Deforestation regulation under review + EV tariffs + New digital policy

Dear reader,

The new EU debt rules are starting to take shape. Today marks the deadline for member states to submit their multiannual fiscal plans to the Commission – at least in theory. According to reports, only two model students are expected to meet the deadline: Denmark and Malta. A majority of member states, including Germany and Italy, are likely to submit their plans only by Oct. 15, which coincides with the deadline for their annual budgets.

The Commission has not heard anything from nine member states, or they expect that these countries will not meet the deadline. This includes France and Belgium, where government formation is dragging on. No one expects France to approve a plan in time, leading to anticipated conflicts.

By the end of November, the Commission plans to present the reviewed medium-term fiscal plans for all member states as part of the autumn package of the European Semester. For states that do not submit a plan, the Commission will propose its own path from mid-June – the so-called technical trajectory. This path will likely be far removed from what is currently politically feasible in France. However, it is up to the Council, not the Commission, to finalize the fiscal plan.

Those who do not submit a plan on time can still negotiate with the Commission next year and modify the proposed path. However, the delay will not make the process any easier. The designated Economic Commissioner and guardian of EU fiscal rules, Valdis Dombrovskis, should prepare for difficult discussions with the French and other governments.

Your
János Allenbach-Ammann

EV investigation: Which points are still being negotiated

By

Amelie Richter

The debate surrounding the EU’s additional tariffs on Chinese EVs will continue in the coming weeks. There was no major breakthrough in the negotiations at a meeting between EU Trade Commissioner Valdis Dombrovskis and China’s Trade Minister Wang Wentao on Thursday. Dombrovskis emphasized that the EU’s investigation was based on facts and respected WTO law. However, the EU Commission expressed its willingness to take a closer look at the Chinese price commitment proposal despite the expiration of the deadline.

The Commission announced last week that it would no longer accept any new price commitments from the Chinese car manufacturers because the deadline at the end of August had passed. The car manufacturers had agreed in the commitments to set minimum sales prices for their electric vehicles. The aim is to reduce the price pressure on European manufacturers and thus avoid the proposed tariffs.

The Commission now applies an article of the anti-subsidy regulation to extend the deadline for Chinese car manufacturers. Chinese manufacturers can submit new price commitments, which the Commission will consider.

Strict deadline on October 30

However, the Commission will continue the investigation in accordance with its deadlines. And the clock is ticking: The investigation must be completed by October 30 at the latest. There has been a slight delay in coordination with the Member States. The vote in the Trade Defense Instruments Committee scheduled for next week has been postponed, as EU diplomats confirm to Table.Briefings – probably until the week after.

The EU Chamber of Commerce in China still hopes for a political solution: “We would like to see an outcome that continues to allow for a strong trade and investment relationship,” Adam Dunnett, Secretary General of the Chamber of Commerce, told Table.Briefings. EVs only make up a small part of overall trade between China and the EU. However, according to Dunnett, concerns are growing, and he can understand why the EU intervened so early. However, the whole situation is “unfortunate.” Dunnett hopes that there will be no domino effect on other industries.

Wang warns that trade relations are at a ‘crossroads’

The EU Competition Commissioner-designate Teresa Ribera stressed that avoiding a trade war is just as important as the development of the European car industry. “The main message … is that it is important to avoid a clash, a trade war,” Ribera told the Financial Times. “We need to identify the best tools for how we can develop the car industry in Europe but are also effective in terms of avoiding this trade war,” she said. “This is something that is already being assessed by the Commission Services and the trade people.”

At a meeting with Chinese and European car manufacturers in Brussels on Wednesday evening, Trade Minister Wang said that trade relations between China and the EU are now at a “crossroads,” with “one path leading to openness and collaboration [and] the other to protectionism and isolation,” as the Chinese Chamber of Commerce with the EU stated.

Declining EV sales

Experts voiced concerns that the additional tariffs could affect the EU’s CO2 target. This trend is also reflected in car sales data, which shows a decline in sales of all-electric cars of almost 44 percent in August. The largest EV markets, Germany and France, recorded declines of 68.8 percent and 33.1 percent, respectively, which is also linked to reduced EV purchase subsidies.

Europe’s three largest car manufacturers, Volkswagen, Stellantis, and Renault, recorded total sales declines of 14.8 percent, 29.5 percent, and 13.9 percent, respectively. Tesla and SAIC were not spared either: Their European sales fell by 43.2 percent and 27.5 percent, respectively. How the additional tariffs could affect consumers is up to the manufacturers. For instance, Tesla has already increased the prices of its Model 3 vehicles in Europe. Geely’s Lynk & Co. brand announced it would not raise prices.

Digital and innovation policy: Von der Leyen relies on many minds

By

Corinna Visser

Anyone wanting to understand Henna Virkkunen‘s responsibilities needs a large canvas. The portfolio of the designated Executive Vice President for Technological Sovereignty, Security and Democracy is vast and overlaps with several other departments. Commission President Ursula von der Leyen has assigned the Finnish politician the enormous task of overseeing digitalization and digital infrastructure.

There are good reasons not to appoint her as the sole Digital Commissioner, but with such a large portfolio, there’s concern that Commission members might clash, as was the case with Margrethe Vestager and Thierry Breton during the previous mandate. In Virkkunen’s case, there are even two strong contenders: the Executive Vice Presidents for Competition and Industry, Teresa Ribera and Stéphane Séjourné.

Breaking the silo mentality

On the one hand, it’s positive that security and democracy are now combined, says Anselm Küsters, Head of the Digitalization and New Technologies Department at the Centre for European Policy (cep). “One of my main criticisms of the last Commission and its digital policy was that it was seen too neutrally, with the geopolitical factor somewhat overlooked.”

However, these overlaps could also lead to conflicts. “On paper, it looks good, but as is often the case, it will depend on how the individuals fill their roles.” Küsters sees many advantages in the new structure. “The changes are generally welcome because the silo mentality of the previous Commission was rightly criticized.”

Küsters sees particular conflict potential in the intersection of technology and security, a central aspect of Virkkunen’s portfolio. The Commission, as in the past, focuses on technological sovereignty. Europe wants to avoid complete detachment but aims to develop its own AI models, build its own infrastructure, and facilitate data sharing. “This doesn’t necessarily align with the security issue, where we still heavily rely on the US,” Küsters argues.

Balancing sovereignty and security

The question is: “Will the Commission continue to act as aggressively against Big Tech as Margrethe Vestager did? Or will that be toned down, considering security concerns that call for closer cooperation between the US and Europe?” This is particularly necessary in areas like standardization, norms and the exclusion of potentially dangerous technologies. “This could be a foreseeable conflict of objectives.”

Is such a conflict easier to resolve when responsibilities are divided among different people who must reach a compromise? Or can one person with an overarching view find a better solution? “From a regulatory standpoint, I’d theoretically find it more transparent if there were two different commissioners, each presenting their arguments openly,” Küsters says. Still, he remains optimistic. “It’s the right approach to at least try to view the issue more politically and consolidate it under one person.”

Sergey Lagodinsky (Greens) welcomes the separation of the digital portfolio from competition. He also appreciates the appointment of Ekaterina Zakharieva as Commissioner for Startups. “This means that policy won’t just focus on big industry, as was the case with Thierry Breton,” says Lagodinsky. However, it’s unclear how her duties will be distinguished from those of Industry Commissioner Stéphane Séjourné, who is also responsible for innovation.

