Tag - Negotiations

EU faces growing pressure to plug Ukraine’s Starlink gap
BRUSSELS — The European Union is under pressure to keep Ukrainian troops fully online after Elon Musk’s Starlink was restricted amid volatile U.S. support for Kyiv. “It was a very dangerous and unpleasant surprise,” Ukrainian President Volodymyr Zelenskyy told reporters after EU leaders met in Brussels, referring to Starlink speed limitations experienced by military troops in recent days. “We were using Starlink to intercept jet-powered Shaheds [combat drones] that are attacking our civilian infrastructure and killing our families … When the speed limits were lowered, we became incapable of shooting [them] down.” Ukraine has long relied critically on Musk’s satellite constellation for wartime efforts. Reuters reported Friday that the order to slow Ukraine’s military-grade Starshield service came from the White House, days after Washington pressed Kyiv to halt strikes on Russian refineries, amid soaring energy prices and ahead of November’s midterm elections. “It is unacceptable for Ukraine’s defense — and therefore Europe’s security — to depend on the goodwill of a single American billionaire or on Donald Trump’s decisions,” French centrist Member of the European Parliament Christophe Grudler told POLITICO. Ahead of Thursday’s high-level meeting, European lawmakers had been calling on the EU executive to fast-track Kyiv’s access to satellite capabilities already pooled under the bloc’s Govsatcom program — which gives participating governments secure communications capabilities. Negotiations between the EU executive and Ukraine over this access have been ongoing since March, with no breakthrough. Norway and Iceland secured such an agreement earlier this year. “What I don’t understand is why the European Commission and the Member States have not done everything possible to quickly reach an agreement that would allow Ukraine to benefit from it,” added Christophe Grudler, who wrote to EU leaders. He also called on them to speed up work on IRIS² — the EU’s in-house, planned satellite network and full-fledged match to Starlink, which is only expected to come online in 2030. Commission spokesperson Thomas Regnier confirmed in a statement that it is “currently in talks with Ukraine to fully associate” the country with the EU’s Govsatcom program. “The war in Ukraine shows that our security also depends on space. And the EU has been doing quite a lot. We are ready to support Ukraine where we can support Ukraine,” he added. Calls to crack down on dependence on foreign providers and boost alternatives to Starlink also come at a time when legislators are negotiating a series of laws that could tame Musk’s ambitions in Europe. “Ukraine’s dependence on Starlink highlights the vulnerability of European defence systems that rely on U.S. technology, Another reminder that Europe must reduce its dangerous technological dependencies — ASAP,” center-right Finnish lawmaker Aura Salla said on social media. Policymakers across Europe have been joining forces to curb Starlink’s dominance in low-Earth orbit, where satellites fly close to Earth to deliver faster connections. “As legislators, we must ensure that European operators are well positioned in the market and limit the dominance of foreign players,” German center-left lawmaker Matthias Ecke said. In Brussels, lawmakers, including Ecke, are backing European telcos gunning for prized satellite frequencies, currently licensed to U.S. operators until next year and eyed by Starlink. Meanwhile, Zelenskyy said Ukraine was working bilaterally with EU countries to secure more capabilities, citing France. He also expressed hopes that Starlink restrictions could be lifted. “My partners told me there were signals from the White House that they would return these capabilities.” SpaceX — Starlink’s parent company — didn’t respond to POLITICO’s request for comment.
