The Italian government is satisfied with new funding promised by Brussels to European farmers and is signaling that it may cast its decisive vote in favor of the EU’s huge trade deal with the Latin American Mercosur bloc. Ahead of Friday’s vote by EU member countries, Foreign Minister Antonio Tajani said Rome was happy with the European Commission’s efforts to make the deal more palatable. Agriculture Minister Francesco Lollobrigida also said the accord represented an opportunity — especially for food exporters. “Italy has never changed its position: We have always supported the conclusion of the agreement,” Tajani said on Wednesday evening. Yet they stopped short of saying outright that Italy would vote in favor of the deal. Instead, within sight of the finish line, Rome is pressing to tighten additional safeguards to shield the EU farm market from being destabilized by any potential influx of South American produce. Rome’s endorsement of the accord, which has been a quarter century in the making and would create a free-trade zone spanning more than 700 million people, is crucial. A qualified majority of 15 of the EU’s 27 countries representing 65 percent of the bloc’s population is needed. Italy, with its large population, effectively holds the casting vote. France and Poland are still holding out against a pro-Mercosur majority led by Germany — but they lack the numbers to stall the deal. If it goes through, Commission President Ursula von der Leyen could fly to Paraguay to sign the accord as soon as next week. The bloc’s other members are Brazil, Argentina and Uruguay. ‘AN EXCELLENT OPPORTUNITY’ Italy praised a raft of additional measures proposed by the Commission — including farm market safeguards and fresh budget promises on agriculture funding — as “the most comprehensive system of protections ever included in a free trade agreement signed by the EU.” Tajani, who as deputy prime minister oversees trade policy, has long taken a pro-Mercosur position. He said the deal would help the EU diversify its trade relationships and boost “the strategic autonomy and economic sovereignty of Italy and our continent.” Even Lollobrigida, who has sympathized in the past with farmers’ concerns on the deal, is striking a more positive tone. At a meeting hosted by the Commission in Brussels on Wednesday, Lollobrigida described Mercosur as “an excellent opportunity.” The minister, who is close to Prime Minister Giorgia Meloni and is from her Brothers of Italy party, also said its provisions on so-called geographical indications would help Italy promote its world-famous delicacies in South America. It would mean no more ‘Parmesão,’” he said, referring to Italian-sounding knockoffs of the famed hard cheese. ONE MORE THING … Lollobrigida said Italy could back the deal if the farm market safeguards are tightened. The EU institutions agreed in December to require the Commission to investigate surges in imports of beef or poultry from Mercosur if volumes rise by 8 percent from the average, or if those imports undercut comparable EU products by a similar margin. Even Francesco Lollobrigida, who has sympathized in the past with farmers’ concerns on the deal, is striking a more positive tone. | Fabio Cimaglia/EPA “We want to go from 8 percent to 5 percent. And we believe that the conditions are there to also reach this goal,” Lollobrigida told Italian daily IlSole24Ore in an interview on Thursday. Meloni pulled the emergency brake at a pre-Christmas EU summit, forcing the Commission to delay the final vote on the deal while it worked on ways to address her concerns around EU farm funding. In response Von der Leyen proposed this week to offer earlier access to up to €45 billion in agricultural funding under the bloc’s next long-term budget. Giorgio Leali reported from Paris and Gerardo Fortuna from Brussels.

BERLIN — A high-ranking German lawmaker belonging to Chancellor Friedrich Merz’s conservative bloc issued a simple warning to countries holding up the EU-Mercosur trade agreement: Without such deals, Germany won’t be able to pay more into EU coffers. “Germany is an export nation, from which, incidentally, all other EU countries also benefit,” Sepp Müller, deputy chairman of Merz’s conservative parliamentary group in the Bundestag, said on Wednesday when asked about the leverage Germany has in ongoing negotiations over the trade deal with the Latin American bloc. “If Germany does not return to being a strong export nation, then we will not be able, economically and financially, to bear any further additional burdens for an increasing multi-year financial framework,” he added, referring to the European Commission’s €2 trillion 2028-2034 budget proposal that is now under discussion. “Now Europe must decide: Does it want to put the German economy back on the path to growth and thus support and grow the largest net contributor to the European coffers?” he said. Chancellor Friedrich Merz, speaking in the German Bundestag ahead of an EU summit, exhibited frustration over persisting disagreements that are holding up the Mercosur trade agreement. The agreement, in the works for over 25 years, is within sight of the finish line, but France and Italy are calling for a delay to finalize additional safeguards to protect European farmers from heightened South American competition. Only if they come round will European Commission President Ursula von der Leyen be able to fly to Brazil on Saturday, the day after the EU summit, to sign the deal. “The European Union’s ability to act is also measured by whether, after 26 years of negotiations, we are finally in a position to conclude this trade agreement and thus also to swiftly move forward with the trade agreements negotiated in Mexico and Indonesia,” Merz said. “If in the situation we find ourselves in today, in the times we live in today, we are still haggling over the details of major trade agreements that we as Europeans want to conclude with large economic areas around the world, then those who are doing so still do not properly understand the priorities we are setting now.” Asked about Müller’s comments, the chancellor’s spokesperson, Stefan Kornelius, said: “The government’s policy is to implement Mercosur. The budget is a different matter. A budget only works if we have growth.” Germany contributes around €47 billion to the EU budget annually, corresponding to around 23.6 percent of its funding and over 1 percent of Germany’s gross domestic product. If Germany maintains roughly its current share of the budget, its annual contribution would rise to around €67.3 billion in the next fiscal cycle. Hans von der Burchard contributed to this report.