Overlaps with other EPPs

With the Directorates-General DG CONNECT and DG DIGIT under her supervision, Virkkunen has access to key agencies responsible for digital markets and technologies. This gives her a strong institutional foundation to advance digitalization.

However, a look at the mission letters of other commissioners and executive vice presidents reveals several areas of potential overlap and points where coordination problems or conflicts could arise. Overlaps exist with:

Stéphane Séjourné (Prosperity and Industrial Growth): Like Virkkunen, he works on digital innovations and technological transformations for the EU’s competitiveness.
Teresa Ribera (Green Transition and Competitiveness): Ribera’s focus on decarbonizing industry and Virkkunen’s emphasis on digital transformation overlap, as digitalization also contributes to reducing the CO2 footprint.

Two commissioners report to Virkkunen

Ekaterina Zakharieva (Research, Startups, and Innovation): There are overlaps in the area of digital innovations and technologies, particularly regarding research on artificial intelligence (AI) and quantum computing, as well as the promotion of start-ups, which are often in the digital space. Zakharieva will also need to collaborate with Séjourné in the field of innovation.
Andrius Kubilius (Defense and Space): Cybersecurity is the common area. While Kubilius is responsible for military cybersecurity, Virkkunen focuses on the civilian side and cybersecurity for digital infrastructures. Both must work together to ensure a coherent security strategy. Virkkunen is explicitly instructed not to focus solely inward.

Further areas of overlap

Border Management and Migration: Virkkunen is also responsible for border security and managing migration, which includes operational cooperation with member states on border management. Magnus Brunner, the Commissioner for Internal Affairs and Migration, also has significant responsibilities in border security and migration.
Democracy and Rule of Law: Michael McGrath oversees democracy, justice, and the rule of law, tasked with monitoring and strengthening the rule of law in the EU. Virkkunen plays a crucial role in democracy, especially in combating disinformation and ensuring free and fair elections.

Industry expects better framework conditions

Virkkunen’s appointment is well received by the digital association Bitkom. The direct assignment of digital policy challenges to an Executive Vice President is seen as the right move. Significant synergies could be created in the areas of security and democracy, as “technological sovereignty is not an end in itself“. Bitkom is particularly pleased that there’s finally a commissioner for start-ups. The association had long advocated for this, “so that conditions for European startups and scale-ups can be specifically improved.”

Virkkunen’s work on the Union’s AI strategy will also be crucial. In an open letter, a group of companies, researchers, and institutions – including Meta, Prada, and SAP – called for clear and uniform AI regulations in the EU. They warn that without these regulations, Europe risks falling behind in global AI innovation, particularly in the areas of open-source and multimodal models. These technologies offer great potential for economic and scientific progress, but fragmented regulations could threaten Europe’s competitiveness.

Deforestation-free supply chains: Von der Leyen plans revisions

In response to widespread criticism from industry, Ursula von der Leyen intends to make adjustments to the already approved deforestation directive. The European Commission President stated on Tuesday evening during a meeting with the European People’s Party (EPP) group that the implementation timeline would be re-examined. This was reported to Table.Briefings by sources familiar with the situation. The regulations for large companies are currently set to take effect on Dec. 30, with smaller businesses following six months later. However, von der Leyen reportedly said the regulation cannot proceed as planned, without specifying further details.

According to the directive, companies may only sell certain imported products – such as cocoa, coffee, palm oil, soy and timber – within the EU if suppliers have submitted a due diligence declaration. This declaration must confirm that the product does not come from land deforested after Dec. 31, 2020, and that local laws were followed in its production.

EU trading partners criticize

The EPP has been calling for a delay in the implementation deadline for months. “We urge the Commission to immediately postpone the enforcement of the deforestation law,” emphasized Herbert Dorfmann and Peter Liese, spokespersons for the EPP in the European Parliament’s agriculture and environment committees, reiterating this call on Thursday. Liese had previously proposed 2027 as an alternative deadline, suggesting that the delay could be adopted swiftly under emergency procedures.

In addition to EU member states like Germany, organizations such as Eurocommerce and several of the EU’s trade partners – including the US, Australia and Brazil – have approached the European Commission over the past few months, requesting a postponement of the regulations.

“Scrapping the deforestation regulation would be a serious breach of trust and a poor start to the new term of office when it comes to cooperation across party lines,” commented Delara Burkhardt, who co-negotiated the law as a shadow rapporteur for the Socialists and Democrats (S&D) group. Burkhardt noted that a draft of implementation guidelines, which could address many of the outstanding concerns of businesses, has been sitting on von der Leyen’s desk for months. “She needs to do her homework and finally release them,” Burkhardt said.

The S&D group called on von der Leyen and Commission Vice-President Maroš Šefčovič on Thursday in a letter to implement the EU deforestation regulation on schedule and promptly release the missing guidance documents. “The European Union has a great responsibility to protect the world’s forests,” the letter stated. The adoption of the law was “a milestone in our commitment to conservation.” The EU must now ensure that its actions align with its policy goals. The Greens also support maintaining the current deadline. Their concern is that if the deadline is changed, it could lead to further weakening of the law during the revision process.

On Thursday, the Commission reiterated its stance, stating that the date for implementation remains unchanged, and that they are working hard to ensure a smooth rollout. “The co-legislators set the implementation date for next year due to the urgent need in light of persistently high deforestation rates,” a spokesperson told Table.Briefings. leo/tho

Hearings of the Commissioners-designate likely to start on Nov. 4

The hearings of the commissioner-designates in the European Parliament are likely to start on Nov. 4. The committee chairs, responsible for conducting the hearings, will meet on Oct. 1 for an extraordinary session to finalize the schedule. The Legal Affairs Committee (JURI) postponed its meeting to review the financial and other interests of the commissioner-designates by one week, moving it to Sept. 30. This review will be conducted in the presence of all 48 members and will be kept confidential.

The Legal Affairs Committee must determine if there are any potential conflicts of interest between the assets of the candidates, their partners, or children and the specific portfolio assigned to them. If there are indications of a conflict, the committee may ask further questions or summon the candidate for clarification. If the committee identifies a conflict that cannot be resolved, it may decide to prevent the candidate from proceeding to the hearing stage.

Council consults the Parliament

The Parliament can only schedule the hearings once it has been consulted by the Council and has received the declarations on conflicts of interest from the commissioner-designates. On Thursday, the missing official nomination letter from Slovenia for Marta Kos was received, prompting the Hungarian Council Presidency to forward the documents to the Parliament. European Commission President Ursula von der Leyen had hoped the hearings would begin in October, allowing her Commission to start work in early November. Otherwise, the Commission is more likely to begin in December or January.

At a meeting on Wednesday in the Berlaymont building, experienced commissioners reportedly warned the newcomers not to underestimate the importance of the hearings. Before the hearings begin, the candidates must answer written questions. The hearings, which typically last three to four hours depending on how many committees are involved, will start with an opening statement from the candidates, followed by questions from Members of the European Parliament (MEPs). mgr/tho

Future government in France finalized

Two weeks after his appointment, France’s new Prime Minister Michel Barnier has completed the difficult process of forming a government. He wanted to present the composition of the future cabinet to President Emmanuel Macron in the evening, the government announced in Paris.