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Russia’s Lavrov calls French diplomatic efforts ‘pathetic’ after Macron adviser’s Moscow visit
PARIS — Russia’s top diplomat slammed French efforts to resuscitate dialogue between Emmanuel Macron and Vladimir Putin as “pathetic” just days after the French president’s top diplomatic adviser traveled to Moscow for high-level talks. “French President Emmanuel Macron about two weeks ago once again said he would somehow call [Vladimir] Putin,” Russia’s Foreign Minister Sergey Lavrov said in an interview with state media outlet RT. “You know, this is not serious. It’s pathetic diplomacy. If you want to call and have a serious conversation, then call. Putin will always pick up the phone. He will always hear out any proposals, especially serious ones,” Lavrov said. Two EU diplomats, granted anonymity to speak candidly about the delicate talks, confirmed to POLITICO that Bonne visited the Russian capital Tuesday to lay the groundwork for Putin and Macron to resume speaking with each other. The leaders have not spoken directly since shortly after Russia’s full-scale invasion of Ukraine in 2022. One of the diplomats said Bonne met with top Putin aide Yury Ushakov, who is part of Russia’s delegation in ongoing peace talks with Ukraine brokered by the United States. French officials declined to confirm or deny Bonne’s visit. Kremlin spokesperson Dmitry Peskov did the same Thursday at his daily press briefing out of “solidarity” with the French. Macron had said Tuesday that “technical talks” were underway in the effort to reestablish dialogue with the Kremlin, and his office Wednesday said that such talks are being held transparently “and in consultation with President Zelenskyy and with our main European colleagues.” Macron has repeatedly said Europeans need to hold their own direct talks with Moscow, as negotiations between Russia, Ukraine and the United States drag on and the conflict is nearing its fifth year. Prominent Russia analyst Tatiana Stanovaya wrote in a post on X that the Kremlin’s reaction signals it is open to Macron’s outreach “but remains deeply [sic] sceptical about what Europe can offer.” Sarah Paillou contributed to this report. --------------------------------------------------------------------------------
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Czechia’s Babiš faces accusations he didn’t fully cut ties to his agricultural empire
Czech Prime Minister Andrej Babiš is facing new accusations that he never fully severed ties with his agricultural empire, after publicly promising to do so in order to avoid major conflicts of interest in both Prague and Brussels. On taking up the Czech premiership in December, Babiš pledged to cut all links with his company Agrofert, one of Central Europe’s largest agri-food and chemicals groups. President Petr Pavel required him to take that step before approving his government, and Babiš insisted his children would only take Agrofert stakes after his death. The commitment was meant to address long-standing conflict-of-interest concerns. During Babiš’s previous term, EU and national auditors found the company had improperly received at least €208 million in EU and national agricultural subsidies, triggering payment suspensions and repayment demands. At the EU level, the stakes are heightened by the fact that as prime minister, Babiš is now helping to negotiate the bloc’s next long-term budget, including farm spending from which Agrofert has previously benefited. Babiš’s pledges of a total rupture with Agrofert are now coming into question, even though the prime minister insists he has done much more than the law required. A leaked legal document that purports to map out his new relationship with the company describes a trust structure that removes him from day-to-day decision-making only while he remains in office, and that transfers decision-making powers to a family-run governance mechanism once his political career ends. The 18-page document, dated Dec. 17, was first reported by Czech outlet Seznam Zprávy. POLITICO has seen a copy. The document says the trust is meant to ensure “independent administration during the period in which the [establisher of the trust] holds the office of a member of the Government.” Once that period ends — whether through Babiš’s departure from office or, eventually, his death — the business would automatically transition to “family administration” Opposition lawmakers seized on the document as evidence that Babiš would still have strong personal and family interests tied to Agrofert during his lifetime, potentially motivating his decisions on both the domestic and EU levels. “The news about Andrej Babiš’s unresolved conflict of interest is really just the proverbial cherry on top,” Pirate party parliamentary leader Olga Richterová said in a legislative debate in Prague on Tuesday. “It is becoming clear that you can’t teach an old dog new tricks. The old practices used when Agrofert was previously parked in trust funds appear set to be applied again in a very similar way.” Danuše Nerudová, a European Parliament lawmaker from the Mayors and Independents party, told POLITICO the arrangement preserves a personal incentive to protect family business interests. “His companies benefited improperly from EU agricultural subsidies in the past,” she said. “That incentive does not disappear simply because the structure is renamed.” Given the implications for the EU budget, the European Commission said it was monitoring developments and underlined its rule that “anybody nominated in a member state to be involved in budget implementation … shall not take any action which may bring their own interests into conflict with those of the union.” POLITICO requested comment from Babiš’s office, but did not receive a response before publication. Danuše Nerudová told POLITICO the arrangement preserves a personal incentive to protect family business interests. | Martin Divisek/EPA Babiš responded to the Seznam Zprávy story in another newspaper. He did not