Tag - Cars

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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Germany’s industrial engine sputters as Bosch axes 20,000 jobs
German industrial giant Bosch on Friday confirmed plans to cut 20,000 jobs after profits nearly halved last year, underlining the mounting strain on Germany’s once-dominant manufacturing sector and increasing the pressure on politicians in Berlin to find a solution. Official data released Friday also showed Germany’s unemployment rate, unadjusted for seasonal factors, rising to 6.6 percent — the highest level in twelve years. The number of unemployed people surpassed three million in January. “Economic reality is also reflected in our results,” Bosch CEO Stefan Hartung said, describing 2025 as “a difficult and, in some cases, painful year” for the company, which is a leading supplier of parts for cars. The move lands amid a deepening slump in the country’s automotive industry, long the backbone of German manufacturing. The sector has been shedding jobs rapidly: A 2025 study by EY found that more than 50,000 automotive positions were cut in Germany last year alone. Germany’s automotive downturn has become a wider political test for the government in Berlin and Europe more widely. Once the economy’s crown jewel, the industry is now being challenged by current policy on electric vehicles, energy costs and aggressive competition from Chinese manufacturers. As suppliers weaken, the risk is shifting from lower profits to a lasting loss of competitiveness. With layoffs rising and investment decisions being delayed, Chancellor Friedrich Merz’s government is coming under growing pressure from workers, unions and industry leaders to rethink Germany’s industrial strategy — as doubts spread domestically and across Europe about the country’s ability to remain an economic powerhouse.
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All the economic wins Keir Starmer wants to bag in China
LONDON — Keir Starmer is off to China to try to lock in some economic wins he can shout about back home. But some of the trickiest trade issues are already being placed firmly in the “too difficult” box. The U.K.’s trade ministry quietly dispatched several delegations to Beijing over the fall to hash out deals with the Chinese commerce ministry and lay the groundwork for the British prime minister’s visit, which gets going in earnest Wednesday. But the visit comes as Britain faces growing pressure from its Western allies to combat Chinese industrial overproduction — and just weeks after Starmer handed his trade chief new powers to move faster in imposing tariffs on cheap, subsidized imports from countries like China. For now, then, the aim is to secure progress in areas that are seen as less sensitive. Starmer’s delegation of CEOs and chairs will split their time between Beijing and Shanghai, with executives representing City giants and high-profile British brands including HSBC, Standard Chartered, Schroders, and the London Stock Exchange Group, alongside AstraZeneca, Jaguar Land Rover, Octopus Energy, and Brompton filling out the cast list. Starmer will be flanked on his visit by Trade Secretary Peter Kyle and City Minister Lucy Rigby. Despite the weighty delegation, ministers insist the approach is deliberately narrow. “We have a very clear-eyed approach when it comes to China,” Security Minister Dan Jarvis said Monday. “Where it is in our national interest to cooperate and work closely with [China], then we will do so. But when it’s our national security interest to safeguard against the threats that [they] pose, we will absolutely do that.” Starmer’s wishlist will be carefully calibrated not to rock the boat. Drumming up Chinese cash for heavy energy infrastructure, including sensitive wind turbine technology, is off the table. Instead, the U.K. has been pushing for lower whisky tariffs, improved market access for services firms, recognition of professional qualifications, banking and insurance licences for British companies operating in China, easier cross-border investment, and visa-free travel for short stays. With China fiercely protective of its domestic market, some of those asks will be easier said than done. Here’s POLITICO’s pro guide to where it could get bumpy. CHAMPIONING THE CITY OF LONDON Britain’s share of China’s services market was a modest 2.7 percent in 2024 — and U.K. firms are itching for more work in the country. British officials have been pushing for recognition of professional qualifications for accountants, designers and architects — which would allow professionals to practice in China without re-licensing locally — and visa-free travel for short stays. Vocational accreditation is a “long-standing issue” in the bilateral relationship, with “little movement” so far on persuading Beijing to recognize U.K. professional credentials as equivalent to its own, according to a senior industry representative familiar with the talks, who, like others in this report, was granted anonymity to speak freely. But while the U.K.’s allies in the European Union and the U.S. have imposed tariffs on Chinese EVs, the U.K. has resisted pressure to do so. | Jessica Lee/EPA Britain is one of the few developed countries still missing from China’s visa-free list, which now includes France, Germany, Italy, Spain, the Netherlands, Switzerland, Australia, New Zealand, Japan, Saudi Arabia, Russia and Sweden.  