European Commission President Ursula von der Leyen at the podium Photographer: Dati Bendo © European Union

European Commission President Ursula von der Leyen used her State of the Union address on Wednesday (16 September) to make the case for a more independent Europe, confronting war, economic competition, AI disruption and climate change — while proposing Canada become the EU’s first associate member.

Opening her #SOTEU speech with Charles Dickens’ “best of times, worst of times”, von der Leyen described a Union stronger but also more exposed to external threats.

“The state of our Union is the strongest it has ever been,” she said, while acknowledging it could feel “as precarious as it has ever been”. “Europe has chosen to forge its own path. And a stronger, independent Europe is now emerging.”

Competitiveness and energy

Von der Leyen called kickstarting Europe’s economy her “number one priority”, promising faster permitting, less red tape and further integration of the Single Market.

The Commission will propose a new Banking Package and create a European Corporation on Critical Raw Materials to secure supplies needed for chips, batteries, clean technology and defence.

With high energy costs weighing on European industry, von der Leyen called for faster electrification and investment in grids, renewables and nuclear power to reduce dependence on imported fossil fuels.

Climate after a 'summer of truth'

After a summer of fires, drought and extreme heat, von der Leyen promised a climate resilience framework focused on 100 of Europe’s most vulnerable territories, alongside a Climate Insurance Alliance, European Heatwave Plan and Water Initiative.

She also floated a future European Firefighting Fleet, declaring that Europe “can, must and will stay the course” on its climate targets.

AI: Opportunity and threat

AI was presented as both an economic opportunity and an emerging security threat. Von der Leyen warned that advanced models could enable hacking “on a level we never thought possible” and pledged closer cooperation with Canada, the UK and others on AI security.

At the same time, Europe will expand computing capacity and push AI into health, transport, agriculture, manufacturing, defence and space. “Above all, we want AI with human agency,” she said.

Jobs, housing and social rights

The Commission plans a Quality Jobs Act before the end of the year and a European Care Deal, alongside measures tackling housing pressures.

Von der Leyen said technological change must benefit workers, while strongly defending women’s rights and Europe’s social model.

PHOTO  European Commission President Ursula von der Leyen and Canadian Prime Minister Mark Carney at the podium Photographer: Dati Bendo © European Union

Canada moves closer

One of the biggest surprises came with Canadian Prime Minister Mark Carney in the chamber.

Von der Leyen proposed an “Alliance for the Future” spanning technology, defence, energy, critical minerals, AI and the Arctic — before going further.

“I would like to work with you on opening the door for Canada to be the first associate member of the EU,” she told Carney. “We share one ocean, one set of values, one way of seeing the world.”

Security, defence and Ukraine

With drone incursions, cyberattacks and sabotage raising security concerns inside the EU, von der Leyen proposed a new European security strategy and an Emergency Security Protocol for incidents falling below the threshold of armed aggression.

She also wants to establish a European Security Council and strengthen joint European defence capabilities.

Ukraine faces what von der Leyen called the “toughest winter of the war”. She promised humanitarian and energy support, stronger air defences and deeper defence-industrial cooperation with Kyiv.

Borders, democracy and children online

The Commission will propose an Emergency Response Framework for exceptional migration crises and strengthen Frontex, while launching a Mediterranean Youth Skills and Jobs initiative.

Von der Leyen also announced an EU KIDS ACT, including no social media for under-13s and restrictions for children under 15, followed by a broader Digital Fairness Act.

Political groups draw battle lines

EPP leader Manfred Weber backed the focus on AI, defence and competitiveness but pushed against restrictive climate policies. “Climate change is a reality,” he said, arguing Europe needed “innovation and not bans.”

S&D leader Iratxe García Pérez demanded that von der Leyen turn “words into action”, backing climate investment, housing and worker protections while warning that simplification must not become deregulation.

Renew Europe leader Valérie Hayer made a pointed appeal for the Parliament’s pro-European majority, as the EPP has increasingly worked with parties further to the right on some legislation. “There’s only one possible majority. It’s our pro-European majority,” she said. “We need to do more. We need more Europe, and we need it more quickly.”

Greens/EFA co-chair Terry Reintke accused EU leaders of failing to respond urgently enough to extreme heat and wildfires. “We are in the middle of a climate emergency,” she said, demanding stronger Green Deal implementation while insisting: “We are not powerless. Europe is strong, and Europe can be even stronger.”

ECR co-chair Patryk Jaki struck a sharply different note, attacking the Commission over bureaucracy, energy costs and industrial competitiveness. Europe, he argued, was “as weak as it’s ever been.”

Von der Leyen closed on the central theme running through the speech: European sovereignty in an increasingly hostile world.

“The fate of Europe,” she said, “must remain in the hands of Europeans.”

European Commission President Ursula von der Leyen during her speech in 2025 Photographer: Dati Bendo © European Union, 2025

Ursula von der Leyen is expected to make the case for a more independent and resilient Europe in her State of the European Union address on Wednesday (16 September). But analysts and political groups in the European Parliament are demanding something more concrete: evidence that the Commission can turn its expanding ambitions into results Europeans can see.

The State of the European Union address, commonly known in Brussels as the “SOTEU”, is the Commission president’s annual speech to Parliament setting out priorities for the year ahead. Modeled in part on the US president’s State of the Union address to Congress, the EU version began in 2010 under then Commission president José Manuel Barroso. Von der Leyen will deliver this year’s address at 9:00 tomorrow morning (16 September).

The speech comes as Europe is confronted with an ongoing war in Ukraine, a fragmenting global trading system and the challenge of strengthening defence while reviving competitiveness and financing the green transition. At home, von der Leyen must reconcile political groups that broadly agree on the need for a stronger Europe but differ over what that means.

For Manfred Weber, chairman of von der Leyen’s centre-right European People’s Party group, the focus should be on voters’ economic and security concerns.

“Europe’s priorities must reflect people’s concerns: jobs, the cost of living and economic security,” Weber said. He called for a stronger economy and well-paid jobs, tighter control of Europe’s borders, leadership on AI, continued support for Ukraine and “a strong European defence pillar”.

On the centre-left, Iratxe García Pérez, president of the Socialists and Democrats group, argues that the Commission has relied too heavily on deregulation.