deny the authenticity of the document and its reference to a continued family interest, but claimed he was doing nothing wrong. “What I said earlier clearly applies. I did much more than the law required of me. The shares of the company that I built for almost 30 years will never be returned to me,” he told the Deník N newspaper. POLITICAL DEBATE IN PRAGUE When Babiš made his pledge to keep out of Agrofert last year, his language was definitive. “I have decided to irrevocably give up the Agrofert company,” Babiš said in December. “I will never own it, I will not have any economic relations with it, and I will not be in any contact with it.” He added: “My children will only get Agrofert after my death.” Babiš reiterated his defense this week, telling Czech news agency ČTK that the Agrofert shares would never return to him and that he would not benefit from them for the rest of his life. He said the arrangement complied with both Czech and European law, and accused critics of trying to deprive him of his property. The prime minister has previously insisted any conflict would be resolved once the trust takes effect. He missed a self-imposed early-January deadline to complete the share transfer, saying he was still awaiting approval from financial authorities in two EU countries. David Kotora, executive director of Transparency International Czech Republic, said the trust “is currently an inactive shell” because the share transfer has not taken place. Once activated, he said, it would still fail EU standards. “This structure clearly cannot withstand European regulations concerning conflicts of interest in the redistribution of public funds,” Kotora said. During the parliamentary session on Tuesday, Babiš dismissed the renewed scrutiny as a “festival of hypocrisy.” “This is not a spontaneous defense of democracy. It’s political theater,” he said, stressing that Agrofert is not receiving any subsidies until the trust is in effect. “You invented the conflict of interest because you’re incapable of beating me.” Lawmakers from Babiš’s ANO party have rallied behind him, rejecting assessments of unresolved conflicts of interest. In a joint statement to POLITICO, MEPs Ondřej Knotek and Klára Dostálová said the prime minister had taken steps “well beyond what is required by Czech and European law.” He has relinquished ownership and control of Agrofert permanently, they said, and would not benefit from the company for the rest of his life. “If someone finds this insufficient,” they added, “it is no longer about the essence of the matter, but about an effort to constantly question it.” Economist Petr Bartoň, a regulatory and public policy expert, noted Czech conflict-of-interest rules were never designed for politicians with business empires on the scale of Agrofert. “The law does not aim to permanently separate politicians from their assets,” Bartoň said. “It aims to manage conflicts while they are in office.” Promises to go further, he added, may have political value but “no legal force.” Ketrin Jochecová contributed to this report.
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Russia and Ukraine agree on PoW swap, first since October
KYIV — Ukraine and Russia agreed to swap 314 prisoners of war during the latest round of talks in Abu Dhabi on Thursday, U.S. Special Envoy Steve Witkoff said. The trilateral discussions ended Thursday afternoon, with Ukrainian, American and Russian negotiating teams working together and in special subgroups for two days. In a post on X, Witkoff described the latest trilateral negotiating round as “detailed and productive.” “While significant work remains, steps like this demonstrate that sustained diplomatic engagement is delivering tangible results and advancing efforts to end the war in Ukraine,” Witkoff said, adding that discussions will continue in the coming weeks. Ukrainian President Volodymyr Zelenskyy confirmed that the PoW exchange, the first in five months, happened on Thursday. “We are bringing our people home — 157 Ukrainians. Warriors from the Armed Forces, National Guard, and the State Border Guard Service. Soldiers, sergeants, and officers. Along with our defenders, civilians are also returning. Most of them had been in captivity since 2022,” Zelenskyy said in a post on X. Russia also received the return of 157 of its PoWs. The last prisoner exchange between Russia and Ukraine was in October, when the sides swapped 185 soldiers and 20 civilians. Zelenskyy explained that Moscow had halted the swaps. “They are not particularly interested in exchanging people, because they do not feel that it gives them anything. They believe it benefits us. But I think they should also be thinking about their own people — their own soldiers,” Zelenskyy told reporters in Kyiv last week. Since Kyrylo Budanov, former head of Ukrainian military intelligence, joined the negotiating group, Russia began to take the negotiations more seriously, Zelenskyy said last week. “I believe it was a higher-level delegation than before, considering what the people who represented Russia this time are responsible for. We saw this as a more serious opportunity for discussion,” Zelenskyy said. “Because one thing is when you come only to receive information and deliver some fantastical historical briefing from a playbook that everyone has heard many times before. And another thing is when you move closer to real steps to end the war,” Zelenskyy added. Territorial issues remain the most difficult issue in the negotiations. Russia demands that Ukraine withdraw from the remaining 30 percent of Donbas, Kyiv’s most secure stronghold in the region. Kyiv insists everyone should stand where they are, calling it enough of a compromise. “The American side understands this and says that there is a compromise solution, proposing a free economic zone. However, the issue of control over any territory — including a free economic zone — must also be fair. Specifically, it must involve Ukraine maintaining control over the territories that we currently control,” Zelenskyy said last week.