In one of the most high-pressure summits in years, EU leaders gather in Brussels on Thursday to discuss whether to grant Ukraine access to frozen Russian assets to bankroll its war effort. Belgium, where most of those assets are held, says no. The stakes couldn’t be higher, so stay with POLITICO for all the latest news and analysis. Scroll down for more…

BRUSSELS — A deal on providing cash to fund Ukraine’s war effort must be struck at a summit of EU leaders this week. That was the message from both Italy’s Giorgia Meloni and the European Commission’s Ursula von der Leyen hours before the crucial summit starts in Brussels. Both leaders made clear that no decision had been taken on whether to use frozen Russian assets to help Ukraine. Addressing the Italian parliament in Rome, Meloni admitted that finding a “sustainable solution” to funding Ukraine’s war effort “will be anything but simple.” Thursday’s summit is crucial for Europe and for Ukraine, and the most pressing, unresolved issue is whether to grant Ukraine access to frozen Russian assets to bankroll its war efforts. Belgium, where the majority of those assets are held, is holding out against using them, fearing it would be on the hook to repay the full amount if Russia attempted to claw back the money. Other countries, Italy included, have also expressed doubts about using the frozen Russian assets. Meloni made it clear Wednesday that Italy has not made a decision on whether to support the use of frozen assets. Italy had “decided not to withhold its support for the regulation establishing the immobilization of Russian assets — though I want to underline clearly that we have not yet endorsed any decision on how to use them,” she said. “We did so despite not agreeing with the method used, to avoid any doubt about Italy’s consistent line of support for Ukraine.” Meloni made it clear that “decisions of such legal, financial and institutional magnitude — including any potential use of frozen assets — must be taken by leaders.” “We believe that if this path [using the frozen Russian assets] is taken, it would be shortsighted to focus attention on a single entity holding frozen Russian sovereign assets — namely Euroclear [which is based in Belgium] — when other partner nations also have immobilized assets in their financial systems.” The Italian prime minister also said she intended to “request clarity on the possible risks linked to the proposal to use the liquidity generated by the immobilization of assets — particularly reputational risks, risks of retaliation, or risks of imposing new burdens on national budgets.” Meloni was not the only leader casting doubt over whether a deal could be struck, or if another way forward would be necessary. Speaking two hours earlier before the European Parliament in Strasbourg, von der Leyen said she had “proposed two different options for this upcoming European Council. One based on assets and one based on EU borrowing. And we will have to decide which way we want to take, which route we want to take.” “But one thing is very, very clear. We have to take the decision to fund Ukraine for the next two years in this European Council.” Stressing the need for stronger European defense capabilities, von der Leyen added, “Europe must be responsible for its own security. This is no longer an option. This is a must. We need to be ready.” “There is no more important act of European defense than supporting Ukraine’s defense. The next days will be a crucial step for securing this,” von der Leyen said.