“Europe needs more than announcements,” García Pérez said. “It needs concrete policies backed by the necessary resources.” The S&D wants greater emphasis on affordable food, housing and energy, quality jobs and climate action, alongside European sovereignty in defence and digital technologies.

Renew Europe is also making delivery the benchmark, calling on von der Leyen to present “a credible plan turning European ambition into visible results” and framing the choice as one between united European action and fragmentation.

Analysts at the European Policy Centre see the same challenge extending to Europe’s position in the world.

“Von der Leyen will tell us that the EU is forging new partnerships around the globe,” said Almut Möller, the EPC’s director for European and Global Affairs. Canadian Prime Minister Mark Carney’s attendance will reinforce the geopolitical dimension of the speech.

But strategic autonomy goes beyond defence and trade. Georg Riekeles, the EPC’s head of political economy, identifies financial dependence as an overlooked vulnerability. With the international financial system becoming less stable, Europe cannot assume Washington and the US Federal Reserve will play the stabilising role they did in previous crises. Von der Leyen “must therefore address financial sovereignty as a core element of European security”, he argues.

Technology poses another test. Elizabeth Kuiper, the EPC’s head of health and societal resilience, says von der Leyen should “reject the trade-off between competitiveness, technological progress, and the EU’s social model”, particularly as AI affects employment, income security and social cohesion.

Climate policy presents a similar collision between ambition and resources. Stefan Šipka, the EPC’s head of sustainable prosperity, argues that Europe needs “a robust delivery mindset, no more strategies” as it tries to combine defence, decarbonisation and economic security.

The common thread is delivery. Von der Leyen has no shortage of strategic objectives. The harder task on Wednesday will be explaining how they fit together, how Europe will finance them and what takes priority when they conflict.

For EPC policy analyst Eric Maurice, von der Leyen “must provide strategic focus and political clarity”.

“As the midterm in her second term approaches,” Maurice said, “it is time for von der Leyen to present a vision and deliver.”

Executive Vice-President Roxana Mînzatu presents Fair Labour Mobility package © European Union

The European Commission has unveiled what it calls an ambitious “Fair Labour Mobility” package aimed at making it easier for people to work across EU borders while strengthening protections against exploitation and fraud.

The proposals would allow workers to prove social security and health insurance entitlements digitally and make qualifications easier to understand and recognize. The Commission estimates the measures could generate €6 billion in benefits by 2040.

Central to the package is a European Social Security Pass, or ESSPASS, enabling people to request and receive documents such as the European Health Insurance Card and the A1 certificate for posted workers online. Documents could be stored in the EU Digital Identity Wallet and verified by national authorities.

Brussels is also proposing faster recognition of professional qualifications. Procedures for regulated professions, including doctors and nurses, with the aim of reducing the target processing time from three months to five weeks.

Recognition of qualifications obtained outside the EU would also be streamlined, with common standards intended to cut average processing times from 14 months to four months.

The European Federation of Nurses Associations (EFN) has welcomed the Commission’s plans for recognising qualifications from outside the EU, arguing that they bring greater transparency to a labour market already heavily reliant on internationally recruited healthcare professionals.

EFN Secretary General Paul De Raeve said recruitment from third countries was already well established and frequently organised through bilateral arrangements between governments. Denmark, he noted, has gone considerably further, establishing a school in Delhi to prepare Indian nurses for work in Denmark, including Danish-language training.

“This is going on,” De Raeve said, arguing that international mobility cannot simply be prevented when European health systems need staff and qualified professionals want to move. In the short term, he said, overseas recruitment is also difficult to avoid given that educating a nurse takes around four years.

For De Raeve, an important improvement in the Commission proposal is therefore not simply facilitating recruitment, but putting it within a clearer European framework. The proposed directive would establish common rules for recognising qualifications obtained outside the EU, including aligned documentation requirements.

It would also provide stronger mechanisms for checking whether qualifications are genuine and meet European standards. Training programmes and institutions seeking access to automatic recognition would undergo EU-level assessment, potentially including independent review, site visits and direct examination of training environments.

De Raeve particularly welcomed this approach, pointing to the risks of fraud in diploma accreditation. Having universities and training institutions formally assessed and certified would give regulators and employers greater confidence that somebody arriving with a qualification has been trained by a legitimate institution to an appropriate standard.

He also welcomed plans to reduce administrative delays for individual professionals.

For nursing, De Raeve argued, faster recognition and stronger verification could help Europe recruit internationally without lowering professional standards, while replacing opaque bilateral arrangements with more consistent EU-level rules.

The proposals still require approval by the European Parliament and EU governments. Key measures would then be phased in over several years, with improvements to the Labour Authority expected during 2028–2030.

This consultation invites stakeholders to propose changes to the VAT rules so that they  better support circular business models. 

The European Commission has launched a consultation on the alignment of VAT rules with the principles of the circular and low emission economy. This initiative, part of the upcoming Circular Economy Act, aims to support the transition towards a more sustainable and competitive European economy.

The Circular VAT consultation seeks stakeholder input on how VAT rules can be adapted to better support circular business models. The focus will be on three key areas: the treatment of second-hand goods, the destruction of  viable goods, and the VAT deduction rules for passenger cars used for business purposes.

The consultation is part of a broader evaluation and impact assessment process, which will run in parallel and is expected to conclude in early 2027. The findings from this process will inform a legislative proposal aimed at amending the VAT Directive to better align with the objectives of the circular and low emission economy.

The consultation is open for eight weeks and will be accessible via the Commission's 'Have your Say' portal. Stakeholders, including business federations, SMEs, trade associations, national tax authorities, academics, and the general public, are encouraged to participate and share their views.

This initiative is a crucial step towards creating a more coherent VAT framework that supports the circular economy and contributes to the EU's environmental sustainability objectives.

Businesses, tax experts & sustainability advocates – share your views by 4 November 2026.

Have your say!

On 9 September, the European Commission adopted a proposal for a new Regulation to modernize and simplify the EU's public procurement framework to support effective investments in public services and infrastructure in line with the Union's policy objectives.