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EU Parliament fails to reach deal on US trade pact
BRUSSELS — The European Parliament’s top trade lawmakers failed on Wednesday to reach a common position on the EU-U.S. trade deal, in a move that risks fueling Washington’s impatience against the EU’s slow pace in finally implementing its side of a bargain struck last summer. Negotiations will continue until next week, two people who attended a meeting of the lawmakers told POLITICO. One said that committee vote was penciled in for Feb. 24 and a final plenary vote for March. Both were granted anonymity to discuss the closed-door talks. The meeting failed to clear remaining hurdles regarding the Parliament’s position on the removal of tariffs on U.S. industrial goods and lobsters — a precondition for Washington to reduce its own tariffs on European cars.  Lawmakers from the international trade committee disagreed on the length of a sunset clause which would limit the proposals’ application to 18 to 36 months, as well as whether the EU should withdraw any tariff concessions until a solution is found between Brussels and Washington on the 50 percent tariff the Trump administration has put on steel derivatives. With the EU still processing the shock of Trump’s threats against the territorial sovereignty of Greenland and the Kingdom of Denmark, the liberal Renew group and the Socialists & Democrats are pushing to Trump-proof the deal by inserting suspension clauses into enabling legislation in case the U.S. president turns hostile again.  The center-right European People’s Party has pushed to sign off the deal following calls from EU leaders to unfreeze the implementation of the deal.  Failure to reach an agreement on Wednesday throws into disarray the timeline for parliamentary approval, and further delays the start of negotiations with EU capitals and the European Commission.
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Trump: Putin kept his word on pausing bombing Ukraine
KYIV — U.S. President Donald Trump insists that Vladimir Putin kept his word on a weeklong pause in attacks on Ukrainian cities despite Russia’s massive missile barrage on Monday. Trump told reporters that Putin had made an agreement which expired on Sunday. “It was Sunday to Sunday, and it opened up and he hit them hard last night,” he said at the White House on Tuesday. “He kept his word on that … we’ll take anything, because it’s really, really cold over there.” However, Ukrainian President Volodymyr Zelenskyy said the truce began last Friday, a day after Trump announced he reached a deal with Putin not to bomb Ukraine for a week, as freezing temperatures were coming. The pause was also supposedly tied to ongoing U.S.-led peace talks between Ukraine and Russia, which resumed Wednesday in Abu Dhabi. “We await the reaction of America to the Russian strikes,” Zelenskyy said in a Tuesday evening statement. “It was the U.S. proposal to halt strikes on energy during diplomacy and severe winter weather. The president of the United States made the request personally. Russia responded with a record number of ballistic missiles.” He also called for the U.S. Congress to finally approve new sanctions against Russia. “The U.S. Congress has long been working on a new sanctions bill, and there must be progress on it. European partners can take decisive steps regarding Russian oil tankers’ earnings for the war. Russia must feel pressure so that it moves in negotiations toward peace,” Zelenskyy said. Last week, Zelenskyy told journalists in Kyiv there was no formal agreement between Russia and Ukraine, but both sides agreed on the American proposal to pause strikes on each other’s energy facilities during the previous round of talks in Abu Dhabi.