European leaders must agree on a funding deal for Ukraine at a crunch summit in Brussels this week, Ursula von der Leyen said Wednesday. Speaking at the European Parliament in Strasbourg, the European Commission president said, “I proposed two different options for this upcoming European Council. One based on assets and one based on EU borrowing. And we will have to decide which way we want to take, which route we want to take.” She added: “But one thing is very, very clear. We have to take the decision to fund Ukraine for the next two years in this European Council.” Stressing the need for stronger European defense capabilities, she added, “Europe must be responsible for its own security. This is no longer an option. This is a must. We need to be ready.” “There is no more important act of European defense than supporting Ukraine’s defense. The next days will be a crucial step for securing this,” von der Leyen said. “So our task at this week’s summit is to show that we are focused on our own strategy and our own interests and our own priorities.” Thursday’s summit is crucial for Europe and for Ukraine, and the most pressing, unresolved issue is that of whether to grant Ukraine access to frozen Russian assets to bankroll its war efforts. Belgium, where the majority of those assets are held, is holding out against using them, fearing it would be on the hook to repay the full amount if Russia attempted to claw back the money. In her speech to MEPs, von der Leyen said the majority of the cash that Ukraine needs to continue funding its war effort must come from Europe: “The IMF and our estimates show that Ukraine’s needs for the years 2026 and 2027 are around €137 billion. Europe should cover two-thirds, that is €90 billion.” The Commission chief also talked about the EU’s need to boost competitiveness while driving diversification and strengthening supply chains, saying that “Europe’s era of independence must be unstoppable.” Von der Leyen pushed back against criticism from outside Europe, without mentioning U.S. President Donald Trump. “We cannot afford to let the world views of others define us … But let me say this, it would not be the first time that assumptions about Europe were shown to be outdated,” she said. Her comments came a week after Trump told POLITICO in an interview that European leaders were “weak”, adding: “Europe doesn’t know what to do.” The Commission president warned Europeans: “Yesterday’s peace is gone. We have no time to indulge in nostalgia.”

A group of 19 EU countries is pushing the European Commission to take a tougher line on migration beyond the bloc’s borders, arguing that last week’s EU deal on asylum and returns has changed the political weather in Brussels. In particular, they want the Commission to increase cooperation with non-EU countries to tackle what they see as unacceptably high levels of migration into the bloc. “The conclusion of the negotiations on the recent legislative proposals … is an important step,” the ministers of home and foreign affairs of the signatory countries write in a joint letter seen exclusively by POLITICO, adding that “the further development of a coherent EU strategy on the external dimension of migration, including new and innovative solutions, is paramount.” The reference to recent proposals refers to the package agreed on Dec. 8, which includes sweeping new rules to reform how the EU deals with migration, including setting up asylum processing centers in non-EU countries. Governments want the EU executive to put even more weight on the external dimension of migration by cooperating with countries of origin and countries they travel through to stop them reaching the EU. That means accelerating what they called “innovative solutions,” a catch-all term for measures such as so-called return hubs and new partnerships with non-EU countries, which supporters say could make EU migration policy more effective. The appeal is set to feature prominently at this week’s informal “migration breakfast” ahead of Thursday’s EU summit. The breakfasts, launched in June 2024 by Italy’s Giorgia Meloni, Denmark’s Mette Frederiksen and the Netherlands’ Dick Schoof, have become highly influential on the narrative around migration in Brussels. In their letter, the ministers call for expanding the use of “new and innovative solutions” to counter irregular migration and for stronger cooperation among EU agencies, international organizations, and EU countries. While the letter avoids naming specific models, it references tools already embedded in EU law, such as “safe third country arrangements and return hubs,” and calls for their operationalization through partnerships along migration routes. The model of “return hubs,” to which individuals whose asylum claims have been rejected can be sent, has been championed by Italy. The country has built and operates — in a different legal context — two such facilities in Albania, which are expected to serve as the first concrete implementation of this model from mid-2026. Money is a central concern. The signatories argue that the innovative solutions will remain theoretical without clearer funding pathways. “The efficient use of financial resources is necessary for the establishment and operationalisation of innovative forms of cooperation,” the letter states, urging the Commission to issue guidelines on how existing and future EU funds can be mobilized. The ministers also want EU agencies to be more deeply involved, including a possible expansion of the role of the border agency Frontex. They call on the Commission and agencies to explore “necessary legislative and policy changes,” including, “where relevant, revision of the mandate and competences of Frontex, to ensure effective support and sufficient capacity” in cooperation with third countries. Beyond institutions and funding, the letter makes a clear political ask for a single EU voice. “A common narrative and joint diplomatic outreach by Member States and the EEAS … is necessary,” the ministers write, urging Brussels to hard-wire migration into summits and dialogues with partner countries.