Drawing on extensive consultations with public buyers, businesses, trade unions, and civil society, the Commission is proposing an ambitious reform to make public procurement simpler, more flexible, and more effective. It will help complete a Single Market for public procurement, which accounts for around 15% of the EU's GDP.

Public procurement is central to both the European economy and citizens' daily lives, covering
everything from transport, infrastructure, and energy systems, to schools and health care services. The proposal is expected to deliver significant administrative annual savings of €649 million, resulting from a burden reduction of €80 million for public buyers and of €570 million for economic operators.

The proposed Public Procurement Regulation builds on the strengths of the Single Market
in four key ways.

Simpler and clearer rules
The proposed Public Procurement Act makes the rules simpler and clearer by consolidating into one directly-applicable Regulation the three existing public procurement directives and procurement provisions currently spread across sector-specific legislation. This will create a more coherent and predictable procurement framework, reducing complexity, administrative burden, and inconsistencies in how the rules are applied with three procedures instead of five currently. It will reduce complexity and inconsistency resulting from separate legislative acts and divergent national transposition choices.

The new framework gives public buyers greater flexibility, allowing negotiations with the applicant during the procedures. It encourages better market consultation, simplifies administrative procedures and allows for negotiations, making public procurement more similar to private procurement. It also introduces an innovation procedure for the development and acquisition of innovative solutions not yet available on the market. One single platform for all procurement in the EU Key to simplification and administrative burden reduction is the creation of an integrated digital procurement marketplace consisting of interconnected and interoperable member states' eProcurement platforms.

The digital marketplace will simplify and facilitate procurement for public buyers (for example, through the automatic verification of exclusion criteria). It will allow companies to take part in procurement procedures and submit tenders across the EU through any of the connected eProcurement platforms applying the ‘once-only' principle, avoiding repeated requests for information and documentation requirements. This will promote access to new business opportunities and increase the number of offers public buyers receive, maximising the potential of the single market.

The digital marketplace will moreover streamline data exchanges between member states' eProcurement systems through the creation of a unified framework for data management, thereby strengthening transparency, accountability, and anti-fraud capabilities. Stronger support for environmental, social, and innovation goals The proposal makes the Best Price-Quality Ratio (BPQR) the standard award method, with quality criteria accounting for at least 30% (50% for labour-intensive contracts), subject to a ‘comply or explain' mechanism. Contracting authorities may deviate from this approach if they explain how quality will otherwise be ensured, for example through minimum quality requirements.

Public buyers will thus have to systematically consider not only price, but also quality, including environmental, social, innovation, security and resilience, and 'European preference' considerations. Public buyers will have full discretion over which quality criteria to apply and in which proportion in individual procurement procedures, with the proposal offering practical tools to support public buyers in this. Greater security, resilience and strategic autonomy In line with the recommendations of the Draghi report, the proposal reflects the growing geopolitical importance of public procurement. It enables, and in some cases requires, public buyers to address risks related to security and public safety of the Union or member states, sensitive information, cybersecurity, and undue third-country influence.

New provisions on resilience and security of supply would apply to contracts involving entities linked to critical infrastructures and aim to support diversification of supply chains, security of supply and crisis preparedness. Finally, the Regulation introduces a horizontal European preference framework for public procurement in line with the Union's international legal obligations. It clarifies which operators and products are covered by the Union's international procurement commitments and makes this easier to check. The Commission would be able to restrict such coverage where a market access analysis establishes that a third country has failed to grant Union operators fair market access in line with its commitments, or where restrictions are needed to avoid security of supply dependencies or protect our economic security interests.

Next steps
The proposed Regulation will be negotiated by the European Parliament and the Council of the European Union before its adoption and entry into force. Background The revision was announced in President von der Leyen's Political Guidelines. It responds to long-standing shortcomings identified by the European Court of Auditors , including declining competition, limited SME and cross-border participation, and the rise of single-bid procedures. It also follows calls from the Council of the EU and the European Parliament for a strategic, simplified, and competitive framework. It also responds to the recommendations of the Draghi and Letta reports, which highlight public procurement as a strategic tool to strengthen Europe's industrial base, support innovation, advance the green and digital transitions, and reinforce economic security.

The European Commission wants to cut the EU’s public procurement rulebook from around 900 pages to 200, in a sweeping reform that aims to simplify tendering while giving governments greater scope to favour European economic and security interests, writes Catherine Feore.

Executive Vice-President Stéphane Séjourné held up the existing body of rules alongside its much slimmer replacement, to illustrate his point. 

“These here are the European rules which currently govern public procurement in Europe: 900 pages,” he said. “And this is what we are proposing today… down to 200 pages.”

The proposed Public Procurement Act would replace three EU procurement directives with a single regulation, with a view to simplifying procurement provisions spread across 26 sectoral laws and cutting the number of procedures from five to three.

The Commission estimates the changes could save businesses and public authorities €650 million a year in administrative costs.

The reform matters because of Europe’s massive purchasing power involved. EU public procurement exceeds €2.5 trillion annually, around 15% of EU GDP, covering everything from trains and hospitals to energy infrastructure, schools and IT systems.

From lowest price to strategic purchasing

The proposal is not just about cutting red tape. Brussels wants governments to use their purchasing power more strategically.

The Best Price-Quality Ratio would become the standard method for awarding contracts, with quality normally accounting for at least 30% of the assessment and 50% for labour-intensive contracts. Authorities could consider environmental and social performance, innovation, security and resilience alongside price.

The commitment to a so-called European preference has been tempered by the EU’s international commitments, but access can be restricted when a country doesn’t reciprocate market access. Restrictions could also be imposed where reliance on foreign suppliers creates security-of-supply dependencies or threatens EU economic security.

“European public money should, wherever possible, create jobs, investment and opportunities in Europe rather than filling the order books of our competitors,” Séjourné said.

Five procurement procedures would become three: open, dynamic and innovation procedures. Each would allow negotiation between buyers and bidders.

The Commission also plans an integrated EU digital procurement marketplace connecting national e-procurement platforms. A company registered through one connected system should be able to bid elsewhere in Europe without repeatedly submitting the same documentation. This is intended to reduce bureaucracy and tackle one of the current system's weaknesses: too little competition, particularly from SMEs and companies bidding across borders.