This was preceded by consultations between Barnier and leading representatives of the centrist and conservative parties , whose support he is counting on for the future government. At the meeting, which was also attended by Barnier’s predecessor Gabriel Attal, the architecture and balance of the future government was presented, according to the government.

Barnier also outlined the basic lines of his future policy during the consultations. The aim is to improve the standard of living of the French and the functioning of public services, in particular schools and healthcare. Another focus would be more internal security, control of immigration and the promotion of integration. Furthermore, businesses and farmers as well as France’s economic attractiveness should be promoted. In addition, public finances should be restructured and environmental policy strengthened.

A vote of no confidence threatens from the left and right

The new government is expected to be presented to the public this Friday. It remains to be seen to what extent Barnier will fill ministerial posts with politicians from the left-wing camp. The left-wing parties had initially not declared their willingness to participate in a government. As reported by the newspaper “Libération” and the broadcaster BFMTV, among others, seven of the 16 ministers in the future government are to come from Macron’s center camp, three from the conservative Republicans, one from a left-wing party, one from a right-wing party and the others from center parties.

Depending on the government’s plans, Barnier may have to rely on the support of different partners and also on the tolerance of Marine le Pen’s right-wing nationalist Rassemblement National. It is uncertain whether Barnier and the new government will remain in office for long. Both the left and the right could threaten a vote of no confidence in the short term. According to media reports, Barnier is scheduled to make a government statement on October 1.

The political situation in France has been tense since none of the political camps won an absolute majority in the early parliamentary elections just over two months ago. The fact that Macron appointed the conservative former EU Commissioner Barnier (73), a prime minister from a camp that performed poorly in the election, caused displeasure in France beyond the left-wing alliance. dpa

‘Fragile market’: Habeck requests longer deadlines for hydrogen economy

In a letter to EU Energy Commissioner Kadri Simson, seen by Table.Briefings, Habeck highlights that the ramp-up of the hydrogen market is significantly slower than anticipated. “I hear many concerns from companies that we are losing momentum in climate action,” he wrote.

Therefore, Habeck argues that the “fragile market” needs a boost. Specifically, he suggests postponing the mandatory use of renewable electricity in hydrogen production.

Extension by seven years

The key issue involves the principle of “additionality“. Under the current delegated act 2023/1184, new hydrogen electrolysis plants must, from 2028 onwards, be connected to newly built renewable energy plants. This is to ensure that hydrogen production contributes to the expansion of green energy production. Without this requirement, supposedly climate-neutral hydrogen could occasionally be produced using fossil fuels, especially on days with low wind and sunlight. Habeck is advocating for a seven-year extension of this transitional period, pushing the deadline to 2035.

Similarly, Habeck seeks an extension regarding “temporal correlation,” for which the current transition period ends in 2029. Under this rule, hydrogen producers must demonstrate that sufficient renewable electricity is available in the grid while their electrolysis plants are producing hydrogen. Currently, this verification is calculated over a monthly period, but it will eventually be measured hourly. Habeck is requesting the EU Commission to extend this deadline by one year.

“This would make it easier for companies to manage the very high project costs, particularly during the market ramp-up phase,” Habeck writes, “and produce the hydrogen urgently needed by European industry.” av

Study: West remains entwined with Russia’s nuclear industry

The report highlights the continued interdependence between Russia’s and the West’s nuclear industries. This interconnection has, in part, shielded Russia from European sanctions.

“The close mutual industrial and market interdependencies between Russia’s nuclear industry and its Western counterparts at least partly explain the Europeans’ reluctance to impose sanctions on the nuclear sector,” the report states. However, reducing reliance on Russia is likely to increase costs.

Dependence on Rosatom

Since Russia’s invasion of Ukraine in 2022, five EU member states with Russian-designed reactors (WWER) that run on Russian fuel have been seeking alternative fuel sources, particularly from the US company Westinghouse Electric. Nevertheless, several of these countries stockpiled Russian fuel over the past year, leading to increased imports.

The report also notes that some Western companies heavily rely on new reactor construction by Russia’s state-owned company Rosatom to sell their components. “As Rosatom has carried out all 13 nuclear reactor construction projects outside of China in the last five years, component suppliers, such as French Arabelle turbines, have no other foreign customer besides Rosatom,” the authors write.

The report provides an overview of global nuclear power generation over the past year, which rose by 2.2 percent compared to 2022, although its share in overall commercial electricity generation slightly decreased. rtr

PFAS: EU Commission restricts particularly harmful ‘forever chemicals’

The European Commission is restricting the use of a subset of so-called PFAS chemicals. “We are removing harmful substances from everyday products like textiles, cosmetics and food packaging,” said European Commission Vice President Maroš Šefčovič. These substances are commonly found in items such as rain jackets, pizza boxes, waterproof sprays, and skincare products.

PFAS (per- and polyfluoroalkyl substances) are chemicals that persist in the environment and can be harmful to human health and ecosystems. Due to the vast number of PFAS compounds – over 10,000 – implementing a full ban is challenging.

The new restriction targets undecafluorohexanoic acid (PFHxA) and related compounds, known for their high persistence and “unacceptable risk to human health and the environment.” Certain industries like semiconductors, batteries, and fuel cells for green hydrogen will be exempt. The restrictions will take effect next month, with transition periods ranging from 18 months to five years.

Paulus: ‘Baby steps’ in combatting PFAS contamination

The broader EU review process for a full PFAS ban remains ongoing, with results expected by the end of this year or early next year. Initially supported by the German government, the call for a blanket ban has since softened.

MEP and environmentalist Jutta Paulus (Greens) advocates for a complete ban, describing the partial restriction as a “baby step” that is long overdue. Paulus argues against evaluating each substance individually, as this could delay action indefinitely. Instead, the entire group of chemicals should be addressed, while allowing transition periods for applications without current alternatives. However, items like pizza boxes, outdoor jackets or frying pans, she believes, should not require exemptions. luk/dpa

AI liability: Study recommends expanding directive

A study by the European Parliamentary Research Service (EPRS) recommends expanding the scope of the European Commission’s proposed directive on civil liability for artificial intelligence (AI). The study highlights significant shortcomings in the original impact assessment conducted by the Commission.

In September 2022, the Commission presented a proposal for the AI Liability Directive (AILD), aiming to adapt non-contractual civil liability rules to address AI-related issues, alongside an impact assessment. However, the European Parliament’s Legal Affairs Committee (JURI) requested an additional, more focused impact study. This new study, authored by Philipp Hacker from the European University Viadrina, highlights gaps in the Commission’s analysis.

Transition to a software liability regulation

The study criticizes the Commission for not thoroughly exploring alternative regulatory options, such as strict liability, and for lacking a comprehensive cost-benefit analysis. It suggests significantly expanding the AILD to cover not only specific AI systems but also general and “high-impact” AI systems and software. Additionally, it proposes a hybrid liability system combining fault-based and strict liability mechanisms.

A key recommendation is to transition from an AI-specific directive to a broader software liability regulation. This shift would help prevent market fragmentation and ensure uniform liability rules across the EU.

Axel Voss (CDU), who previously served as rapporteur for the AILD, noted that the EPRS study is “very comprehensive and covers many areas.” He emphasized that despite the wide scope of the existing Product Liability Directive and the newly passed AI Act, further regulation is still needed for AI liability. The Legal Affairs Committee will decide on the next steps in October. vis

DMA: Commission demands further changes from Apple

The European Commission has launched two specification procedures to assist Apple in meeting the requirements of the new Digital Markets Act (DMA). The DMA mandates that Apple significantly open its systems and business models regarding the iPhone and iPad.