Starmer is hoping to mirror a deal struck by Canadian PM Mark Carney, whose own China visit unlocked visa-free travel for Canadians.  The hope is that easier business travel will reduce friction and make it easier for people to travel and explore opportunities on the ground — it would allow visa-free travel for British citizens, giving them the ability to travel for tourism, attend business conferences, visit friends and family, and participate in short exchange activities.  SMOOTHING FINANCIAL FLOWS The Financial Conduct Authority’s Chair Ashley Alder is also flying out to Beijing, hoping to secure closer alignment between the two countries’ capital markets. He’ll represent Britain’s financial watchdog at the inaugural U.K-China Financial Working Group in Beijing — and bang the drum for better market connectivity between the U.K. and China. Expect emphasis on the cross-border investments mechanism known as the Shanghai-London and Shenzhen-London Stock Connect, plus data sovereignty issues associated with Chinese companies jointly listing on the London Stock Exchange, two figures familiar with the planning said. The Stock Connect opened up both markets to investors in 2019 which, according to FCA Chair Ashley Alder, led to listings worth almost $6 billion. “Technical obstacles have so far prevented us from realizing Stock Connect’s full potential,” Alder said in a speech last year. Alder pointed to a memorandum of understanding being drawn up between the FCA and China’s National Financial Regulatory Administration, which he said is “critical” to allow information to be shared quickly and for firms to be supervised across borders. But that raises its own concerns about Chinese use of data. “The goods wins are easier,” said a senior British business representative briefed on the talks. “Some of the service ones are more difficult.” TAPPING INTO CHINA’S BIOTECH BOOM Pharma executives, including AstraZeneca’s CEO Pascal Soriot, are among those heading to China, as Britain tries to burnish its credentials as a global life sciences hub — and attract foreign direct investment. China, once known mainly for generics — cheaper versions of branded medicine that deliver the same treatment — has rapidly emerged as a pharma powerhouse. According to ING Bank’s global healthcare lead, Stephen Farrelly, the country has “effectively replaced Europe” as a center of innovation. ING data shows China’s share of global innovative drug approvals jumped from just 4 percent in 2014 to 27 percent in 2024. Pharma executives, including AstraZeneca’s CEO Pascal Soriot, are among those heading to China, as Britain tries to burnish its credentials as a global life sciences hub — and attract foreign direct investment. | John G. Mabanglo/EPA Several blockbuster drug patents are set to expire in the coming years, opening the door for cheaper generic competitors. To refill thinning pipelines, drugmakers are increasingly turning to biotech companies. British pharma giant GSK signed a licensing deal with Chinese biotech firm Hengrui Pharma last July. “Because of the increasing relevance of China, the big pharma industry and the U.K. by definition is now looking to China as a source of those new innovative therapies,” Farrelly said. There are already signs of progress. Science Minister Patrick Vallance said late last year that the U.K. and China are ready to work together in “uncontroversial” areas, including health, after talks with his Chinese counterpart. AstraZeneca, the University of Cambridge and Beijing municipal parties have already signed a partnership to share expertise. And earlier this year, the U.K. announced plans to become a “global first choice for clinical trials.” “The U.K. can really help China with the trust gap” when it comes to getting drugs onto the market, said Quin Wills, CEO of Ochre, a biotech company operating in New York, Oxford and Taiwan. “The U.K. could become a global gold stamp for China. We could be like a regulatory bridgehead where [healthcare regulator] MHRA, now separate from the EU since Brexit, can do its own thing and can maybe offer a 150-day streamlined clinical approval process for China as part of a broader agreement.” SLASHING WHISKY TARIFFS  The U.K. has also been pushing for lowered tariffs on whisky alongside wider agri-food market access, according to two of the industry figures familiar with the planning cited earlier. Talks at the end of 2024 between then-Trade Secretary Jonathan Reynolds and his Chinese counterpart ended Covid-era restrictions on exports, reopening pork market access. But in February 2025 China doubled its import tariffs on brandy and whisky, removing its provisional 5 percent tariff and applying the 10 percent most-favored-nation rate. “The whisky and brandy issue became China leverage,” said the senior British business representative briefed on the talks. “I think that they’re probably going to get rid of the tariff.”  