National, regional and local priorities may appreciate this flexibility in theory, but constrained budgets often mean that price will remain the bottom line for many. This legislation offers greater freedom in determining needs, but it remains to be seen what its impact will be.

PHOTO CREDIT: European Commission Executive Vice-President Stéphane Séjourné says the rules reduced from 900 pages to 200 pages © European Union

The Commission has just confirmed that it is suspending certain payments under Cohesion funding and the European Regional Development Fund to the Czech Prime Minister’s company Agrofert, due to the apparent conflict of interest surrounding Andrej Babiš' (pictured) role as PM and his business holdings. The Czech Prime Minister is the owner of the massive agribusiness, for which he set up a ‘trust’ ahead of becoming Prime Minister for the second time. The Greens/EFA Group have long highlighted the conflict of interests surrounding the Czech Prime Minister.  

Daniel Freund MEP, Greens/EFA Group Coordinator in the Budgetary Control Committee said:  “The Commission has recognized that Czech PM Andrej Babiš is likely in conflict of interest and we applaud that the Commission has finally taken action here. It is totally unacceptable for a prime minister to be negotiating the EU’s next long term budget, when he decides how large a chunk of that money could end up in his own pockets. The trust fund that Babiš set up in no way is enough to prevent a conflict of interest and it’s welcome that the Commission has acknowledged this.  “However, the Czech people should not have to suffer due to the dodgy dealings of their prime minister. It is time that the Commission and Council forces Czechia to ensure that Babiš is not involved in any negotiations around the EU’s long term budget, which may benefit him or his family directly. Either Babiš is head of Agrofert or he’s Czech PM, he can’t have it both ways.” 

Markéta Gregorová, Greens/EFA MEP and Czech Pirate Member of the Committee on International Trade said: “I am glad that the European Commission has finally started addressing Andrej Babiš’ conflict of interest, as it promised in its response to my inquiry. This confirms that we were right to raise the alarm: Babiš has not resolved his conflict of interest, and, frankly, he never genuinely intended to do so. The Commission must now ensure that the rules are enforced and that European taxpayers’ money is protected from any misuse.”

Commission adopts EU Guidelines on exclusionary abuses of dominance

The European Commission calls it the Affordable Housing Act and says it can “truly bring a change in people’s lives”. But how much will it actually do to make housing more affordable, asks Catherine Feore? 

The tension at the heart of the proposal is that Brussels is making ambitious claims about tackling the housing crisis while simultaneously making clear that it is not imposing new housing policies on governments or cities.

Commission President Ursula von der Leyen says the measure fulfils a promise to tackle housing affordability, describing it as “one step in this direction” and declaring: “Today, we are delivering for all Europeans.” Housing Commissioner Dan Jørgensen went further, saying the Act gives governments and cities tools to “make more affordable homes available”.

Yet the proposed legislation itself is considerably more cautious.
The Commission acknowledges that insufficient housing supply is the structural cause of the affordability crisis. Short-term rentals, second homes and other non-primary uses are not the root problem, although they can exacerbate shortages and push up prices in already constrained markets.

Housing stress test

The Act principally delivers a common legal framework for authorities that choose to intervene.

Central to this is a new EU test for housing stress. An area would normally qualify where an average home costs at least eight years of disposable per-capita income, that ratio has increased over the previous decade, and pressures are unlikely to ease over the next three years. At a ratio of ten or more, the historical deterioration test is dropped. Population dynamics, housing supply and demand must also be assessed.

Authorities could then restrict short-term rentals outside a host’s primary residence or tackle second homes, prolonged vacancy and certain other non-primary uses. But there is no obligation. They must also demonstrate that the activity has significantly harmed housing affordability or availability for at least three years, and any restriction must be targeted, necessary and proportionate. This seems to set a high bar of evidence for most local authorities.

Currently, local authorities must notify the Commission of short-term rental restrictions under the Services Directive. That notification requirement will no longer be required. Cities can use the new framework without seeking prior Commission approval, although measures must be published and remain open to legal challenge. Officials argue this will remove a burdensome procedure and make intervention easier.

But the Commission is equally explicit about what it is not doing. The Act does not regulate rents, harmonise housing policy, give Brussels new housing competences, dictate taxation, inheritance or planning, or require, recommend or encourage authorities to impose restrictions. Housing policy choices “remain national, regional and local”.

Executive Vice-President Teresa Ribera says that when markets fail to provide affordable homes, “public authorities have a responsibility to act”. But the Act does not compel that action; it provides a stronger legal framework if authorities choose to act independently.

Its impact could be real in tourist hotspots where non-primary housing use is demonstrably worsening shortages. But it cannot itself build a home or lower a rent. The question is whether a clearer legal toolbox matches the expectations created by the Commission’s promise to tackle Europe’s housing crisis. When asked to quantify how much of a difference the new provisions could make, the Commission couldn’t give precise figures, saying that it would depend on the measures adopted.

PHOTO CREDIT: Teresa Ribera, Executive Vice-President of the European Commission for a Clean, Just and Competitive Transition, and Dan Jørgensen, European Commissioner for Energy and Housing, give a press conference on the affordable housing Photographer: Jennifer Jacquemart © European Union

The European Commission has appointed Mihail Dumitru (pictured) as new chair of the Mission Board EU Mission “A Soil Deal for Europe”. M. Dumitru is a former Minister of agriculture and rural development of Romania and former Deputy Director-General in the Commission’s Directorate-General for Agriculture and Rural Development. He will bring his extensive experience on agricultural and soil issues, the Common Agriculture Policy (CAP), rural development and research and innovation to provide advice and help achieve the Mission’s objectives. 

M. Dumitru is starting in his new role on 1 September 2026 and will take part in the conference 'Mission forward: Shaping the future through mission-oriented policy' organized by the OECD on 24-25 September in Paris, and in the European Mission Soil Week to be held on 17-18 November in Dublin.

