recent months have missed the rally. Analyst price targets appear realistic and suggest more than 30% additional upside – unless the NASDAQ listing pushes the price even higher. Almonty is keeping pace with German mining stocks but is fundamentally cheaper. Source: Refinitiv Conflict of interest Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as 'Relevant Persons') currently hold or hold shares or other financial instruments of the aforementioned companies and speculate on their price developments. In this respect, they intend to sell or acquire shares or other financial instruments of the companies (hereinafter each referred to as a 'Transaction'). Transactions may thereby influence the respective price of the shares or other financial instruments of the Company. In this respect, there is a concrete conflict of interest in the reporting on the companies. In addition, Apaton Finance GmbH is active in the context of the preparation and publication of the reporting in paid contractual this reason, there is also a concrete conflict of interest. The above information on existing conflicts of interest applies to all types and forms of publication used by Apaton Finance GmbH for publications on companies. Risk notice Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and the like on These contents are exclusively for the information of the readers and do not represent any call to action or recommendations, neither explicitly nor implicitly they are to be understood as an assurance of possible price developments. The contents do not replace individual expert investment advice and do not constitute an offer to sell the discussed share(s) or other financial instruments, nor an invitation to buy or sell such. The content is expressly not a financial analysis, but a journalistic or advertising text. Readers or users who make investment decisions or carry out transactions on the basis of the information provided here do so entirely at their own risk. No contractual relationship is established between Apaton Finance GmbH and its readers or the users of its offers, as our information only refers to the company and not to the investment decision of the reader or user. The acquisition of financial instruments involves high risks, which can lead to the total loss of the invested capital. The information published by Apaton Finance GmbH and its authors is based on careful research. Nevertheless, no liability is assumed for financial losses or a content-related guarantee for the topicality, correctness, appropriateness and completeness of the content provided here. Please also note our Terms of use. This is sponsored content issued on behalf of Apaton Finance GmbH and Almonty Industries, please see full disclaimer here.
The Print
a day ago
- Business
- The Print
Trump has driven up NATO's defence spending. Why that's good for India
Rutte applauded the unprecedented decision by member states to not only meet but exceed the 2 per cent of GDP defence spending benchmark, aiming instead for 5 per cent. The move appeared to impress Trump. After announcing a ceasefire in the 12-day Middle East war, Donald Trump flew to The Hague for his first NATO summit since returning to the White House in January. NATO has never been among Trump's favoured topics—his criticism of European 'free-loading' has continued unabated into his second term. The bigger picture is striking. The war in Ukraine, now in its fourth year, has reshaped Europe's security architecture and driven a fundamental transformation in NATO. What began as Putin's aim to 'Finlandise Ukraine' instead led to the 'NATO-isation' of Finland and Sweden—a reversal few foresaw. This reawakening of Europe presents a timely opportunity for India to rethink its engagement with NATO and the continent—especially in terms of defence cooperation. Also read: Europe is vital for lasting solution in Ukraine. Trump's Nobel obsession is blocking this Trump pill, in effect Trump's presidency was widely expected to herald the weakening, if not the outright dismantling, of NATO. His offhand remarks about buying Greenland by force and his view of Article 5 (NATO's collective security clause) as conditional on financial contributions alarmed many European leaders. Some even predicted the death of the West. Paradoxically, Trump's confrontational stance may have saved NATO. His pressure finally forced European allies to boost defence budgets—something US presidents had long demanded. By threatening to pull back American guarantees, Trump got results that decades of diplomacy hadn't. Since then, defence budgets across NATO have surged. Several countries are targeting 5 per cent of GDP for defence over the next decade—a monumental shift worth hundreds of billions of Euros annually. It's more than a fiscal adjustment; it reflects a wartime posture taking hold of a Europe traditionally focused on welfare over warfare. Germany, under new Chancellor Friedrich Merz, has removed constitutional caps on defence spending. Poland's rising military stature further amplifies this transformation. Notably, these shifts have occurred even as internal divisions remain, and Europe supports Ukraine. Rather than faltering under the pressure of a prolonged war in its backyard, major European defence giants have entered long-term agreements with Ukrainian counterparts—defying early fears that the continent lacked the institutional stamina for such a war. Also read: Japan is stepping back from NATO, not Indo-Pacific ties—China is watching the cracks closely Strategic realignment This is not the Europe we once knew. Its strategic pivot is broad