Among other things, the DMA prohibits major platform operators from favoring their own offerings over those of competing apps. Following the enactment of the DMA, Apple implemented several changes for users in the EU or promised to do so, but these changes have not satisfied Apple competitors like Spotify and Epic Games.

Outgoing EU Competition Commissioner Margrethe Vestager stated that this is the first time the Commission is using the specification procedure under the DMA “to guide Apple towards actual compliance with its interoperability obligations through constructive dialogue.” She emphasized, “We are focused on ensuring fair and open digital markets.”

Vestager: Clarity for developers, third-parties and Apple

Effective interoperability, especially concerning smartphones and their operating systems, plays a crucial role, Vestager noted. “This process will create clarity for developers, third parties and Apple.” The EU will continue its dialogue with Apple and consult third parties to ensure that the proposed measures function in practice and meet the needs of businesses, the current Vice President of the Commission said. The Brussels authority aims to complete the procedure within six months of its initiation.

An Apple spokesperson pointed out that the company has developed over 250,000 application programming interfaces (APIs) that allow third parties to create apps accessing Apple’s operating systems and functions while ensuring user privacy and security. “Undermining the safeguards we have built over time would endanger European consumers and give malicious actors greater opportunities to access their devices and data.” dpa

Andrius Kubilius – Defense commissioner with a clear stance

Lithuanian Andrius Kubilius is the EU’s first defense commissioner.

It sounds like a difficult mission. Andrius Kubilius, as the EU’s first-ever defense commissioner, will face high expectations. The Lithuanian will have limited authority and will need to ensure he asserts himself, given overlaps with other commissioners’ portfolios. Limited resources and debates over additional funding could quickly become obstacles to his ambitious goals.

However, as a former Prime Minister of Lithuania and the European Parliament’s rapporteur on Russia, Kubilius has strong qualifications for the role. “Europe needs to spend more, spend better, and spend European,” Ursula von der Leyen emphasized in her mission letter to Kubilius. The future Defense Commissioner will be in charge of the Directorate-General for Defence Industry and Space (Defis), created only four years ago under the previous Internal Market Commissioner Thierry Breton. This includes overseeing the European Defence Fund, the ASAP and Edirpa tools, and the future European Defence and Investment Programme (Edip).

Reducing barriers to cross-border cooperation

According to the mission letter, the 67-year-old’s tasks include creating a “single market for defense goods and services” as well as promoting increased production capacity and joint procurement. To achieve this, barriers to cross-border cooperation must be reduced. In cooperation with member states, Kubilius is also tasked with strengthening military mobility in Europe and establishing dual-use transport corridors.

Under the leadership of Foreign Affairs Chief Kaja Kallas and in collaboration with member states, Kubilius will work on the “design and implementation” of the European Air Shield and propose additional defense projects of European interest.

Over the next decade, €500 billion in additional funding required

Kubilius has announced plans to push Edip through Parliament as quickly as possible. Additionally, within his first 100 days, he will need to draft a white paper on the “Future of European Defense,” identifying investment needs – a politically sensitive issue.

In his initial statements, Kubilius hinted at the scale of the issue: over the next decade, €500 billion in additional funding will be required. While Kubilius sees various ways to raise this amount, he has not ruled out shared debt. Decisions need to be made quickly, as the EU cannot afford to wait for the next Multiannual Financial Framework (MFF), which won’t take effect until 2028. He cited military experts’ warnings that Russia could be ready to attack NATO states within six to eight years.

Kubilius’s position on financial needs is clear, which could cause tension during his parliamentary hearings in mid-November. However, initial reactions to his appointment and the new portfolio have been largely positive. “Security in all dimensions is now a top priority in Europe,” said liberal EU parliamentarian Marie-Agnes Strack-Zimmermann.

Strack-Zimmermann: Tasks must be clearly defined

Strack-Zimmermann, chairwoman of the Subcommittee on Security and Defense (SEDE), praised the appointment of Kubilius as the first-ever Defense Commissioner. She is also optimistic about working with Kallas and Finnish Vice-President Henna Virkkunen, both of whom have responsibilities in the broader security domain and share borders with Russia.

For this cooperation to succeed, however, tasks need to be clearly defined, Strack-Zimmermann said. To make Europe defense-capable, there needs to be more cross-border industrial collaboration and joint procurement. She sees Kubilius’s role as ensuring member states trust that EU funds for joint defense projects will be well-managed, as trust is still lacking in this area.

Hope for a defense union

Andrius Kubilius has a clear stance on the necessary support for Ukraine and is in favor of defense bonds to address urgent projects, said Green SEDE member Hannah Neumann. Having a Defense Commissioner now means there is finally someone accountable. With Breton’s legacy of an industrial strategy for defense, there is no shortage of work. Neumann sees the greatest potential in cybersecurity, where no national army has sufficient personnel or expertise.

Andrius Kubilius is a recognized expert in security and defense policy, according to MEP Tobias Cremer. As a new SEDE member, the Social Democrat is eager to see if Kubilius will present a credible plan for implementing a true European Defense Union during his hearings.

Michael Gahler, a European People’s Party MEP and member of the Foreign Affairs Committee, is pleased that Kubilius’s portfolio includes military mobility and the creation of a defense single market, meaning he won’t just be an industry commissioner. Gahler hopes that member states will also appoint Kubilius as head of the European Defence Agency and coordinator for Permanent Structured Cooperation (PESCO). This, according to Gahler, would pave the way for a genuine European Defense Union. Stephan Israel

EUROPE.TABLE EDITORIAL OFFICE

Till
Hoppe

Sarah
Schaefer

Lukas
Knigge

Corinna
Visser

Markus
Grabitz

Alina
Leimbach

Eric
Bonse

Manuel
Berkel

Stephan
Israel

Claire
Stam

János
Allenbach-Ammann

Dear reader,

The new EU debt rules are starting to take shape. Today marks the deadline for member states to submit their multiannual fiscal plans to the Commission – at least in theory. According to reports, only two model students are expected to meet the deadline: Denmark and Malta. A majority of member states, including Germany and Italy, are likely to submit their plans only by Oct. 15, which coincides with the deadline for their annual budgets.

The Commission has not heard anything from nine member states, or they expect that these countries will not meet the deadline. This includes France and Belgium, where government formation is dragging on. No one expects France to approve a plan in time, leading to anticipated conflicts.

By the end of November, the Commission plans to present the reviewed medium-term fiscal plans for all member states as part of the autumn package of the European Semester. For states that do not submit a plan, the Commission will propose its own path from mid-June – the so-called technical trajectory. This path will likely be far removed from what is currently politically feasible in France. However, it is up to the Council, not the Commission, to finalize the fiscal plan.

Those who do not submit a plan on time can still negotiate with the Commission next year and modify the proposed path. However, the delay will not make the process any easier. The designated Economic Commissioner and guardian of EU fiscal rules, Valdis Dombrovskis, should prepare for difficult discussions with the French and other governments.

Your
János Allenbach-Ammann

EV investigation: Which points are still being negotiated

By

Amelie Richter

The debate surrounding the EU’s additional tariffs on Chinese EVs will continue in the coming weeks. There was no major breakthrough in the negotiations at a meeting between EU Trade Commissioner Valdis Dombrovskis and China’s Trade Minister Wang Wentao on Thursday. Dombrovskis emphasized that the EU’s investigation was based on facts and respected WTO law. However, the EU Commission expressed its willingness to take a closer look at the Chinese price commitment proposal despite the expiration of the deadline.