HELSINKI — Europe’s easternmost countries have a blunt message for Brussels: Russia is testing their borders, and the EU needs to start paying for the response. Leaders from eight EU states bordering Russia will use a summit in Helsinki on Tuesday to press for dedicated defense funding in the bloc’s next long-term budget, arguing that frontline security can no longer be treated as a national expense alone, according to three European government officials. “Strengthening Europe’s eastern flank must become a shared responsibility for Europe,” Estonian Prime Minister Kristen Michal said Monday. The first-of-its-kind summit, spearheaded by Finnish Premier Petteri Orpo, underscores a growing anxiety among the EU’s so-called Eastern flank countries about Russia’s increasingly brazen efforts to test their defenses and stir panic among their populations. In recent months Russia has flown fighter jets into Estonian airspace and sent dozens of drones deep into Polish and Romanian territory. Its ally Belarus has repeatedly brought Lithuanian air traffic to a standstill by allowing giant balloons to cross its borders. And last week, Moscow’s top envoy Sergey Lavrov issued a veiled threat to Finland to exit NATO.  “Russia is a threat to Europe … far into the future,” Orpo told Finnish daily Helsingin Sanomat on Saturday. “There is always a competition for resources in the EU, but [defense funding] is not something that is taken away from anyone.” Tuesday’s confab, attended by Finland, Sweden, Estonia, Latvia, Lithuania, Poland, Romania and Bulgaria, comes during a critical week for Europe. On Monday several EU leaders met with U.S. officials as they strain to hammer out a peace deal in Ukraine, just three days before all 27 EU countries reconvene for a crucial summit that will determine whether they unlock €210 billion in frozen Russian cash for Kyiv. OPEN THE VAULTS At the heart of Tuesday’s discussion will be unblocking EU money.  The frontline countries want the EU to “propose new financial possibilities for border countries and solidarity-based financial tools,” said one of the government officials. As part of its 2028-2034 budget proposal, the European Commission plans to raise its defense spending fivefold to €131 billion. Frontline countries would like some of that cash to be earmarked for the region, two of the government officials said, a message they are likely to reiterate during Thursday’s European Council summit in Brussels. “Strengthening Europe’s eastern flank must become a shared responsibility for Europe,” Estonian Prime Minister Kristen Michal said. | Hendrik Schmidt/Getty Images In the meantime, the EU should consider new financial instruments similar to the bloc’s €150 billion loans-for-weapons program, called the Security Action For Europe, the same two officials said. European Commission chief Ursula von der Leyen told POLITICO last week she had received calls to set up a “second SAFE” after the first iteration was oversubscribed. The frontline countries also want to throw their political weight behind two upcoming EU projects to buttress the bloc’s anti-drone and broader defenses, the two officials said. EU leaders refused to formally endorse the Eastern Flank Watch and European Drone Defense Initiative at a summit in October amid opposition by countries like Hungary, France and Germany, who saw them as overreach by Brussels on defense, two EU diplomats said at the time. A request to reserve part of the EU budget for a specific region may also face opposition from other countries. To get around this, Eastern flank countries should link defense “infrastructure improvements to overall [EU] economic development,” said Jamie Shea, a senior defense fellow at the Friends of Europe think tank and a former NATO spokesperson. Frontline capitals should also look at “opening up [those infrastructure projects] for competitive bidding” to firms outside the region, he added. DIFFERENT REGION, DIFFERENT VIEW Cash won’t be the only divisive issue in the shadows of Tuesday’s gathering. In recent weeks Donald Trump’s administration has repeatedly rebuked Europe, with the U.S. president branding the continent’s leaders “weak” in an interview with POLITICO. Countries like Germany and Denmark have responded to growing U.S. admonishments by directly rebutting recent criticisms and formally branding Washington a “security risk”.  But that approach has rankled frontline countries, conscious of jeopardizing Washington’s commitment to NATO’s collective defense pledge, which they see as a last line of protection against Moscow. This view also reflects a growing worry inside NATO that a peace deal in Ukraine will give Moscow more bandwidth to rearm and redirect its efforts toward frontline countries. “If the war stops in Ukraine … [Russia’s] desire is to keep its soldiers busy,” said one senior NATO diplomat, arguing those troops are likely to be “relocated in our direction.” “Europe should take over [its own] defenses,” the diplomat added. But until the continent becomes militarily independent, “we shouldn’t talk like this” about the U.S., they argued. “It’s really dangerous [and] it’s stupid.” Jacopo Barigazzi contributed to this report from Brussels.