It’s not yet clear how China would lower whisky tariffs without breaching World Trade Organization rules, which say it would have to lower its tariffs to all other countries too. INDUSTRIAL TENSIONS The trip comes as the U.K. faces growing international pressure to take a tougher line on Chinese industrial overproduction, particularly of steel and electric cars. But in February 2025 China doubled its import tariffs on brandy and whisky, removing its provisional 5 percent tariff and applying the 10 percent most-favored-nation rate. | Yonhap/EPA But while the U.K.’s allies in the European Union and the U.S. have imposed tariffs on Chinese EVs, the U.K. has resisted pressure to do so. There’s a deal “in the works” between Chinese EV maker and Jaguar Land Rover, said the senior British business representative briefed on the talks quoted higher, where the two are “looking for a big investment announcement. But nothing has been agreed.” The deal would see the Chinese EV maker use JLR’s factory in the U.K. to build cars in Britain, the FT reported last week. “Chinese companies are increasingly focused on localising their operations,” said another business representative familiar with the talks, noting Chinese EV makers are “realising that just flaunting their products overseas won’t be a sustainable long term model.” It’s unlikely Starmer will land a deal on heavy energy infrastructure, including wind turbine technology, that could leave Britain vulnerable to China. The U.K. has still not decided whether to let Ming Yang, a Chinese firm, invest £1.5 billion in a wind farm off the coast of Scotland.
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EU, India close ranks against Trump to seal trade deal
NEW DELHI — The European Union and India locked arms against U.S. President Donald Trump’s tariff offensive and China’s flood of cheaper goods to conclude talks on a landmark trade pact on Tuesday.  Under the deal, India will lower tariffs on European cars and wine, while the EU signaled it would assist Indian companies with decarbonization and negotiate duty-free quotas for Indian steel.  “Two giants who choose partnership, in a true win-win fashion. A strong message that cooperation is the best answer to global challenges,” said European Commission President Ursula von der Leyen, standing next to Indian Prime Minister Narendra Modi. The announcement rounded off a year of intensive negotiations in which the EU sought to lock down a trade deal with the world’s most populous nation. Von der Leyen and European Council President António Costa were guests of honor at India’s exuberant Republic Day celebrations on Monday. Ties between India and the U.S. reached a low point last August, when Trump imposed a 50 percent tariff on goods from the South Asian nation over its purchases of Russian oil.  “Both know that they need each other like never before and in this fractured world where trusted partnerships are very, very hard to come by,” said Garima Mohan, who leads the German Marshall Fund’s work on India. Under the deal, India will gradually slash tariffs on European cars, reducing tariffs from 110 to 10 percent on 250,000 cars every year.  A range of agricultural goods will also see their tariffs drop, coming as a reassurance for the European Parliament and the EU’s farmers who have been heavily protesting in recent months over fears that they would be undercut by cheap farm produce.  Tariffs on wine will be reduced from to 20 and 30 percent from 150 percent now, depending on value. European olive oil will also enter duty free into India, instead of facing a 45 percent tariff. STEEL DEAL The stickiest issues related to steel and the EU’s carbon border tax: New Delhi, a major steel exporter, wanted to make sure that its metals wouldn’t be impacted by an upcoming 50 percent EU tariff on steel, and the carbon levy that has just entered force. In response to those concerns, the EU plans to give India a significant share of the 18.3 million metric tons of steel allowed to enter the bloc duty free — Brussels will negotiate this with its partners as is required by global trade rules.  “There will of course be a difference in how you treat this negotiation on application of steel measures between FTA and non-FTA partners. Therefore I think it was strategic from both sides that we have the agreement now and that India will be treated as an FTA partner,” EU trade chief Maroš Šefčovič told POLITICO.  On the carbon border tax, a new levy on carbon emissions that has irked countries such as the United States and Brazil, Brussels will “help Indian operators to have a smooth introduction of CBAM with all the technical assistance and all the additional advice we can provide,” Šefčovič added, stressing that the Commission would treat all its partners equally.  For India, the deal represents an opportunity to boost its exports of pharmaceuticals, textiles and chemicals.  This story has been updated.