The Commission announced last week that it would no longer accept any new price commitments from the Chinese car manufacturers because the deadline at the end of August had passed. The car manufacturers had agreed in the commitments to set minimum sales prices for their electric vehicles. The aim is to reduce the price pressure on European manufacturers and thus avoid the proposed tariffs.

The Commission now applies an article of the anti-subsidy regulation to extend the deadline for Chinese car manufacturers. Chinese manufacturers can submit new price commitments, which the Commission will consider.

Strict deadline on October 30

However, the Commission will continue the investigation in accordance with its deadlines. And the clock is ticking: The investigation must be completed by October 30 at the latest. There has been a slight delay in coordination with the Member States. The vote in the Trade Defense Instruments Committee scheduled for next week has been postponed, as EU diplomats confirm to Table.Briefings – probably until the week after.

The EU Chamber of Commerce in China still hopes for a political solution: “We would like to see an outcome that continues to allow for a strong trade and investment relationship,” Adam Dunnett, Secretary General of the Chamber of Commerce, told Table.Briefings. EVs only make up a small part of overall trade between China and the EU. However, according to Dunnett, concerns are growing, and he can understand why the EU intervened so early. However, the whole situation is “unfortunate.” Dunnett hopes that there will be no domino effect on other industries.

Wang warns that trade relations are at a ‘crossroads’

The EU Competition Commissioner-designate Teresa Ribera stressed that avoiding a trade war is just as important as the development of the European car industry. “The main message … is that it is important to avoid a clash, a trade war,” Ribera told the Financial Times. “We need to identify the best tools for how we can develop the car industry in Europe but are also effective in terms of avoiding this trade war,” she said. “This is something that is already being assessed by the Commission Services and the trade people.”

At a meeting with Chinese and European car manufacturers in Brussels on Wednesday evening, Trade Minister Wang said that trade relations between China and the EU are now at a “crossroads,” with “one path leading to openness and collaboration [and] the other to protectionism and isolation,” as the Chinese Chamber of Commerce with the EU stated.

Declining EV sales

Experts voiced concerns that the additional tariffs could affect the EU’s CO2 target. This trend is also reflected in car sales data, which shows a decline in sales of all-electric cars of almost 44 percent in August. The largest EV markets, Germany and France, recorded declines of 68.8 percent and 33.1 percent, respectively, which is also linked to reduced EV purchase subsidies.

Europe’s three largest car manufacturers, Volkswagen, Stellantis, and Renault, recorded total sales declines of 14.8 percent, 29.5 percent, and 13.9 percent, respectively. Tesla and SAIC were not spared either: Their European sales fell by 43.2 percent and 27.5 percent, respectively. How the additional tariffs could affect consumers is up to the manufacturers. For instance, Tesla has already increased the prices of its Model 3 vehicles in Europe. Geely’s Lynk & Co. brand announced it would not raise prices.

Digital and innovation policy: Von der Leyen relies on many minds

By

Corinna Visser

Anyone wanting to understand Henna Virkkunen‘s responsibilities needs a large canvas. The portfolio of the designated Executive Vice President for Technological Sovereignty, Security and Democracy is vast and overlaps with several other departments. Commission President Ursula von der Leyen has assigned the Finnish politician the enormous task of overseeing digitalization and digital infrastructure.

There are good reasons not to appoint her as the sole Digital Commissioner, but with such a large portfolio, there’s concern that Commission members might clash, as was the case with Margrethe Vestager and Thierry Breton during the previous mandate. In Virkkunen’s case, there are even two strong contenders: the Executive Vice Presidents for Competition and Industry, Teresa Ribera and Stéphane Séjourné.

Breaking the silo mentality

On the one hand, it’s positive that security and democracy are now combined, says Anselm Küsters, Head of the Digitalization and New Technologies Department at the Centre for European Policy (cep). “One of my main criticisms of the last Commission and its digital policy was that it was seen too neutrally, with the geopolitical factor somewhat overlooked.”

However, these overlaps could also lead to conflicts. “On paper, it looks good, but as is often the case, it will depend on how the individuals fill their roles.” Küsters sees many advantages in the new structure. “The changes are generally welcome because the silo mentality of the previous Commission was rightly criticized.”

Küsters sees particular conflict potential in the intersection of technology and security, a central aspect of Virkkunen’s portfolio. The Commission, as in the past, focuses on technological sovereignty. Europe wants to avoid complete detachment but aims to develop its own AI models, build its own infrastructure, and facilitate data sharing. “This doesn’t necessarily align with the security issue, where we still heavily rely on the US,” Küsters argues.

Balancing sovereignty and security

The question is: “Will the Commission continue to act as aggressively against Big Tech as Margrethe Vestager did? Or will that be toned down, considering security concerns that call for closer cooperation between the US and Europe?” This is particularly necessary in areas like standardization, norms and the exclusion of potentially dangerous technologies. “This could be a foreseeable conflict of objectives.”

Is such a conflict easier to resolve when responsibilities are divided among different people who must reach a compromise? Or can one person with an overarching view find a better solution? “From a regulatory standpoint, I’d theoretically find it more transparent if there were two different commissioners, each presenting their arguments openly,” Küsters says. Still, he remains optimistic. “It’s the right approach to at least try to view the issue more politically and consolidate it under one person.”

Sergey Lagodinsky (Greens) welcomes the separation of the digital portfolio from competition. He also appreciates the appointment of Ekaterina Zakharieva as Commissioner for Startups. “This means that policy won’t just focus on big industry, as was the case with Thierry Breton,” says Lagodinsky. However, it’s unclear how her duties will be distinguished from those of Industry Commissioner Stéphane Séjourné, who is also responsible for innovation.

Overlaps with other EPPs

With the Directorates-General DG CONNECT and DG DIGIT under her supervision, Virkkunen has access to key agencies responsible for digital markets and technologies. This gives her a strong institutional foundation to advance digitalization.

However, a look at the mission letters of other commissioners and executive vice presidents reveals several areas of potential overlap and points where coordination problems or conflicts could arise. Overlaps exist with:

Stéphane Séjourné (Prosperity and Industrial Growth): Like Virkkunen, he works on digital innovations and technological transformations for the EU’s competitiveness.
Teresa Ribera (Green Transition and Competitiveness): Ribera’s focus on decarbonizing industry and Virkkunen’s emphasis on digital transformation overlap, as digitalization also contributes to reducing the CO2 footprint.

Two commissioners report to Virkkunen

Ekaterina Zakharieva (Research, Startups, and Innovation): There are overlaps in the area of digital innovations and technologies, particularly regarding research on artificial intelligence (AI) and quantum computing, as well as the promotion of start-ups, which are often in the digital space. Zakharieva will also need to collaborate with Séjourné in the field of innovation.
Andrius Kubilius (Defense and Space): Cybersecurity is the common area. While Kubilius is responsible for military cybersecurity, Virkkunen focuses on the civilian side and cybersecurity for digital infrastructures. Both must work together to ensure a coherent security strategy. Virkkunen is explicitly instructed not to focus solely inward.