BRUSSELS — The EU is ratcheting up pressure on governments reluctant to agree on funding for war-ravaged Ukraine — telling them if they don’t force Russia to foot the bill, they’ll have to do it themselves. The European Commission is acutely aware that its plan B — joint EU borrowing known as eurobonds — is even more unpalatable for funding a €140 billion reparations loan for Kyiv than its idea of using frozen Russian state assets, which hit a roadblock last week. Governments historically hostile to big spending, especially Germany and the Netherlands, nicknamed the “frugals,” loathe the prospect of piling greater debt onto taxpayers. Spendthrift nations, France and Italy in particular, are too indebted to take on more.  But that’s the point. European officials are betting that Belgium, which houses nearly all the assets and has expressed concerns about the legitimacy of seizing them, along with other countries that have raised objections more quietly, will be won over to the plan by the prospect of the joint borrowing alternative, which they’ve long considered toxic. “The lack of fiscal discipline [in some EU countries] is so high that I don’t believe that eurobonds will be accepted, certainly by the frugals over the next 10 years,” said Karel Lannoo, chief executive of the influential Centre for European Policy Studies, a Brussels think tank. That’s why using the frozen Russian assets looks like the only game in town. “€140 billion is a ton of money and we have to use it. We have to show that we’re not afraid.” European governments and the European Central Bank have slowly come round to using seized Russian assets to fund the €140 billion. Initially they were wary, considering snatching another country’s cash ― no matter how badly that country had acted ― legally and morally dubious. But Ukraine’s pressing needs, and Washington’s uncertain approach, has focused minds. At last week’s summit of EU leaders, however, Belgium’s Bart De Wever refused to budge on the plan, which needs the backing of all 27 governments, forcing the bloc to postpone its approval until December at the earliest. ‘THIS IS DIPLOMACY’ Now the EU is in a race against time on two fronts. First, Ukraine is set to run out of money by the end of March. And second, decision-making of any kind could be about to become far tougher as Hungary looks to join forces with Czechia and Slovakia to form a Ukraine-skeptic alliance. There’s a sense that it’s now or never. That means Commission officials are engaged in a delicate balancing act to get the assets plan across the line, three EU diplomats said. “This is diplomacy,” said one of the diplomats with knowledge of the choreography, granted anonymity to speak freely about the plans. “You offer people something they don’t want to do, so they accept the lesser option.” A second diplomat familiar with the situation was equally dismissive of plan B. “The idea that eurobonds could seriously be on the table is simply laughable,” they said. So although De Wever told his fellow leaders at the EU summit last week that the Commission had underestimated the complexity of using Russian assets and the legal knock-on effect it could have in Belgium, the EU doesn’t think he’ll hold out past December, when leaders are scheduled to meet again. The Russian asset-backed loan “is going to happen,” an EU official said. “Not a question of if ― but when.”  STEP UP SUPPORT Many European nations have long opposed the idea of eurobonds, believing they shouldn’t be on the hook for indebted governments they perceive as unable to keep their finances in order. The Covid pandemic weakened their resolve, with governments agreeing to joint borrowing to finance an €800 billion recovery fund to revive the bloc’s economy. Brussels has continued to mutualize EU debt since then to fund other initiatives, most recently involving a series of loans to help capitals procure military contracts to bolster their defenses against Russia, but capitals are still broadly against its widespread use. “Support for Ukraine and pressure on Russia, that is ultimately what could bring Putin to the table and that’s why it’s so important that the European countries step up,” Swedish Europe Minister Jessica Rosencrantz told reporters after Thursday’s summit. | Thierry Monasse/Getty Images There is a third option on the table: The EU could embark on a €25 billion treasure hunt for Russian assets in other countries across the bloc. This, though, is likely to take more time than Ukraine has so it could look as if Europe is taking its foot off the gas. “Support for Ukraine and pressure on Russia, that is ultimately what could bring Putin to the table and that’s why it’s so important that the European countries step up,” Swedish Europe Minister Jessica Rosencrantz told reporters after Thursday’s summit. COLLECTIVE RISK The vast majority of the assets are under the guardianship of a financial depository called Euroclear in Belgium, leaving the country with considerable financial and legal risk. “The Commission has engaged in intensive exchanges with the Belgian authorities on the matter and stands ready to provide further clarifications and assurances as appropriate,” a Commission spokesperson said. “Any proposal will build on the principle of collective risk sharing. While we see no indication that the Commission`’s original approach would lead to new risks, we certainly do agree that any risk coming with our future proposal will of course have to be shared collectively by member states and not only by one.” The Commission has played down the risks to Belgium, stressing that the €140 billion would only be repaid to Russia if the Kremlin ends the war and pays reparations to Ukraine. The chance of that happening is so remote that the money is unlikely ever to be repaid.  But Belgium fears Moscow could send in an army of lawyers to get its money back, especially considering the country signed a bilateral investment treaty with Russia in 1989. The officials and diplomats interviewed for this article remain confident of an agreement. “I really expect that at the next European Council [scheduled for Dec. 18] there will be finally progress,” Lithuanian Foreign Minister Kęstutis Budrys told POLITICO. Gerardo Fortuna contributed to this article.