The Mission Soil Board is composed of the following members:

• Mihail Dumitru - Chair
• Adrian Ferrero Fernandez, Economistas de la Innovación Slne, Biome Makers Inc, Spain
• Anna Krzywoszynska, University of Twente, Netherlands 
• Diego Marazza, Università di Bologna, Italy
• Endre Dobos, University of Miskolc, Hungary
• Gabriele Broll, University of Osnabrueck, Germany     
• Harry Vereecken, Forschungszentrum Jülich GmbH, Germany        
• Iustina Boajă, National Institute for Research and Development in Environmental Protection, Geological Institute of Romania
• Mateusz Ciasnocha, Ciasnocha Family Farms, European Carbon Farmers, Poland
• Muriel Mambrini Doudet, Institut de recherche pour le développement, France
• Paloma Melgarejo, Ministerio de Agricultura, Pesca y Alimentación, Spain
• Pandi Zdruli, CIHEAM Mediterranean Agronomic Institute of Bari, Italy
• Teresa Pinto-Correia, University of Evora, Portugal

Background

The role of the Mission Soil Board is to provide strategic advice for the Mission Soil implementation and to promote its activities.

More information

EU Mission: A Soil Deal for Europe

On 1 September in Brussels, Fisheries and Oceans Commissioner Costas Kadis and Intergenerational Fairness, Youth, Culture and Sport Commissioner Glenn Micallef jointly hosted the Youth Policy Dialogue ‘How to make Arctic youth participation more inclusive’.

The ten young participants were selected via the EU-funded project Youth Together for Arctic Futures, a workstream under the EU Arctic Youth Dialogue initiative. During the discussion, they will share their experiences and ideas on how the EU can better support the inclusive participation of Arctic youth in decision-shaping processes on issues that matter to young people. During the dialogue, the Commissioners will also ask for the participants’ opinions on the forthcoming Blue Generational Renewal Strategy, a flagship initiative under the European Ocean Pact aimed at making careers in the maritime sectors more attractive.

The Dialogue took place in the framework of the EU Arctic Forum and the Arctic Youth and Indigenous Peoples’ Dialogues, which took place on 1-2 September opened by International Partnerships Commissioner Jozef Síkela and Kadis. The Forum came at an important moment as the EU is updating its Arctic policy in the context of evolving geopolitical, economic and environmental developments.

The EU Arctic Forum, Arctic Youth and Indigenous Peoples’ Dialogues, which bring together a range of Arctic stakeholders to discuss developments in the region and the future of the EU’s engagement in the Arctic, are integral parts of the EU Arctic policy. Youth Policy Dialogues are part of the European Commission's commitment to mainstream the voice of young people in EU policymaking, as set out in President von der Leyen's Political Guidelines for 2024-2029.

Good afternoon,

I want to start with a simple message – thank you, this is a message for all of you, at my side or in the background. Dear Commissioner, dear Director-General, to the staff from the ERCC and ECHO, thank you for being here when Europe needs you most. As you have said – and I learned a lot in this hour here - day and night, 24/7, weekends and on holidays, whenever a crisis strikes, the team is there. The work you do protects people and most importantly saves lives. When a country asks for help, within hours, that call becomes action. Aircrafts take off, firefighters cross borders, and Copernicus maps reach responders on the ground. What we have seen today and what the ERCC lives everyday is European solidarity in action.

This summer has shown once again how much Europe relies on you. The wildfire season started exceptionally early in late April and put national services under enormous pressure. Since April, the EU civil protection mechanism has been activated 10 times for wildfires in 8 different countries, sometimes with several happening at the same time. When national capacities are stretched, Europe steps in, you can count on Europe. Firefighting aircrafts, helicopters, ground teams with all their expertise, vehicles, satellites, all of this is needed and all of this is mobilised across the continent. And because every single moment counts in an emergency, we are acting before the worst fires begin. Another impressive figure is the nearly 800 firefighters that were pre-positioned in high-risk areas. They stood ready to reinforce local teams from the first critical hours. And over the summer, teams were deployed from 25 countries – Member States and partner countries. And for the very first time, this also included firefighters from Ukraine, helping here in the European Union. Rescue teams have worked heroically. Some tragically lost their lives while bravely protecting others. We honour their courage, we honour their service. Their memory will stay with us, and it will inspire our action moving forward.

The work of this centre goes far beyond the fires, and far beyond Europe. I was impressed to hear that when there was a Hantavirus outbreak on a ship, you prepared repatriation flights and mobilised medical evacuation services. As the earthquakes hit Venezuela, you coordinated the deployment of 750 responders and experts from 18 countries. When Colombia was struck by an earthquake, Europe provided tents, water filters and essential supplies, as well as expertise on the ground. And after the devastating floods in Nepal just last week, we saw the images from Copernicus, you immediately supported the response with Copernicus mapping.

Fires, earthquakes, floods, health emergencies, hybrid attacks, you name it. Each crisis is different and requires a specific response. But most important is that the principle is the same: when help is needed, you can count on Europe. And these crises also paint a bigger picture. The risks around us are changing. They are becoming more frequent, more complex and more severe. Changing global climate patterns are adding to this volatility. Around the world, we see higher temperatures and disrupted rainfall. For emergency services, this is not an abstract warning about the future, it is already changing the emergencies they are facing today. Extreme events happen more often, in more places, and at the same time. This centre has shown time and again that Europe can respond when crisis strikes. But we must also learn from every single crisis and we must turn those lessons into action. So that we adapt faster, strengthen prevention and act before an emergency becomes a disaster. Our civil protection mechanism is pooling and sharing this expertise and the emergency capabilities. When one country comes under pressure, we step in, because as Europe, we are greater than the sum of our parts. That is what this centre demonstrates every day,

I thank you very much for presenting to me the essence of this centre. Of course the time was way too short to speak and see enough. But for me it is also very important preparation for the State of the Union. I thank you for giving me the time, sharing with me your expertise and knowledge. From the bottom of my heart, Europe is grateful for what you're doing.

Thank you.