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Das Zittern der CDU vor den Wahlkämpfen
Listen on * Spotify * Apple Music * Amazon Music Im März stehen die ersten zwei von insgesamt fünf Landtagswahlen an. Baden-Württemberg und Rheinland-Pfalz sind der Auftakt. In der CDU derweil sind Vorschläge zur Abschaffung der”Lifestyle-Teilzeit” und der Streichung von Kassenleistung für den Zahnarztbesuch derweil Anlass für Unruhe. Die einen äußern sich, die anderen sind verärgert und kassieren die Ideen so schnell ein, wie sie gemacht werden.  Eine Partei sucht öffentlich ihre Linie und das macht die Wahlkämpfer unglücklich. Rasmus Buchsteiner berichtet von der Flatterstimmung und dem Versuch, unter anderem vor und auf dem CDU-Parteitag in Stuttgart den Schaden zu begrenzen. Außerdem bespricht er mit Gordon, wie die ausbleibenden Fortschritte bei den versprochenen Reformen die Situation mit ausgelöst haben. Gleichzeitig geht es für die SPD in den Umfragen bergauf. Zumindest in Mecklenburg-Vorpommern. Dort ist die AfD der Hauptgegner für die amtierende Ministerpräsidentin Manuela Schwesig. Im 200-Sekunden-Interview spricht sie darüber, wie sie den Moment für sich nutzen und für ihre Partei nutzen will. Außerdem: Der Kanzler bricht heute zu seiner ersten offiziellen Reise in die Golfregion auf. Tom Schmidtgen vom Pro-Newsletter ‘Industrie und Handel am Morgen’ über den neuen wichtigen Partner Saudi-Arabien, der sich nicht nur seiner strategisch guten Lage, sondern auch seiner wirtschaftlichen Stärke bewusst ist.  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. POLITICO Deutschland – ein Angebot der Axel Springer Deutschland GmbH Axel-Springer-Straße 65, 10888 Berlin Tel: +49 (30) 2591 0 information@axelspringer.de Sitz: Amtsgericht Berlin-Charlottenburg, HRB 196159 B USt-IdNr: DE 214 852 390 Geschäftsführer: Carolin Hulshoff Pol, Mathias Sanchez Luna
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Is Putin ready for peace? Abu Dhabi talks will tell.
Jamie Dettmer is opinion editor and a foreign affairs columnist at POLITICO Europe. Another round of U.S.-brokered Ukraine talks commence today in Abu Dhabi. The overall outlook remains no less bleak for Ukraine, as it inches toward the fourth anniversary of Russia’s war. Yet there are signs that what comes out of this week’s face-to-face negotiations may finally answer a key question: Is Russian President Vladimir Putin serious? On the eve of the planned two-day talks, Russia resumed its large-scale air assault on Ukraine’s battered infrastructure after a brief weekend hiatus. Striking cities including Kyiv, Dnipro, Kharkiv, Sumy and Odesa overnight with 450 drones and 71 missiles, including ballistic, Russia hit the country’s energy grid and residential houses as temperatures dropped below -20 degrees Celsius. “Putin must be deprived of illusions that he can achieve anything by his bombing, terror, and aggression,” pleaded Ukraine’s frustrated Minister of Foreign Affairs Andrii Sybiha. “Neither anticipated diplomatic efforts in Abu Dhabi this week nor his promises to the United States kept him from continuing terror against ordinary people in the harshest winter.” According to U.S. President Donald Trump, those promises included refraining from targeting Kyiv and other major cities for a whole week during a period of “extraordinary cold.” But no sooner had Trump spoken than Kremlin spokesperson Dmitry Peskov warned the break would only last a weekend. That’s hardly an auspicious launchpad to negotiations, and has many Ukrainian politicians arguing that Russia is merely going through the motions to ensure it doesn’t end up on the wrong side of an unpredictable U.S. leader — albeit one who seems inordinately patient with Putin, and much less so with Ukrainian President Volodymyr Zelenskyy. Not that Ukrainians had put much store in a week-long “energy ceasefire” to begin with. A vicious war has taught them to expect the worst. “Unfortunately, everything is entirely predictable,” posted Zelenskyy adviser Mykhailo Podolyak on Tuesday. “This is what a Russian ‘ceasefire’ looks like: during a brief thaw, stockpile enough missiles and then strike at night when temperatures