BRUSSELS — Heard the one about the 12-and-half-hour meeting of 27 national leaders that succeeded in agreeing very little apart from coming up with quite a lot of “let’s decide in a couple of months” or “let’s just all agree on language that means absolutely nothing but looks like we’re united” or “let’s at least celebrate that we got through this packed agenda without having to come back on Friday”? No? Well let us enlighten you. And if that makes you question how we’ve managed to squeeze 29 things out of this, well let’s just say one of these is about badly functioning vending machines… 1 . STRAIGHT OUT OF THE BOX WITH A QUICK WIN ON SANCTIONS … The day was off to a flying start when Slovak Prime Minister Robert Fico lifted his veto over the latest raft of Russia sanctions on the eve of the summit — allowing the package to get formally signed off at 8 a.m. before leaders even started talking. Fico rolled over after claiming to achieve what he set out to do: clinch support for Slovakia’s car industry. He found an unusual ally in German Chancellor Friedrich Merz who he met separately to discuss the impact of climate targets on their countries’ automotive sectors. 2. … BUT AGREEMENT ON FROZEN RUSSIAN ASSETS WAS LESS FORTHCOMING There was a moment earlier in the week where the EU looked to be on the cusp of a breakthrough on using Russian frozen assets to fund a €140 billion loan for Ukraine. Belgium, the main holdout, appeared to be warming to the European Commission’s daring idea to crack open the piggy bank. But Belgian Prime Minister Bart De Wever stuck by his guns , saying he feared taking the assets, which are held in a Brussels-based financial depository, could trigger Moscow to take legal action. 3. BELGIUM DIDN’T MOVE ON ITS BIG THREE BIG DEMANDS The Flemish right-winger’s prerequisites were threefold: the “full mutualization of the risk,” guarantees that if the money has to paid back, “every member state will chip in,” and for every other EU country that holds immobilized assets to also seize them. Leaders eventually agreed on that classic EU summit outcome: a fudge. They tasked the European Commission to “present options” at the next European Council — effectively deciding not to decide. “Political will is clear, and the process will move forward,” said one EU official. But it’s uncertain whether a deal can be brokered by the next summit, currently set for December. 4. DE WEVER REJECTS THE ‘BAD BOY’ LABEL After POLITICO ranked the Belgian leader among its list of “bad boys” likely to disrupt Thursday’s summit (rightfully, might we add), he protested the branding. “A bad boy! Me? … If you talk about the immobilized assets, we’re the very, very best,” he said. The day was off to a flying start when Slovak Prime Minister Robert Fico lifted his veto over the latest raft of Russia sanctions on the eve of the summit. | Olivier Hoslet/EPA 5. URSULA VON DER LEYEN ALSO CONCEDED THEY’RE NOT QUITE THERE YET The high-level talks “allowed us to identify points we need to clarify,” the Commission president said tactfully. “Nobody vetoed nothing today,” European Council President António Costa chimed in. “The technical and legal aspects of Europe’s support need to be worked upon.” Translation in case you didn’t understand the double negative: The EU needs to come up with a better plan to reassure Belgium — and fast. 6. UKRAINE: EVER THE OPTIMIST Ukrainian President Volodymyr Zelenskyy ― a guest of the summit ― told reporters Russia must pay the price for its invasion, calling on the EU to follow through with its frozen assets proposal, adding he thought the leaders were “close” to an agreement. “If Russia brought war to our land, they have to pay for this war,” he said. 7. AND ZELENSKYY IS STILL HOLDING OUT FOR TOMAHAWKS “We will see,” was Zelenskyy’s message on the topic of acquiring the long-range missiles from the U.S., which Donald Trump has so far ruled out selling to Kyiv. “Each day brings something … maybe tomorrow we will have Tomahawks,” Zelenskyy said. “I don’t know.” 8. UKRAINE WANTS GERMANY TO SEND MORE WEAPONS TOO Merz held a meeting with Zelenskyy about “the situation in Washington and the American plans that are now on the table,” a German official said, adding Zelenskyy made “specific requests” to the chancellor about helping Ukraine with its “defense capabilities.” After the summit, the German leader said Berlin would review a proposal on how German technologies could help to protect Ukrainian’s energy and water infrastructure. 