Further areas of overlap

Border Management and Migration: Virkkunen is also responsible for border security and managing migration, which includes operational cooperation with member states on border management. Magnus Brunner, the Commissioner for Internal Affairs and Migration, also has significant responsibilities in border security and migration.
Democracy and Rule of Law: Michael McGrath oversees democracy, justice, and the rule of law, tasked with monitoring and strengthening the rule of law in the EU. Virkkunen plays a crucial role in democracy, especially in combating disinformation and ensuring free and fair elections.

Industry expects better framework conditions

Virkkunen’s appointment is well received by the digital association Bitkom. The direct assignment of digital policy challenges to an Executive Vice President is seen as the right move. Significant synergies could be created in the areas of security and democracy, as “technological sovereignty is not an end in itself“. Bitkom is particularly pleased that there’s finally a commissioner for start-ups. The association had long advocated for this, “so that conditions for European startups and scale-ups can be specifically improved.”

Virkkunen’s work on the Union’s AI strategy will also be crucial. In an open letter, a group of companies, researchers, and institutions – including Meta, Prada, and SAP – called for clear and uniform AI regulations in the EU. They warn that without these regulations, Europe risks falling behind in global AI innovation, particularly in the areas of open-source and multimodal models. These technologies offer great potential for economic and scientific progress, but fragmented regulations could threaten Europe’s competitiveness.

Deforestation-free supply chains: Von der Leyen plans revisions

In response to widespread criticism from industry, Ursula von der Leyen intends to make adjustments to the already approved deforestation directive. The European Commission President stated on Tuesday evening during a meeting with the European People’s Party (EPP) group that the implementation timeline would be re-examined. This was reported to Table.Briefings by sources familiar with the situation. The regulations for large companies are currently set to take effect on Dec. 30, with smaller businesses following six months later. However, von der Leyen reportedly said the regulation cannot proceed as planned, without specifying further details.

According to the directive, companies may only sell certain imported products – such as cocoa, coffee, palm oil, soy and timber – within the EU if suppliers have submitted a due diligence declaration. This declaration must confirm that the product does not come from land deforested after Dec. 31, 2020, and that local laws were followed in its production.

EU trading partners criticize

The EPP has been calling for a delay in the implementation deadline for months. “We urge the Commission to immediately postpone the enforcement of the deforestation law,” emphasized Herbert Dorfmann and Peter Liese, spokespersons for the EPP in the European Parliament’s agriculture and environment committees, reiterating this call on Thursday. Liese had previously proposed 2027 as an alternative deadline, suggesting that the delay could be adopted swiftly under emergency procedures.

In addition to EU member states like Germany, organizations such as Eurocommerce and several of the EU’s trade partners – including the US, Australia and Brazil – have approached the European Commission over the past few months, requesting a postponement of the regulations.

“Scrapping the deforestation regulation would be a serious breach of trust and a poor start to the new term of office when it comes to cooperation across party lines,” commented Delara Burkhardt, who co-negotiated the law as a shadow rapporteur for the Socialists and Democrats (S&D) group. Burkhardt noted that a draft of implementation guidelines, which could address many of the outstanding concerns of businesses, has been sitting on von der Leyen’s desk for months. “She needs to do her homework and finally release them,” Burkhardt said.

The S&D group called on von der Leyen and Commission Vice-President Maroš Šefčovič on Thursday in a letter to implement the EU deforestation regulation on schedule and promptly release the missing guidance documents. “The European Union has a great responsibility to protect the world’s forests,” the letter stated. The adoption of the law was “a milestone in our commitment to conservation.” The EU must now ensure that its actions align with its policy goals. The Greens also support maintaining the current deadline. Their concern is that if the deadline is changed, it could lead to further weakening of the law during the revision process.

On Thursday, the Commission reiterated its stance, stating that the date for implementation remains unchanged, and that they are working hard to ensure a smooth rollout. “The co-legislators set the implementation date for next year due to the urgent need in light of persistently high deforestation rates,” a spokesperson told Table.Briefings. leo/tho

Hearings of the Commissioners-designate likely to start on Nov. 4

The hearings of the commissioner-designates in the European Parliament are likely to start on Nov. 4. The committee chairs, responsible for conducting the hearings, will meet on Oct. 1 for an extraordinary session to finalize the schedule. The Legal Affairs Committee (JURI) postponed its meeting to review the financial and other interests of the commissioner-designates by one week, moving it to Sept. 30. This review will be conducted in the presence of all 48 members and will be kept confidential.

The Legal Affairs Committee must determine if there are any potential conflicts of interest between the assets of the candidates, their partners, or children and the specific portfolio assigned to them. If there are indications of a conflict, the committee may ask further questions or summon the candidate for clarification. If the committee identifies a conflict that cannot be resolved, it may decide to prevent the candidate from proceeding to the hearing stage.

Council consults the Parliament

The Parliament can only schedule the hearings once it has been consulted by the Council and has received the declarations on conflicts of interest from the commissioner-designates. On Thursday, the missing official nomination letter from Slovenia for Marta Kos was received, prompting the Hungarian Council Presidency to forward the documents to the Parliament. European Commission President Ursula von der Leyen had hoped the hearings would begin in October, allowing her Commission to start work in early November. Otherwise, the Commission is more likely to begin in December or January.

At a meeting on Wednesday in the Berlaymont building, experienced commissioners reportedly warned the newcomers not to underestimate the importance of the hearings. Before the hearings begin, the candidates must answer written questions. The hearings, which typically last three to four hours depending on how many committees are involved, will start with an opening statement from the candidates, followed by questions from Members of the European Parliament (MEPs). mgr/tho

Future government in France finalized

Two weeks after his appointment, France’s new Prime Minister Michel Barnier has completed the difficult process of forming a government. He wanted to present the composition of the future cabinet to President Emmanuel Macron in the evening, the government announced in Paris.

This was preceded by consultations between Barnier and leading representatives of the centrist and conservative parties , whose support he is counting on for the future government. At the meeting, which was also attended by Barnier’s predecessor Gabriel Attal, the architecture and balance of the future government was presented, according to the government.

Barnier also outlined the basic lines of his future policy during the consultations. The aim is to improve the standard of living of the French and the functioning of public services, in particular schools and healthcare. Another focus would be more internal security, control of immigration and the promotion of integration. Furthermore, businesses and farmers as well as France’s economic attractiveness should be promoted. In addition, public finances should be restructured and environmental policy strengthened.

A vote of no confidence threatens from the left and right

The new government is expected to be presented to the public this Friday. It remains to be seen to what extent Barnier will fill ministerial posts with politicians from the left-wing camp. The left-wing parties had initially not declared their willingness to participate in a government. As reported by the newspaper “Libération” and the broadcaster BFMTV, among others, seven of the 16 ministers in the future government are to come from Macron’s center camp, three from the conservative Republicans, one from a left-wing party, one from a right-wing party and the others from center parties.

Depending on the government’s plans, Barnier may have to rely on the support of different partners and also on the tolerance of Marine le Pen’s right-wing nationalist Rassemblement National. It is uncertain whether Barnier and the new government will remain in office for long. Both the left and the right could threaten a vote of no confidence in the short term. According to media reports, Barnier is scheduled to make a government statement on October 1.