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Airlines target EU climate rules after carmakers showed the way
BRUSSELS — Powerful political allies helped automakers force the EU to water down climate laws for cars — and now the aviation sector is borrowing those tactics. Their big target is getting the EU to dilute its mandate forcing airlines to use increasing amounts of cleaner jet fuels, alternatives to kerosene that are also much more expensive and harder to source. Aviation is emerging as the next crucial stress test for the EU’s climate agenda, as key leaders push to do whatever it takes to help struggling European businesses. With industry and allied governments pressing for relief from costly green rules, the fight will show how far Brussels is willing to go — and what it is willing to give up — in pursuit of its climate goals. “I will make a bet today that what happened to the car regulation will happen to the SAF [Sustainable Aviation Fuels] regulation in Europe,” French energy giant TotalEnergies CEO Patrick Pouyanné predicted at the World Economic Forum in Davos earlier this month. Carmakers provide a model on how to get the EU to backtrack. The bloc mandated that no CO2-emitting cars could be sold from 2035, essentially killing the combustion engine and replacing it with batteries (possibly with a minor role for hydrogen). But many carmakers — allied with countries like Germany, Italy and automaking nations in Central Europe — pushed back, arguing that the 2035 mandate would destroy the car sector just as it is battling U.S. President Donald Trump’s tariffs, sluggish demand and a rising threat from Chinese competitors. “I will make a bet today that what happened to the car regulation will happen to the SAF [Sustainable Aviation Fuels] regulation in Europe,” Patrick Pouyanné said. | Ludovic Marin/ AFP via Getty Images In the end, the European Commission gave way and watered down the 2035 mandate, which will now only aim to cut CO2 emissions by 90 percent. AVIATION DEMANDS The aviation sector has a similar list of issues with the EU. It is taking aim at a host of other climate policies, such as including aviation in the bloc’s cap-and-trade Emissions Trading System and intervening on non-CO2 impacts of airplanes like contrails — the ice clouds produced by airplanes that have an effect on global warming. Brussels introduced several regulations over the last 15 years to address the growing climate impact of air transport, which accounts for about 3 percent of global CO2 emissions. Those policies include the obligation to use sustainable aviation fuels, to put a price on carbon emissions and to take action on non-CO2 emissions. Each of these green initiatives is now under attack. The ReFuelEU regulation requires all airlines to use SAF for at least 2 percent of their fuel mix starting this year. That mandate rises to 6 percent from 2030, 20 percent from 2035 and 70 percent by 2050. “Today, all airline companies are fighting even the 6 percent … which is easy to reach to be honest,” Pouyanné said, but then warned, “20 percent five years after makes zero sense.” He is echoed by CEOs like Ryanair’s combative Michael O’Leary, who called the SAF mandate “nonsense.” “It is all gradually dying a death, which is what it deserves to do,” O’Leary said last year. “We have just about met our 2 percent mandate. There is no possibility of meeting 6 percent by 2030; 10 percent, not a hope in hell. We’re not going to get to net zero by 2050.” Brussels-based airline lobbies are not calling for the SAF mandate to be killed, rather they are demanding a book-and-claim system. Under such a scheme, airlines could claim carbon credits for a certain amount of SAF, even if they don’t use it in their own aircraft. They would buy it at an airport where it’s available and then let other airlines use it. That would make it easier for airlines to meet the SAF mandate even if the fuel is not easily available. However, so far the Commission is opposed. LOBBYING BATTLE The car coalition only worked because industry allied with countries, and there are signs of that happening with aviation. The sector’s lobbying effort to slash the EU carbon pricing could find an ally in the new Italo-German team-up to promote competitiveness. The German government last year announced a plan to cut national aviation taxes — with the call made during the COP30 global climate conference, something that angered the German Greens. Italian Prime Minister Giorgia Meloni and German Federal Chancellor Friedrich Merz attend the Italy-Germany Intergovernmental Summit at Villa Doria Pamphilj. | Vincenzo Nuzzolese/LightRocket via Getty Images Italian Prime Minister Giorgia Meloni said Friday that she and German Chancellor Friedrich Merz wanted to start “a decisive change of pace … in terms of the competitiveness of our businesses.” “A certain ideological vision of the green transition has ended up bringing our industries to their knees, creating new dangerous strategic dependencies for Europe without, however, having any real impact on the global protection of the environment and nature,” she added. Her far-right coalition ally, Italian Transport Minister Matteo Salvini, has called the ETS and taxes on maritime transport and air