9. THUMBS UP TO DEFENSE ROADMAP! EU leaders endorsed the Defense Readiness Roadmap 2030 presented last week by the Commission, which aims to prepare member countries for war by 2030. One of its main objectives is to fill EU capability gaps in nine areas: air and missile defense, enablers, military mobility, artillery systems, AI and cyber, missile and ammunition, drones and anti-drones, ground combat, and maritime. The plan also mentions areas like defense readiness and the role of Ukraine, which would be heavily armed and supported to become a “steel porcupine” able to deter Russian aggression. As leaders deliberated, a Russian fighter jet and a refueling aircraft briefly crossed into Lithuanian airspace from the Kaliningrad region, underscoring the need for the EU to protect its skies. 10. KYIV IS PROMISING TO BUY EUROPEAN — MOSTLY Ukraine will prioritize domestic and European industry when spending cash from the proposed reparation loan funded by Russia’s frozen assets, Zelenskyy told leaders at the summit — but wants to be able to go across the pond when necessary. 11. MUCH THE SAME FOR SPAIN Spanish leader Pedro Sánchez said the country had committed to contributing cash to a fund organized by NATO to buy weapons for Ukraine from the U.S. | Nicolas Tucat/Getty Images Spanish leader Pedro Sánchez said the country had committed to contributing cash to a fund organized by NATO to buy weapons for Ukraine from the U.S. “Today, most of the air defense components, such as Patriots or Tomahawks … which Ukraine clearly needs, are only manufactured in the United States,” he said. Madrid has been a thorn in Washington’s side over its lax defense spending. 12. THERE WAS A MERCOSUR SURPRISE Merz stunned trade watchers when he announced the leaders had backed a controversial trade agreement with Latin American countries. “We voted on it today: The Mercosur agreement can be ratified,” the German chancellor told reporters, adding that he was “very happy” about that. “All 27 countries voted unanimously in favor,” Merz added on Mercosur. “It’s done.” The remark sparked confusion amongst delegations, as the European Council doesn’t usually vote on trade agreements — let alone one as controversial as the mammoth agreement with the countries of the Latin American bloc of Mercosur, which has been in negotiations for over 25 years. One EU diplomat clarified that it’s because European Council President António Costa sought confirmation from EU leaders that they would agree to take a stance on the deal by the end of this year — and no formal vote was taken yet. 13. CLIMATE TALKS PASSED WITHOUT A HITCH One of the hotter potatoes ahead of the summit passed surprisingly smoothly. Leaders ultimately refrained from bulldozing the EU’s climate targets, agreeing to a vaguely worded commitment to a green transition, though without committing to a 2040 goal, which proposes cutting emissions by 90 percent compared to 1990 levels. In the words of one diplomat: “Classic balance, everyone equally unhappy.” 14. AT LEAST ONE LEADER SEEMED PLEASED, THOUGH Polish Prime Minister Donald Tusk called the summit a “turning point” in Europe’s approach to green policy, adding he succeeded in inserting a “revision clause” into the EU’s plan to extend its carbon-trading system to heating and transport emissions that will give member countries the option to delay or adjust the rollout. “We’ve defused a threat to Polish families and drivers,” he declared, calling the change a signal that “Europe is finally speaking our language.” 15. BUT THE ISSUE WON’T STAY BURIED FOR LONG Ministers are set to reconvene and cast a vote on the 2040 goal on Nov. 4, described by one diplomat as “groundhog day.” 16. MEANWHILE, THERE WAS NOTHING ON MIGRATION … Polish Prime Minister Donald Tusk called the summit a “turning point” in Europe’s approach to green policy. | Thierry Monasse/Getty Images Aside from promising to make migration a “priority,” the EU’s leaders failed to make any kind of breakthrough on a stalled proposal for burden-sharing. Reminder: The EU missed a deadline last week to agree on a new way of deciding which member countries are under stress from receiving migrants and ways of sharing the responsibility more equally across the bloc. 17. … BUT THE ANTI-MIGRANT BREAKFAST CLUB LIVES ON Italy’s Giorgia Meloni, Denmark’s Mette Frederiksen and the Netherlands’ Dick Schoof have kept up their informal pre-summit “migration breakfasts” since last June, swapping innovative ideas on tougher border and asylum policies. They met again on Thursday with von der Leyen, who updated them on the EU’s latest plans for accelerating migrant returns, and the trio agreed an informal summit will take place next month in Rome. 18. NOR DID THE EU’S SOCIAL MEDIA BAN GET MUCH OF A LOOK IN As expected, the leaders endorsed a “possible” minimum age for kids to use social media, but failed to commit to a bloc-wide ban, with capitals divided on whether to make the age 15 or 16, as well as on the issue of parental consent. 