drop to minus 24 Celsius or lower, targeting civilians. Russia sees no reason whatsoever to stop the war, halt genocidal practices, or engage in diplomacy. Only large-scale freezing tactics.” It’s difficult to quibble with his pessimism. Putin’s Kremlin has a long track record of using peace talks to delay, obfuscate, exhaust opponents and continue with war. It’s part of a playbook the Russian leader and his lugubrious Minister of Foreign Affairs Sergey Lavrov have used time and again in Ukraine, and for years in Syria. Nonetheless, according to some Ukrainian and U.S. sources familiar with the conduct of the talks, there are indications that the current negotiations may be more promising than widely credited. They say both sides are actually being more “constructive” — which, admittedly, is an adjective that has often been misused. “Before, these negotiations were like pulling teeth without anesthetic,” said a Republican foreign policy expert who has counseled Kyiv. Granted anonymity in order to speak freely, he said: “Before, I felt like screaming whenever I had to see another readout that said the discussions were ‘constructive.’ But now, I think they are constructive in some ways. I’m noticing the Russians are taking these talks more seriously.” It’s part of a playbook the Russian leader and his lugubrious Minister of Foreign Affairs Sergey Lavrov have used time and again in Ukraine, and for years in Syria. | Maxim Shipenkov/EPA Some of this, he said, owes to the skill of those now leading the Ukrainian team after the departure of Zelenskyy’s powerful former chief of staff, Andriy Yermak. Among the smartest and most able are: Yermak’s replacement as head of the Office of the President and former chief of the Main Intelligence Directorate Kyrylo Budanov; Secretary of the National Security and Defense Council Rustem Umerov; and Davyd Arakhamia, who heads the parliamentary faction of Zelenskyy’s ruling Servant of the People party. “I am noticing since Davyd got involved … there’s been a noticeable improvement with the Russian negotiators. I think that’s because they respect them — especially Davyd — and because they see them as people who are living in reality and are prepared to compromise,” the expert explained. “I’m cautiously optimistic that we have a reasonable chance to end this conflict in the spring.” A former senior Ukrainian official who was also granted anonymity to speak to POLITICO was less optimistic, but even he concurred there’s been a shift in the mood music and a change in tone from Russia at the negotiating table. Describing the head of the Russian delegation, chief of the Main Directorate of the General Staff of the Russian Armed Forces Igor Kostyukov, and Military Intelligence officer Alexander Zorin as practical men, he said neither were prone to giving long lectures on the conflict’s “root causes” — unlike Lavrov and Putin. “The Russian intelligence officers have been workmanlike, digging into practical details,” noted the former official, whom Zelenskyy’s office still consults. He hazards that the change may have to do with the Kremlin’s reading that Europe is getting more serious about continent-wide defense, ramping up weapons production and trying to become less dependent on the U.S. for its overall security. “Putin must be deprived of illusions that he can achieve anything by his bombing, terror, and aggression,” pleaded Ukraine’s frustrated Minister of Foreign Affairs Andrii Sybiha. | Olivier Matthys/EPA “A peace deal, an end of the war, could take a lot of the momentum out of this — European leaders would have a much tougher time selling to their voters the sacrifices that will be needed to shift to higher defense spending,” he said. Of course, Russia’s shift in tone may be another attempt to string Trump along. “Putin has almost nothing to show for the massive costs of the war. Accepting a negotiated settlement now, where he cannot claim a clear ‘win’ for Russia and for the Russian people, would be a big problem domestically,” argued retired Australian general Mick Ryan. Whatever the reasons, what emerges from Abu Dhabi in the coming days will likely tell us if Putin finally means business.