The European Commission, on behalf of the European Union, has carried out an EU-Bonds auction on 31 August. The results of this auction are as follows:

	EU-Bonds 13/10/2031 2.875%	EU-Bonds 12/12/2036 3.250%	EU-Bonds 12/12/2040 3.625%
ISIN	EU000A4EXVK3	EU000A4ERVC2	EU000A4EJF17
Competitive auction	31/08/2026	31/08/2026	31/08/2026
Settlement competitive auction	02/09/2026	02/09/2026	02/09/2026
Non-competitive auction	01/09/2026	01/09/2026	01/09/2026
Settlement non-competitive auction	03/09/2026	03/09/2026	03/09/2026
Maturity	13/10/2031	12/12/2036	12/12/2040
Volume bids *	2 655	3 473	2 066
Volume allotment *	2 183	2 302	1 788
Non-competitive allocation *	-	-	-
Old outstanding amount *	6 000	14 985	12 964
New outstanding amount *	8 183	17 287	14 752
Weighted average price	98.280%	96.294%	95.819%
Lowest accepted price	98.270%	96.270%	95.790%
% awarded at lowest accepted price	100.00%	27.72%	100.00%
Weighted average yield	3.246%	3.689%	4.013%
Cover ratio	1.22	1.51	1.16

* in millions of euros

A long-running institutional struggle over who controls European Union foreign policy has broken into the open, with EU foreign policy chief Kaja Kallas publicly acknowledging that the role of the High Representative has not worked as intended when decisions are effectively taken above her inside the European Commission, writes Catherine Feore.

Speaking after an informal meeting of EU foreign ministers, Kallas delivered an unusually candid assessment of the relationship between the European External Action Service (EEAS), the European Commission and the member states.

At the centre of the dispute is a fundamental question: whether the EU's foreign policy is ultimately directed through the High Representative, who is supposed to bridge the Commission and national governments, or through Commission President Ursula von der Leyen.

Kallas argued that the problem does not lie primarily in the EU treaties or the institutional architecture they created. Instead, she said, it lies in how that architecture has been implemented in practice.

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"The problem is not the treaties, not the institutional setup. The problem is the implementation of that setup that it would work in practice, and there was a broad support by the member states to make it work. But of course, it doesn't entirely depend on the member states," Kallas said.

The final sentence was significant. Kallas' comments point towards criticism of von der Leyen.

Under the EU's institutional structure, Kallas holds two positions simultaneously: High Representative for Foreign Affairs and Security Policy and Vice-President of the European Commission. The dual role was designed precisely to connect foreign-policy decisions made by the member states with the powerful economic and regulatory instruments controlled by the Commission.

Those instruments include trade, development assistance, enlargement, migration and visa policy. Kallas argued that Europe cannot operate effectively as a geopolitical actor unless it brings those tools together with the foreign policy agreed by national governments.

"If we want to act as a geopolitical player, we should really put these things together," she said, arguing that this was precisely why the treaties created the vice-presidential component of the High Representative's job.

A role that works "on paper"

Asked about proposals to shift parts of the EEAS, its staff or competences towards the Commission, she described a system in which her coordinating authority exists more clearly in theory than in practice.

"The high representative/vice president is the link between the member states and the Commission, on paper, in theory,” she added pointedly that “we have had issues where there is somebody above me that is actually deciding; then you know it doesn't work that way. Let's be very frank.”

The reference to "somebody above me" was the sharpest indication of the institutional problem Kallas was describing. Within the Commission hierarchy, the person “above” Kallas is Commission President Ursula von der Leyen.

Commission versus EEAS

The question arose because foreign affairs ministers were discussing the future of the EEAS and how Europe's external-policy machinery should be organised.

According to Kallas, governments broadly supported retaining the existing institutional structure rather than rewriting it. But they also want that structure to operate as originally intended.

She warned in particular against duplication between the EEAS and the Commission. If a function is already being performed effectively by the diplomatic service, she argued, there is little justification for recreating the same capacity inside the Commission.

The discussion also touched on proposals to concentrate more external-action functions inside the Commission. Kallas said such a transfer could not be separated from the High Representative's authority.

If external-action services are concentrated in the Commission, she argued, the other side of the bargain must be that the High Representative genuinely oversees those services. "One side of the equation cannot happen without the other," she said.

Kallas said a majority of governments supported maintaining the current institutional setup and opposed concentrating everything in the Commission without the High Representative's coordinating role being implemented in practice. 

PHOTO CREDIT: Roundtable Informal meeting of Foreign Affairs Ministers (Gymnich) - September 2026 - Irish Foreign Minister Helen McEntee and EU High Representative Kaja Kallas © European Union

Brussels is tightening its grip on some of the internet’s fastest-growing services, designating ChatGPT, Reddit and Roblox for heightened scrutiny under the European Union’s Digital Services Act (DSA), writes Catherine Feore.

The European Commission said all three services meet the 45 million average monthly users threshold in the EU, triggering the DSA rules reserved for digital players considered large enough to pose systemic risks to European society.

“These new designations mean that ChatGPT, Reddit and Roblox will now be held to a higher standard of scrutiny and accountability in the European Union,” said Henna Virkkunen (pictured), the Commission’s executive vice-president for tech sovereignty, security and democracy.

The move puts the companies firmly in Brussels’ regulatory crosshairs. They must assess and mitigate risks ranging from illegal content and harm to minors to threats to fundamental rights, elections, public security, and users’ physical and mental well-being. Importantly, the designation also gives the Commission investigative powers to scrutinise relevant features and systems underpinning the services.

ChatGPT has been designated a Very Large Online Search Engine (VLOSE), while Reddit and Roblox are now Very Large Online Platforms (VLOPs). They have until the end of January 2027 to comply with the DSA’s tougher obligations.

ChatGPT’s inclusion is particularly significant. The Commission considers the AI service a hybrid product that qualifies as an online search engine because it can search the web when answering users’ queries, bringing a major generative AI service into the DSA’s toughest tier of oversight for the first time.

The Commission will supervise compliance with the DSA, in cooperation with Coimisiún na Meán (Ireland’s media regulator) for ChatGPT and Reddit, and the Dutch Authority for Consumers and Markets (ACM) for Roblox.

With the latest additions, 28 platforms and search engines have now received the EU’s “very large” designation.

Photo credit: Commissioner Virkkunnen Photographer: Lukasz Kobus © European Union

The US Food and Drug Administration’s (FDA) decision to allow 20 ZYN nicotine pouch products to carry a specific reduced-risk claim has created a striking contrast with the direction of European Union policy, as Brussels prepares new product rules and proposes EU-wide taxation of nicotine pouches.

The United States Food and Drug Administration has authorised 20 ZYN nicotine pouch products to be marketed with a statement informing adult smokers that completely replacing cigarettes with the pouches can reduce the risk of several serious diseases.