and multi-dimensional. NATO has revised its doctrine, addressed Baltic vulnerabilities, and boosted hybrid threat readiness by working with the EU and institutions like the Hybrid Centre of Excellence in Helsinki. Importantly, NATO now follows a '360-degree' strategy that covers not just conventional threats but also climate change, AI, disinformation, and critical infrastructure. This approach is shaping NATO's evolving relationship with the Indo-Pacific. While Trump's return to office rekindles concerns over US reliability, it has also spurred Europe into contingency mode. The shift from complacency to realism is palpable. Once declared 'brain dead' by France's President Emmanuel Macron, NATO now appears rejuvenated. Even as the US strategic engagement toggles between the CENTCOM and INDOPACOM theatres, NATO's internal consolidation is a milestone development. From India's perspective, it could translate into two meaningful cooperation pathways –first, capitalising on NATO's (and Europe's) engagement with the Indo-Pacfic on hybrid threats, and second, developing more defence industry synergies at a time of unprecedented militarisation of the continent. These two are not mutually exclusive. But in my opinion, the latter offers better opportunities. Let's look at them one by one. Indo-Pacific: Ambition vs. capacity NATO's Indo-Pacific outreach—targeting China, emerging technologies, and climate-related risks—aims to preserve its global relevance. But with war at home, NATO's capacity to seriously engage in the Indo-Pacific remains constrained. Further limiting NATO's Indo-Pacific role is Trump's renewed Middle East focus. CENTCOM has regained US attention, and Trump's early priorities appear to centre on countering Iran and re-engaging Pakistan, not deepening Indo-Pacific ties. For India, this pivot raises concerns. The Quad has yet to hold its first summit under Trump's new term, and US commitment to regional alliances like AUKUS seems uncertain. In Australia, Japan, and the Philippines, doubts are growing. India, too, is wary. Trump's apparent overtures to Pakistan—regardless of their transactional nature—have complicated New Delhi's strategic calculations. Without firm US backing, NATO's Indo-Pacific push holds limited promise. So, where does this leave India? If direct security cooperation with NATO, even in the non-traditional arena, is not imminent, the real window of opportunity lies in the continent itself: Defence industry cooperation and exports. Also read: All Trump wants is a good deal. Ukraine war shows he'll even risk Europe for it India's role in Europe's militarisation With 32 of the world's most advanced economies poised to ramp up defence spending to unprecedented levels, the time is ripe for India to position itself as a stable supplier of military equipment. Indian MoD's goal of achieving Rs 50,000 crore in defence exports by the end of this decade aligns perfectly with Europe's search for reliable, diversified suppliers. Already, Indian defence companies are supplying secondary equipment to several European nations—notably France. The question is whether India can scale this engagement and integrate with the common procurement mechanisms now developing across Europe, including within NATO. It is a misnomer to think that NATO's military modernisation is all going to come from NATO countries. South Korea's experience offers a compelling benchmark. In 2022, Seoul secured a $14 billion deal with Poland, delivering tanks, howitzers, and fighter jets under tight deadlines—a testament to its manufacturing agility and strategic alignment with NATO's goals. South Korea's success stems not just from industrial capability but also from its ability to navigate political preconditions and seamlessly integrate into NATO's defence planning architecture. India, on the other hand, faces structural hurdles. We are not a NATO partner country and have been reluctant to sign administrative agreements with the EU that come with conditionalities related to human rights or long-term alignment with the EU's Common Security and Defence Policy (CSDP). This unease limits India's participation in joint procurement frameworks that could otherwise offer significant scale and market access. Yet these obstacles are not insurmountable. Co-production initiatives through joint ventures with established players like South Korea and Israel—both of whom have strong defence ties with India and Europe—offer a pathway to circumvent bureaucratic hurdles. For instance, India and Israel could collaborate on developing and producing systems that serve the European market. Over 50 per cent of Israel's defence sales now go to Europe, a figure that speaks to the continent's urgency and Israel's responsiveness. Strategic resilience India's defence industrial base is at a crossroads. Transitioning from a buyer's ecosystem to a builder's ecosystem will require bold, strategic and timely decisions. While India may not export complete platforms to Europe, like it does for Armenia, there is a large market for secondary equipment, components, and co-produced systems. But this will only materialise if Indian firms are able to navigate Europe's procurement frameworks and if the government actively supports these ventures with the right diplomatic and trade instruments. The West's security realignment, triggered by one of the most protracted conflicts since World War II, is not just a story about Europe. It is going to be a global supply chain story—about who builds and co-builds, who sells, and who co-sustains the defence infrastructure of the future, conjoined at the hip by technological innovation. As NATO adapts to a more dangerous world, it is redefining what modern alliances look like—flexible, industrially coordinated, and geopolitically agile. India, with its growing industrial capacity and strategic aspiration, is well-positioned to be part of this shift. The lessons from NATO's reinvention are not just for Brussels—they are also for New Delhi. Swasti Rao is a consulting editor at ThePrint and a foreign policy expert. She tweets @swasrao. Views are personal. (Edited by Theres Sudeep)