19. THERE WAS A WHOLE LOT OF WAITING FOR NEWS… Journalists were frantically pressing their sources in the Council and national delegations to find out what was happening at the leaders’ table as the meeting dragged into the late hours. It eventually finished at 10.30 p.m. ― 12 and a half hours after it began. 20. … AND THE GREENS SEIZED THEIR MOMENT The EU Parliament’s Greens group co-chair Bas Eickhout wandered the hallways of the Justus Lipsius building ready to brief bored journalists about the wonders of the Green Deal — while leaders debated how to unravel it in the other room. 21. THE COMBUSTION ENGINE BAN FELL FLAT One of the pillars of the EU’s green transition, its 2035 de facto combustion engine ban, was set to play a major role in the competitiveness and climate discussions, with Merz and Fico spoiling for a fight over the proposal — yet it barely registered as a footnote. Slovakia used the climate talks to oppose the ban, and the Czech Republic chimed in to agree, but in the end the summit’s official conclusions welcomed the Commission’s proposed ban without mentioning how it should be watered down. 22. THE EUROPEAN COUNCIL’S VENDING MACHINES AREN’T VERY, ER, COMPETITIVE Officials and journalists alike found that the vending machines in the EU’s Justus Lipsius building, which incidentally is due for a €1 billion renovation, about as efficient as a roundtable of 27 national leaders lasting 12 and a half hours. 23. THE BLOC IS WORRIED ABOUT CHINA… Beijing’s export controls on rare earths came up in the talks on competitiveness, according to two EU officials, with some leaders expressing their concerns. 24. … BUT THEY’RE NOT READY TO GO NUCLEAR — YET One of the officials said the EU’s most powerful trade weapon, the Anti-Coercion Instrument, was mentioned, but didn’t garner much interest around the table. 25. HOUSING GETS 40 MINUTES — NOT BAD FOR A FIRST RUN Leaders spent a chunk of time discussing the continent’s housing crisis. A solid start for the topic, which made it onto the agenda for the first time at Costa’s behest. The EU executive “is ready to help,” von der Leyen said after the summit, announcing a European Affordable Housing Plan is in the pipeline and the first EU Housing Summit in 2026. | Dursun Aydemir/Getty Images During talks, Greek Prime Minister Kyriakos Mitsotakis called on the Commission to create a database tracking which housing policies work — and which don’t — across Europe. Most leaders agreed that, while housing remains a national competence, the EU still has a role to play. 26. AND THE COMMISSION WANTS TO ROLL UP ITS SLEEVES The EU executive “is ready to help,” von der Leyen said after the summit, announcing a European Affordable Housing Plan is in the pipeline and the first EU Housing Summit in 2026. 27. LEADERS ENJOYED A FEAST OR TWO For lunch, langoustine with yuzu, celeriac and apple, fillet of veal with artichokes and crispy polenta, and a selection of fresh fruit. For dinner, cannelloni with herbs, courgette velouté, fillet of brill with chorizo and pepper, and fig meringue cake. Yum. 28. THOUGH A FEW COULDN’T MAKE IT Hungarian Prime Minister Viktor Orbán was the most notable absence, rocking up several hours late due to a national holiday in Budapest. Portugal and Slovenia’s leaders were also absent at one point. 29. AND COSTA KEPT HIS PROMISE … JUST The European Council president pledged to streamline summits under his watch, making them one-day affairs instead of two. And with just a couple hours to spare, he was successful. Okay, breathe. Did we miss anything? (Don’t answer that.) Gerardo Fortuna, Max Griera Andrieu, Jordyn Dahl, Gabriel Gavin, Hanne Cokelaere, Clea Caulcutt, Hans von der Burchard, Kathryn Carlson, Tim Ross, Jacopo Barigazzi, Gregorio Sorgi, Eliza Gkritsi, Carlo Martuscelli, Nicholas Vinocur, Saga Ringmar, Sarah Wheaton, Louise Guillot, Zia Weise, Camille Gijs, Bartosz Brzezinski and Giedre Peseckyte contributed to this report.

Listen on * Spotify * Apple Music * Amazon Music Beim EU-Gipfel trifft Friedrich Merz auf die Realität europäischer Politik und auf die Blockade des belgischen Premiers Bart De Wever. Der Streit um die Nutzung eingefrorener russischer Staatsvermögen für einen 140-Milliarden-Euro-Kredit an die Ukraine bringt die Verhandlungen ins Wanken. Hans von der Burchard berichtet über Druck, Deals und womögliche diplomatische Nachtschichten. Das Berlin Playbook als Podcast gibt es jeden Morgen ab 5 Uhr. Gordon Repinski und das POLITICO-Team liefern Politik zum Hören – kompakt, international, hintergründig. Für alle Hauptstadt-Profis: Der Berlin Playbook-Newsletter bietet jeden Morgen die wichtigsten Themen und Einordnungen. Jetzt kostenlos abonnieren. Mehr von Host und POLITICO Executive Editor Gordon Repinski: Instagram: @gordon.repinski | X: @GordonRepinski.