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Trump’s Greenland gambit could undermine critical minerals meeting
The Trump administration wants to work with traditional allies to secure new supplies of critical minerals. But months of aggression toward allies, culminating with since-aborted threats to seize Greenland, have left many cool to the overtures. While the State Department has drawn a lengthy list of participating countries for its first Critical Minerals Ministerial scheduled for Wednesday, a number of those attending are hesitant to commit to partnering with the U.S. in creating a supply chain that bypasses China’s current chokehold on those materials, according to five Washington-based diplomats of countries invited to or attending the event. State Department cables obtained by POLITICO also show wariness among some countries about signing onto a framework agreement pledging joint cooperation in sourcing and processing critical minerals. Representatives from more than 50 countries are expected to attend the meeting, according to the State Department — all gathered to discuss the creation of tech supply chains that can rival Beijing’s. But the meeting comes just two weeks since President Donald Trump took to the stage at Davos to call on fellow NATO member Denmark to allow a U.S. takeover of Greenland, and that isn’t sitting well. “We all need access to critical minerals, but the furor over Greenland is going to be the elephant in the room,” said a European diplomat. In the immediate run-up to the event there’s “not a great deal of interest from the European side,” the person added. The individual and others were granted anonymity to discuss sensitive diplomatic relationships. Their concerns underscore how international dismay at the Trump administration’s foreign policy and trade actions may kneecap its other global priorities. The Trump administration had had some success over the past two months rallying countries to support U.S. efforts to create secure supply chains for critical minerals, including a major multilateral agreement called the Pax Silica Declaration. Now those gains could be at risk. Secretary of State Marco Rubio wants foreign countries to partner with the U.S. in creating a supply chain for the 60 minerals (including rare earths) that the U.S. Geological Survey deems “vital to the U.S. economy and national security that face potential risks from disrupted supply chains.” They include antimony, used to produce munitions; samarium, which goes into aircraft engines; and germanium, which is essential to fiber-optics. The administration also launched a $12 billion joint public-private sector “strategic critical minerals stockpile” for U.S. manufacturers, a White House official said Monday. Trump has backed away from his threats of possibly deploying the U.S. military to seize Greenland from Denmark. But at Davos he demanded “immediate negotiations” with Copenhagen to transfer Greenland’s sovereignty to the U.S. That makes some EU officials leery of administration initiatives that require cooperation and trust. “We are all very wary,” said a second European diplomat. Rubio’s critical minerals framework “will not be an easy sell until there is final clarity on Greenland.” Trump compounded the damage to relations with NATO countries on Jan. 22 when he accused member country troops that deployed to support U.S. forces in Afghanistan from 2001 to 2021 of having shirked combat duty. “The White House really messed up with Greenland and Davos,” a third European diplomat said. “They may have underestimated how much that would have an impact.” The Trump administration needs the critical minerals deals to go through. The U.S. has been scrambling to find alternative supply lines for a group of minerals called rare earths since Beijing temporarily cut the U.S. off from its supply last year. China — which has a near-monopoly on rare earths — relented in the trade truce that Trump brokered with China’s leader Xi Jinping in South Korea in October. The administration is betting that foreign government officials that attend Wednesday’s event also want alternative sources to those materials. “The United States and the countries attending recognize that reliable supply chains are indispensable to our mutual economic and national security and that we must work together to address these issues in this vital sector,” the State Department statement said in a statement. The administration has been expressing confidence that it will secure critical minerals partnerships with the countries attending the ministerial, despite their concerns over Trump’s bellicose policy. “There is a commonality here around countering China,” Ruth Perry, the State Department’s acting principal deputy assistant secretary for ocean, fisheries and polar affairs, said at an industry event on offshore critical minerals in Washington last week. “Many of these countries understand the urgency.” Speaking at a White House event Monday, Interior Secretary Doug Burgum indicated that 11 nations would sign on to a critical minerals framework with the United States this week and another 20 are considering doing so. Greenland has rich deposits of rare earths and other minerals. But Denmark isn’t sending any representatives to the ministerial, according to the person familiar with the event’s planning. Trump said last month that a framework agreement he struck with NATO over Greenland’s future included U.S. access to the island’s minerals. Greenland’s harsh climate and lack of infrastructure in its interior makes the extraction of those materials highly challenging. Concern about the longer term economic and geostrategic risks of turning away