The decision, issued on 30 June 2026, represents the first time that the FDA has granted Modified Risk Tobacco Product orders to nicotine pouches.

The authorised wording states:

“Using ZYN instead of cigarettes puts you at a lower risk of mouth cancer, heart disease, lung cancer, stroke, emphysema, and chronic bronchitis.”

The orders cover ten varieties of ZYN, each sold in nicotine strengths of 3mg and 6mg. The products include Chill, Cinnamon, Citrus, Coffee, Cool Mint, Menthol, Peppermint, Smooth, Spearmint and Wintergreen.

The manufacturer, Swedish Match USA, is owned by Philip Morris International. The products had already received FDA authorisation to remain on the US market in January 2025, but the new decision goes considerably further by permitting a specific comparative health claim.

The FDA said its decision followed an extensive scientific review and was intended to give adult tobacco users accurate information about differences in risk between products.

“FDA’s review of modified risk products is intended to ensure that adult users have clear, science-based information about the relative harms of tobacco products, so they can make informed choices,” said Bret Koplow, acting director of the FDA’s Centre for Tobacco Products.

The ruling does not mean that ZYN is harmless, nor does it approve the products as medicines or smoking-cessation treatments. Nicotine is addictive, and the FDA continues to advise people who do not currently use tobacco or nicotine not to begin.

The significance of the decision lies instead in the regulator’s formal recognition that nicotine products can present very different levels of risk.

Switching, rather than dual use

A crucial qualification is contained in the phrase “instead of cigarettes”. The authorised claim applies to smokers who replace cigarettes with ZYN. It does not promise the same reduction in risk to consumers who use nicotine pouches while continuing to smoke.

Cigarettes burn tobacco, creating smoke containing toxic substances responsible for most smoking-related cancers, cardiovascular disease and respiratory illness. Nicotine pouches deliver nicotine through the lining of the mouth without burning tobacco or producing smoke.

This difference is central to the principle of tobacco harm reduction: smokers who cannot or do not wish to stop using nicotine may nevertheless reduce their health risks by moving away from combustible products.

The FDA’s decision therefore recognises an important distinction that is frequently blurred in political debate. A product can be addictive and unsuitable for non-users while still being substantially less dangerous than smoking.

UK-based public health commentator Clive Bates, a former director of Action on Smoking and Health, has argued that nicotine pouches could deliver benefits comparable to those associated with the use of Swedish snus in Scandinavia.

“Tobacco-free nicotine pouches with a consumer acceptable nicotine content have the potential to benefit public health in the same way that is documented for Swedish snus in Scandinavia, that is, by serving as a low-risk alternative to cigarettes”, Bates said.

“The European Commission should pay close attention to FDA’s exhaustive process and extensive reasoning. It’s unusual to have anything good to say about the Federal government these days, but this is an important exception, where the right answer has been reached for the right reasons”, he added.

Bates has also argued that poorly designed regulation, including excessively low nicotine limits, could make pouches less effective as substitutes for cigarettes and unintentionally protect the market for combustible tobacco.

Why the FDA decision matters for Europe

The American ruling comes at a particularly important moment for the European Union.

The European Commission is simultaneously advancing a formal proposal to overhaul tobacco taxation (TED) and preparing a broader revision of the EU legislation governing tobacco and nicotine products, their presentation, sale, advertising and promotion.

Nicotine pouches are not comprehensively regulated at EU level under the current Tobacco Products Directive (TPD). Because they contain nicotine but no tobacco, they fall outside many of the harmonised provisions that apply to cigarettes, roll-your-own tobacco, heated tobacco and electronic cigarettes. The result is a fragmented European market.

Some member states permit nicotine pouches subject to national restrictions. Others have introduced nicotine limits, packaging and warning requirements or advertising controls, while France has pursued a prohibition.

Different national rules create uncertainty for consumers and manufacturers and complicate enforcement across the EU’s internal market.

The Commission’s April 2026 evaluation of the European tobacco-control framework identified the rapid growth of nicotine pouches, electronic cigarettes and heated tobacco products as one of the main challenges that existing EU legislation is no longer adequately equipped to address.

The evaluation concluded that EU rules had contributed to falling smoking rates and smoking-related deaths but were failing to keep pace with changes in products, marketing practices and consumer behaviour.

The EC is particularly concerned about the use of novel nicotine products among children, adolescents and young adults. However, the FDA decision introduces an additional issue that EU policymakers will now find difficult to avoid: whether new EU rules should recognise differences in risk between combustible cigarettes and smoke-free nicotine products.

Two contrasting regulatory philosophies

The emerging difference between Washington and Brussels is not simply that one jurisdiction is permissive and the other restrictive.

The FDA subjects nicotine products to an exceptionally demanding premarket review. Products must receive authorisation before they can legally be marketed, and separate evidence is required before a manufacturer may make a modified-risk claim.

The FDA can impose marketing conditions, require post-market surveillance and withdraw an order if later evidence shows that the product no longer benefits public health.

Its approach nevertheless accepts that consumers should be told when credible evidence shows that completely switching from one product to another reduces disease risk.

The Commission’s current approach places greater emphasis on reducing the overall attractiveness and consumption of tobacco-related and nicotine products. Its taxation proposal explicitly presents nicotine pouches as products that can prolong addiction or act as substitutes for cigarettes, especially among young people.

These positions are not necessarily irreconcilable.

The EU could impose age controls, marketing restrictions, ingredient standards and proportionate nicotine limits while still recognising that adult smokers may benefit from switching completely away from cigarettes.

It could also prohibit unsubstantiated commercial claims while creating an evidence-based process through which manufacturers could apply for permission to communicate verified differences in risk.

The alternative would be to impose increasingly similar taxation, warnings and advertising rules on products with significantly different health consequences.

A test for evidence-based policymaking

The EC ran a public consultation on revisions to both the Tobacco Products Directive (TPD) and the Tobacco Advertising Directive (TAD) from 22 May to 14 August this year. The consultation, is intended to inform a revision of the legislative framework planned before the end of 2026.

It creates an opportunity to consider evidence that was not available when the current Tobacco Products Directive was adopted in 2014.