The political situation in France has been tense since none of the political camps won an absolute majority in the early parliamentary elections just over two months ago. The fact that Macron appointed the conservative former EU Commissioner Barnier (73), a prime minister from a camp that performed poorly in the election, caused displeasure in France beyond the left-wing alliance. dpa

‘Fragile market’: Habeck requests longer deadlines for hydrogen economy

In a letter to EU Energy Commissioner Kadri Simson, seen by Table.Briefings, Habeck highlights that the ramp-up of the hydrogen market is significantly slower than anticipated. “I hear many concerns from companies that we are losing momentum in climate action,” he wrote.

Therefore, Habeck argues that the “fragile market” needs a boost. Specifically, he suggests postponing the mandatory use of renewable electricity in hydrogen production.

Extension by seven years

The key issue involves the principle of “additionality“. Under the current delegated act 2023/1184, new hydrogen electrolysis plants must, from 2028 onwards, be connected to newly built renewable energy plants. This is to ensure that hydrogen production contributes to the expansion of green energy production. Without this requirement, supposedly climate-neutral hydrogen could occasionally be produced using fossil fuels, especially on days with low wind and sunlight. Habeck is advocating for a seven-year extension of this transitional period, pushing the deadline to 2035.

Similarly, Habeck seeks an extension regarding “temporal correlation,” for which the current transition period ends in 2029. Under this rule, hydrogen producers must demonstrate that sufficient renewable electricity is available in the grid while their electrolysis plants are producing hydrogen. Currently, this verification is calculated over a monthly period, but it will eventually be measured hourly. Habeck is requesting the EU Commission to extend this deadline by one year.

“This would make it easier for companies to manage the very high project costs, particularly during the market ramp-up phase,” Habeck writes, “and produce the hydrogen urgently needed by European industry.” av

Study: West remains entwined with Russia’s nuclear industry

The report highlights the continued interdependence between Russia’s and the West’s nuclear industries. This interconnection has, in part, shielded Russia from European sanctions.

“The close mutual industrial and market interdependencies between Russia’s nuclear industry and its Western counterparts at least partly explain the Europeans’ reluctance to impose sanctions on the nuclear sector,” the report states. However, reducing reliance on Russia is likely to increase costs.

Dependence on Rosatom

Since Russia’s invasion of Ukraine in 2022, five EU member states with Russian-designed reactors (WWER) that run on Russian fuel have been seeking alternative fuel sources, particularly from the US company Westinghouse Electric. Nevertheless, several of these countries stockpiled Russian fuel over the past year, leading to increased imports.

The report also notes that some Western companies heavily rely on new reactor construction by Russia’s state-owned company Rosatom to sell their components. “As Rosatom has carried out all 13 nuclear reactor construction projects outside of China in the last five years, component suppliers, such as French Arabelle turbines, have no other foreign customer besides Rosatom,” the authors write.

The report provides an overview of global nuclear power generation over the past year, which rose by 2.2 percent compared to 2022, although its share in overall commercial electricity generation slightly decreased. rtr

PFAS: EU Commission restricts particularly harmful ‘forever chemicals’

The European Commission is restricting the use of a subset of so-called PFAS chemicals. “We are removing harmful substances from everyday products like textiles, cosmetics and food packaging,” said European Commission Vice President Maroš Šefčovič. These substances are commonly found in items such as rain jackets, pizza boxes, waterproof sprays, and skincare products.

PFAS (per- and polyfluoroalkyl substances) are chemicals that persist in the environment and can be harmful to human health and ecosystems. Due to the vast number of PFAS compounds – over 10,000 – implementing a full ban is challenging.

The new restriction targets undecafluorohexanoic acid (PFHxA) and related compounds, known for their high persistence and “unacceptable risk to human health and the environment.” Certain industries like semiconductors, batteries, and fuel cells for green hydrogen will be exempt. The restrictions will take effect next month, with transition periods ranging from 18 months to five years.

Paulus: ‘Baby steps’ in combatting PFAS contamination

The broader EU review process for a full PFAS ban remains ongoing, with results expected by the end of this year or early next year. Initially supported by the German government, the call for a blanket ban has since softened.

MEP and environmentalist Jutta Paulus (Greens) advocates for a complete ban, describing the partial restriction as a “baby step” that is long overdue. Paulus argues against evaluating each substance individually, as this could delay action indefinitely. Instead, the entire group of chemicals should be addressed, while allowing transition periods for applications without current alternatives. However, items like pizza boxes, outdoor jackets or frying pans, she believes, should not require exemptions. luk/dpa

AI liability: Study recommends expanding directive

A study by the European Parliamentary Research Service (EPRS) recommends expanding the scope of the European Commission’s proposed directive on civil liability for artificial intelligence (AI). The study highlights significant shortcomings in the original impact assessment conducted by the Commission.

In September 2022, the Commission presented a proposal for the AI Liability Directive (AILD), aiming to adapt non-contractual civil liability rules to address AI-related issues, alongside an impact assessment. However, the European Parliament’s Legal Affairs Committee (JURI) requested an additional, more focused impact study. This new study, authored by Philipp Hacker from the European University Viadrina, highlights gaps in the Commission’s analysis.

Transition to a software liability regulation

The study criticizes the Commission for not thoroughly exploring alternative regulatory options, such as strict liability, and for lacking a comprehensive cost-benefit analysis. It suggests significantly expanding the AILD to cover not only specific AI systems but also general and “high-impact” AI systems and software. Additionally, it proposes a hybrid liability system combining fault-based and strict liability mechanisms.

A key recommendation is to transition from an AI-specific directive to a broader software liability regulation. This shift would help prevent market fragmentation and ensure uniform liability rules across the EU.

Axel Voss (CDU), who previously served as rapporteur for the AILD, noted that the EPRS study is “very comprehensive and covers many areas.” He emphasized that despite the wide scope of the existing Product Liability Directive and the newly passed AI Act, further regulation is still needed for AI liability. The Legal Affairs Committee will decide on the next steps in October. vis

DMA: Commission demands further changes from Apple

The European Commission has launched two specification procedures to assist Apple in meeting the requirements of the new Digital Markets Act (DMA). The DMA mandates that Apple significantly open its systems and business models regarding the iPhone and iPad.

Among other things, the DMA prohibits major platform operators from favoring their own offerings over those of competing apps. Following the enactment of the DMA, Apple implemented several changes for users in the EU or promised to do so, but these changes have not satisfied Apple competitors like Spotify and Epic Games.

Outgoing EU Competition Commissioner Margrethe Vestager stated that this is the first time the Commission is using the specification procedure under the DMA “to guide Apple towards actual compliance with its interoperability obligations through constructive dialogue.” She emphasized, “We are focused on ensuring fair and open digital markets.”

Vestager: Clarity for developers, third-parties and Apple

Effective interoperability, especially concerning smartphones and their operating systems, plays a crucial role, Vestager noted. “This process will create clarity for developers, third parties and Apple.” The EU will continue its dialogue with Apple and consult third parties to ensure that the proposed measures function in practice and meet the needs of businesses, the current Vice President of the Commission said. The Brussels authority aims to complete the procedure within six months of its initiation.

An Apple spokesperson pointed out that the company has developed over 250,000 application programming interfaces (APIs) that allow third parties to create apps accessing Apple’s operating systems and functions while ensuring user privacy and security. “Undermining the safeguards we have built over time would endanger European consumers and give malicious actors greater opportunities to access their devices and data.” dpa

Andrius Kubilius – Defense commissioner with a clear stance

It sounds like a difficult mission. Andrius Kubilius, as the EU’s first-ever defense commissioner, will face high expectations. The Lithuanian will have limited authority and will need to ensure he asserts himself, given overlaps with other commissioners’ portfolios. Limited resources and debates over additional funding could quickly become obstacles to his ambitious goals.