from Washington in favor of closer ties with Beijing — despite the Trump administration’s unpredictability — may work in Rubio’s favor on Wednesday. “We still want to work on issues where our viewpoints align,” an Asian diplomat said. “Critical minerals, energy and defense are some areas where there is hope for positive movement.” State Department cables obtained by POLITICO show the administration is leaning on ministerial participants to sign on to a nonbinding framework agreement to ensure U.S. access to critical minerals. The framework establishes standards for government and private investment in areas including mining, processing and recycling, along with price guarantees to protect producers from competitors’ unfair trade policies. The basic template of the agreement being shared with other countries mirrors language in frameworks sealed with Australia and Japan and memorandums of understanding inked with Thailand and Malaysia last year. Enthusiasm for the framework varies. The Philippine and Polish governments have both agreed to the framework text, according to cables from Manila on Jan. 22 and Warsaw on Jan. 26. Romania is interested but “proposed edits to the draft MOU framework,” a cable dated Jan. 16 said. As of Jan. 22 India was noncommittal, telling U.S. diplomats that New Delhi “could be interested in exploring a memorandum of understanding in the future.” European Union members Finland and Germany both expressed reluctance to sign on without clarity on how the framework aligns with wider EU trade policies. A cable dated Jan. 15 said Finland “prefers to observe progress in the EU-U.S. discussions before engaging in substantive bilateral critical mineral framework negotiations.” Berlin also has concerns that the initiative may reap “potential retaliation from China,” according to a cable dated Jan. 16. Trump’s threats over the past two weeks to impose 100 percent tariffs on Canada for cutting a trade deal with China and 25 percent tariffs on South Korea for allegedly slow-walking legislative approval of its U.S. trade agreement are also denting enthusiasm for the U.S. critical minerals initiative. Those levies “have introduced some uncertainty, which naturally leads countries to proceed pragmatically and keep their options open,” a second Asian diplomat said. There are also doubts whether Trump will give the initiative the long-term backing it will require for success. “There’s a sense that this could end up being a TACO too,” a Latin American diplomat said, using shorthand for Trump’s tendency to make big threats or announcements that ultimately fizzle. Analysts, too, argue it’s unlikely the administration will be able to secure any deals amid the fallout from Davos and Trump’s tariff barrages. “We’re very skeptical on the interest and aptitude and trust in trade counterparties right now,” said John Miller, an energy analyst at TD Cowen who tracks critical minerals. “A lot of trading partners are very much in a wait-and-see perspective at this point saying, ‘Where’s Trump really going to go with this?’” And more unpredictability or hostility by the Trump administration toward longtime allies could push them to pursue critical mineral sourcing arrangements that exclude Washington. “The alternative is that these other countries will go the Mark Carney route of the middle powers, cooperating among themselves quietly, not necessarily going out there and saying, ‘Hey, we’re cutting out the U.S.,’ but that these things just start to crop up,” said Jonathan Czin, a former China analyst at the CIA now at the Brookings Institution. “Which will make it more challenging and allow Beijing to play divide and conquer over the long term.” Felicia Schwartz contributed to this report.
Energy
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Ursula von der Leyen to travel to Australia to seal EU security, trade deal
BRUSSELS — European Commission President Ursula von der Leyen is planning to travel to Australia this month to clinch a security and trade deal, according to a person familiar with the talks. Her trip will follow a meeting next week between European Trade Commissioner Maroš Šefčovič and his Australian counterpart Don Farrell in Brussels, a second person said. Both people were granted anonymity because the schedules are still tentative. The EU and Canberra are moving to revive trade negotiations that collapsed at the end of 2023 amid disagreements over quotas of beef and lamb. The quotas are still being negotiated between Canberra and Brussels, the first person familiar with the talks said. Von der Leyen will take the 20-hour-plus flight to Australia directly after she attends the Munich Security Conference, which takes place in the German city on Feb. 13-15, according to Australian digital newspaper The Nightly, which broke the news of the Commission chief’s four-day trip. EU countries last December allowed the Commission to negotiate a defense deal with Australia. Sealing such a deal would come on the heels of security and defense partnerships signed with the U.K., Canada and most recently India. An agreement with Australia would represent a win for the EU, as it would open access to the country’s vast reserves of strategic minerals. Australia is the world’s largest producer of lithium and also holds the world’s second-largest copper reserves. Coming after the EU’s fraught Mercosur deal with South American countries — criticized by farmers, France and skeptical lawmakers — the pact with Canberra is expected to also trigger pushback due to its significant agricultural component.
Politics
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Negotiations
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