Nicotine pouches were then a marginal product. They now represent a rapidly expanding category, and national governments are adopting increasingly divergent responses.

The FDA decision does not compel Europe to follow the US model. The EU has different legal structures, public-health priorities and attitudes towards commercial nicotine.

It does, however, establish a significant regulatory precedent.

One of the world’s most influential public-health authorities has concluded that there is sufficient evidence to tell adult smokers that completely switching to specified nicotine pouches reduces their risk of mouth cancer, heart disease, lung cancer, stroke, emphysema and chronic bronchitis.

That finding sits uneasily with any policy or public communication suggesting that cigarettes and smoke-free nicotine products are essentially equivalent.

The issue is particularly relevant to the Commission’s tax proposal. Taxation affects consumer behaviour partly by changing the relative prices of products. If pouches are taxed so heavily that the economic advantage over cigarettes is substantially reduced, smokers may have less incentive to switch.

Conversely, setting taxes too low could increase affordability and use among young people who have never smoked.

The task for EU legislators is therefore not simply to choose between regulation and deregulation. It is to develop a framework that calibrates restrictions, taxation and consumer information according to evidence about risk, behaviour and population-level effects.

Europe’s choice

While Washington is recognising that adults deserve accurate information about lower-risk alternatives, Brussels is looking for ways to restrict, tax or ban them.

Meanwhile, the EU is failing to control illegal disposable vapes, banned flavours, excessive nicotine levels and unauthorised devices moving through black-market channels. Regulated products are demonised, while illegal and unregulated products keep reaching consumers, including young people.

The forthcoming EU debate will test whether Brussels can reconcile its tobacco-free objective with the potential role of lower-risk alternatives.

The FDA decision makes three points that are likely to shape that discussion.

First, nicotine pouches are not harmless and should not be promoted to children or people who do not use nicotine.

Second, the absence of combustion means that their risks can differ substantially from those associated with cigarettes.

Third, the greatest potential benefit arises when smokers switch completely rather than using pouches alongside continued smoking.

The Commission is right to address gaps in the existing legislation and fragmentation between member states. Common product standards, youth protections and enforcement rules may be necessary for the Single Market to function properly.

But regulation that fails to acknowledge relative risk could also have unintended consequences.

Clive Bates and other harm-reduction advocates argue that treating all nicotine products as though they are similarly dangerous can preserve smoking by discouraging consumers from moving to safer alternatives. European health campaigners respond that the growth of commercially marketed nicotine products could create a new generation of dependent users.

The revised Tobacco Products Directive (TPD) will need to address both concerns.

As the EC completes its consultation and develops its legislative proposal, the American decision gives European policymakers a concrete case study rather than a theoretical argument.

The question is no longer whether a regulator could authorise a carefully limited reduced-risk claim for a nicotine pouch. The FDA has now done so.

The question for Europe is whether its forthcoming legislation will allow comparable scientific evidence to influence regulation, taxation and communication — or whether nicotine pouches will be treated principally as another product to be restricted, irrespective of their potential role in moving smokers away from cigarettes.

Episode 12 of the DGT podcast: Languages and Technology is now available.

How does a European Commission document become 24 equally valid language versions of itself?

Anna Holmén takes us behind the scenes with Ivana Zeljković and Iva Vatova-Ivanova from DG Translation’s Demand Management Unit. They reveal how translation work is planned and coordinated, how tight deadlines are managed, and how technology and human expertise come together to keep multilingual Europe running — with deadline compliance above 99%.

Step inside the engine room of EU multilingualism and discover the people and processes that make 24-language communication possible every day.

Tune in to hear more

The European Commission has approved, under the EU Merger Regulation, the acquisition of joint control of Eurowind Energy A/S by Norlys a.m.b.a. and EWE Holding ApS (‘EWH'), all of Denmark, and Blackstone Inc. of the US.

The transaction relates primarily to the development, construction, and operation of wind and solar farms in Europe, the wholesale of electricity, the provision of electricity balancing and ancillary services, as well as the development of renewable energy solutions.

The Commission concluded that the notified transaction would not raise competition concerns, given the companies' limited market positions resulting from the proposed transaction. The notified transaction was examined under the simplified merger review procedure.

More information is available on the Commission's competition website, in the public case register under the case number M.12473.

The European Commission has approved, under the EU Merger Regulation, the creation of a joint venture by CMA CGM S.A. and TotalEnergies S.E., both of France.

The transaction relates primarily to LNG bunkering logistics services.

The Commission concluded that the notified transaction would not raise competition concerns, given that the joint venture will have negligible activities in the European Economic Area and given the companies' limited combined market positions resulting from the proposed transaction. The notified transaction was examined under the simplified merger review procedure.

More information is available on the Commission's competition website, in the public case register under the case number M.12406.

The European Commission has closed an antitrust investigation into alleged anticompetitive behaviour by Pratt & Whitney Canada Corp. (‘Pratt & Whitney'), the main supplier in the European Economic Area (‘EEA') of turboprop aircraft engines. The closure of the investigation follows the company's amendment of contractual clauses, which removes possible obstacles to access to critical input and services faced by spare parts suppliers. Spare parts are sold to customers in the EEA for the repair and maintenance of engines.

The Commission investigated whether Pratt & Whitney may have been foreclosing access to critical input and services needed by spare part suppliers, so-called used serviceable material (‘USM') suppliers, for certain turboprop aircraft engines. USM suppliers need access to used engine cores to tear them down and replenish their stock of spare parts. They also need access to certification services that attest that a spare part is airworthy and can be reused. By limiting the ability of maintenance shops in their network to sell used engine cores or provide certification services to USM suppliers, Pratt & Whitney may have restricted competition from independent USM suppliers. Following exchanges with the Commission, Pratt & Whitney amended its agreements to remove these restrictions and clarified that maintenance shops are not prevented from buying USM from other suppliers.

After thorough analysis and assessment of evidence, and considering the changes and clarifications made by Pratt & Whitney to its contractual clauses, the Commission concluded that the investigated concerns have been addressed. Further action is no longer considered a priority at EU level. Pratt & Whitney has made a public announcement on its website highlighting the changes made to its contractual clauses.

The closure of the investigation is not a finding that the conduct in question complied with EU competition rules.