However, as a former Prime Minister of Lithuania and the European Parliament’s rapporteur on Russia, Kubilius has strong qualifications for the role. “Europe needs to spend more, spend better, and spend European,” Ursula von der Leyen emphasized in her mission letter to Kubilius. The future Defense Commissioner will be in charge of the Directorate-General for Defence Industry and Space (Defis), created only four years ago under the previous Internal Market Commissioner Thierry Breton. This includes overseeing the European Defence Fund, the ASAP and Edirpa tools, and the future European Defence and Investment Programme (Edip).

Reducing barriers to cross-border cooperation

According to the mission letter, the 67-year-old’s tasks include creating a “single market for defense goods and services” as well as promoting increased production capacity and joint procurement. To achieve this, barriers to cross-border cooperation must be reduced. In cooperation with member states, Kubilius is also tasked with strengthening military mobility in Europe and establishing dual-use transport corridors.

Under the leadership of Foreign Affairs Chief Kaja Kallas and in collaboration with member states, Kubilius will work on the “design and implementation” of the European Air Shield and propose additional defense projects of European interest.

Over the next decade, €500 billion in additional funding required

Kubilius has announced plans to push Edip through Parliament as quickly as possible. Additionally, within his first 100 days, he will need to draft a white paper on the “Future of European Defense,” identifying investment needs – a politically sensitive issue.

In his initial statements, Kubilius hinted at the scale of the issue: over the next decade, €500 billion in additional funding will be required. While Kubilius sees various ways to raise this amount, he has not ruled out shared debt. Decisions need to be made quickly, as the EU cannot afford to wait for the next Multiannual Financial Framework (MFF), which won’t take effect until 2028. He cited military experts’ warnings that Russia could be ready to attack NATO states within six to eight years.

Kubilius’s position on financial needs is clear, which could cause tension during his parliamentary hearings in mid-November. However, initial reactions to his appointment and the new portfolio have been largely positive. “Security in all dimensions is now a top priority in Europe,” said liberal EU parliamentarian Marie-Agnes Strack-Zimmermann.

Strack-Zimmermann: Tasks must be clearly defined

Strack-Zimmermann, chairwoman of the Subcommittee on Security and Defense (SEDE), praised the appointment of Kubilius as the first-ever Defense Commissioner. She is also optimistic about working with Kallas and Finnish Vice-President Henna Virkkunen, both of whom have responsibilities in the broader security domain and share borders with Russia.

For this cooperation to succeed, however, tasks need to be clearly defined, Strack-Zimmermann said. To make Europe defense-capable, there needs to be more cross-border industrial collaboration and joint procurement. She sees Kubilius’s role as ensuring member states trust that EU funds for joint defense projects will be well-managed, as trust is still lacking in this area.

Hope for a defense union

Andrius Kubilius has a clear stance on the necessary support for Ukraine and is in favor of defense bonds to address urgent projects, said Green SEDE member Hannah Neumann. Having a Defense Commissioner now means there is finally someone accountable. With Breton’s legacy of an industrial strategy for defense, there is no shortage of work. Neumann sees the greatest potential in cybersecurity, where no national army has sufficient personnel or expertise.

Andrius Kubilius is a recognized expert in security and defense policy, according to MEP Tobias Cremer. As a new SEDE member, the Social Democrat is eager to see if Kubilius will present a credible plan for implementing a true European Defense Union during his hearings.

Michael Gahler, a European People’s Party MEP and member of the Foreign Affairs Committee, is pleased that Kubilius’s portfolio includes military mobility and the creation of a defense single market, meaning he won’t just be an industry commissioner. Gahler hopes that member states will also appoint Kubilius as head of the European Defence Agency and coordinator for Permanent Structured Cooperation (PESCO). This, according to Gahler, would pave the way for a genuine European Defense Union. Stephan Israel

EUROPE.TABLE EDITORIAL OFFICE

Till
Hoppe

Sarah
Schaefer

Lukas
Knigge

Corinna
Visser

Markus
Grabitz

Alina
Leimbach

Eric
Bonse

Manuel
Berkel

Stephan
Israel

Claire
Stam

János
Allenbach-Ammann

Feature

EV investigation: Which points are still being negotiated

Strict deadline on October 30

Wang warns that trade relations are at a ‘crossroads’

Declining EV sales

Digital and innovation policy: Von der Leyen relies on many minds

Breaking the silo mentality

Balancing sovereignty and security

Overlaps with other EPPs

Two commissioners report to Virkkunen

Further areas of overlap

Industry expects better framework conditions

EU Monitoring

News

Deforestation-free supply chains: Von der Leyen plans revisions

EU trading partners criticize

Social Democrats: ‘Responsibility to protect the forests’

Hearings of the Commissioners-designate likely to start on Nov. 4

Council consults the Parliament

Future government in France finalized

A vote of no confidence threatens from the left and right

‘Fragile market’: Habeck requests longer deadlines for hydrogen economy

Extension by seven years

Study: West remains entwined with Russia’s nuclear industry

Dependence on Rosatom

PFAS: EU Commission restricts particularly harmful ‘forever chemicals’

Paulus: ‘Baby steps’ in combatting PFAS contamination

AI liability: Study recommends expanding directive

Transition to a software liability regulation

DMA: Commission demands further changes from Apple

Vestager: Clarity for developers, third-parties and Apple

Executive Moves

Heads

Andrius Kubilius – Defense commissioner with a clear stance

Reducing barriers to cross-border cooperation

Over the next decade, €500 billion in additional funding required

Strack-Zimmermann: Tasks must be clearly defined

Hope for a defense union

Europe.Table editorial team

EUROPE.TABLE EDITORIAL OFFICE

Feature

EV investigation: Which points are still being negotiated

Strict deadline on October 30

Wang warns that trade relations are at a ‘crossroads’

Declining EV sales

Digital and innovation policy: Von der Leyen relies on many minds

Breaking the silo mentality

Balancing sovereignty and security

Overlaps with other EPPs

Two commissioners report to Virkkunen

Further areas of overlap

Industry expects better framework conditions

EU Monitoring

News

Deforestation-free supply chains: Von der Leyen plans revisions

EU trading partners criticize

Social Democrats: ‘Responsibility to protect the forests’

Hearings of the Commissioners-designate likely to start on Nov. 4

Council consults the Parliament

Future government in France finalized

A vote of no confidence threatens from the left and right

‘Fragile market’: Habeck requests longer deadlines for hydrogen economy

Extension by seven years

Study: West remains entwined with Russia’s nuclear industry

Dependence on Rosatom

PFAS: EU Commission restricts particularly harmful ‘forever chemicals’

Paulus: ‘Baby steps’ in combatting PFAS contamination

AI liability: Study recommends expanding directive

Transition to a software liability regulation

DMA: Commission demands further changes from Apple

Vestager: Clarity for developers, third-parties and Apple

Executive Moves

Heads

Andrius Kubilius – Defense commissioner with a clear stance

Reducing barriers to cross-border cooperation

Over the next decade, €500 billion in additional funding required

Strack-Zimmermann: Tasks must be clearly defined

Hope for a defense union

Europe.Table editorial team