CNBC
a day ago
- Business
- CNBC
Investing in Space: NATO holds out its hand to the commercial space sector
NATO's agreed to open its wallet wider, and space and defense players are likely lining up to benefit. The military coalition's brand-new commercial space strategy adds the cherry on top. Now inked, at the vocal behest of U.S. President Donald Trump, is a pledge to more than double alliance members' defense expenditure from 2% to 5% of their gross domestic product by 2035. Some 3.5% of that funding should be funnelled toward "pure" defense, while the remaining 1.5% should be slated for security-linked infrastructure, such as cyber warfare capabilities and intelligence. Notably, NATO recognized space as one of five "operational" domains alongside air, land, maritime and cyberspace back in 2019. Two years later, it concluded that offensives to, from or within space can be a threat to the alliance and trigger the infamous Article 5 prescribing an attack on one member as an attack on all. Going into the fine print, the military coalition is expected to publish its new Space Doctrine 2026. Whether allies — especially a reluctant Spain — can or will actually meet a 5% target is in the air. Glancing over NATO's numbers, only Poland came anywhere close to allocating that slice of its GDP to defense purposes last year, at 4.12%, while Washington itself devoted only 3.38% of its economic output to that purpose. Across the board, there's ground to cover. In Europe, the writing's been some months on the wall, after the 27-member European Union bloc proposed to mobilize 800 billion euros ($936 billion) for defense spending back in March, while Germany relaxed its fiscal debt rules to facilitate more security-linked purchases. The U.K. started the year with a pledge to hike defense expenditures to 2.5% by April 2027, and Prime Minister Keir Starmer has since rushed to pledge a 5% goal will be hit by 2035. Communication, navigation and surveillance are obvious uses for space capabilities in defense, and that's before you think about taking the war to the stars. Trump's ambitious Golden Dome defense shield — which his administration bills at $75 billion, but some watchers say will cost many times over — already has the likes of Boeing, Lockheed Martin and even European players vying for a piece of the budgetary action. Just recently, satellite imagery provider Planet Labs clinched a seven-figure contract to deliver monitoring and intelligence capabilities to NATO itself. And that's the state of play among defense-geared space businesses before revisiting the controversial topic of whether Elon Musk's Starlink can be successfully dethroned from Ukraine, where it has been facilitating access to internet data and communication for residential and military purposes alike. Russian bombing has devastated local mobile networks over its three-year invasion, making third-party satellite communication services indispensable — but Musk's previously close relationship with a volatile Trump, whose support for Kyiv has been fluid, has raised concerns in Europe over Starlink's long-term reliability. It remains to be seen whether the president and tech billionaire's visceral public showdown will erase these worries among European leaders, who are largely in it to support Kyiv for the long haul. Last we heard, Europe was still pursuing an alternative satellite champion to dislodge the overwhelming reliance on Starlink in Ukraine. France's Eutelsat, which is already supporting government and institutional comms in the embattled eastern European country, has been benefitting from that venture. Since merging with Britain's OneWeb in 2023, the French company commands over 650 OneWeb satellites in Low Earth Orbit (LEO), along with more than 30 geostationary satellites. The company gained a nice vote of confidence last week, when it announced a 1.35-billion-euro capital raise led by the French government — which will become the company's largest shareholder with a 29.99% stake — and other investors, in a bid to boost its LEO capabilities. Shares rallied 31% as a result, building on gains logged after initial speculation that it could step into Starlink's shoes in Ukraine. That's a nice bump from the late-February lows hit in the days after a weaker-than-expected half-year profit report shaped by softer broadcast sales and firm costs. And these kinds of private players are officially not just a fringe consideration for NATO. Just this week, the alliance released its first ever Commercial Space Strategy, stressing three goals – leveraging commercial solutions, ensuring continuous access during peace, crisis or conflict and bolstering coherent relationships with the commercial sector. The end game, ultimately, is to "help commercial partners to better understand NATO's needs, invest and meet necessary security measures, including for cybersecurity, and expand manufacturing capabilities" — many steps short of NATO procuring its own space arsenal, but still a potential boon for private companies dealing with individual member governments.