transport “economic suicide” that “must be dismantled piece by piece.” COMMISSION SAYS NO As with the 2035 policy for cars, the European Commission is strongly defending its policy against those attacks. Apostolos Tzitzikostas, the transport commissioner, stressed the EU’s “firm commitment” to stick with aviation decarbonization policies. “Investment decisions and construction must start by 2027, or we will miss the 2030 targets. It is as simple as that,” the commissioner said in November when announcing the bloc’s new plans to boost investment into sustainable aviation and maritime fuels. Climate campaigners fought hard against the car sector’s efforts to gut 2035, and now they’re gearing up for another battle over aviation targets. “The airlines’ whining comes as no surprise — yet it is disappointing to see airlines come after such a fundamental piece of EU legislation,” said Marte van der Graaf, aviation policy officer at green NGO Transport & Environment. She was incensed about efforts to dodge the high prices set by the EU’s ETS in favor of the U.N.’s cheaper CORSIA emissions reduction scheme. Airline lobbyA4E said its members paid €2.3 billion for ETS permits last year. “By 2030, [the ETS cost] should rise up to €5 billion because the free allowances are phased out,” said Monika Rybakowska, the lobby’s policy director.  A recent study by the think tank InfluenceMap found that airlines are working to increase their impact on policymakers by aligning their positions on ETS. T&E also took aim at a recent position paper by A4E that asked the EU to postpone measures to curb non-CO2 pollution — such as nitrogen oxides and soot particles that, along with water vapor, contribute to contrails. The A4E paper said that “the scientific foundation for regulating non-CO2 effects remains insufficient” and “introducing financial liability risks misdirecting resources.” This is “an outdated excuse,” responded T&E, noting that the climate impact of contrails has been known for over 20 years.
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EU, India reach agreement on trade deal
NEW DELHI — The EU and India have concluded trade talks on a free trade agreement, a senior Indian official told POLITICO.  “Official-level negotiations are being concluded and both sides are all set to announce the successful conclusion of FTA talks on 27th January,” Commerce Secretary Rajesh Agrawal told POLITICO.  Under the deal, India is expected to significantly reduce tariffs on cars and machinery as well agricultural goods such as wine and hard alcohol. “This would be a very good story for our agriculture sector. I believe we are aiming to start a completely new chapter in the field of cooperation in the automotive sector, in machinery,” EU trade chief Maroš Šefčovič told POLITICO. On trade in services, the trade chief said that sectors like telecoms, maritime and financial services were expected to benefit. “This is again something where also India is making groundbreaking steps to new levels of cooperation, because we are the first one with whom they’re ready to consider this cooperation,” he said.  The conclusion to the talks arrived as the EU leadership was on a three-day visit to India for a summit to boost trade and defense ties between New Delhi and Brussels.  With the talks between the two sides having been on and off since 2007, the pact comes at an ideal moment as New Delhi and Brussels battle steep tariffs from the U.S. and cheap goods from China. 
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4 French mayoral races that will show where the presidential race is heading
Want to get a sense of how the next French presidential vote will play out? Then pay attention to the upcoming local elections. They start in 50 days, and voters in more than 35,000 communes will head to the polls to elect city councils and mayors. Those races will give an important insight into French politics running into the all-important 2027 presidential contest that threatens to reshape both France and the European Union.  The elections, which will take place over two rounds on March 15 and March 22, will confirm whether the far-right National Rally can cement its status as the country’s predominant political force. They will also offer signs of whether the left is able to overcome its internal divisions to be a serious challenger. The center has to prove it’s not in a death spiral. POLITICO traveled to four cities for an on-the-ground look at key races that will be fought on policy issues that resonate nationally such as public safety, housing, climate change and social services. These are topics that could very well determine the fortunes of the leading parties next year. FRANCE IN MINIATURE Benoit Payan, Franck Allisio, Martine Vassal and Sébastien Delogu | Source photos via EPA and Getty Images MARSEILLE — France’s second city is a microcosm of the nationwide electoral picture. Marseille’s sprawl is comprised of poorer, multicultural areas, middle-to-upper-class residential zones and bustling, student-filled districts. All make up the city’s unique fabric. Though Marseille has long struggled with crime, a surge in violence tied to drug trafficking in the city and nationwide has seen security rocket up voters’ priority list. In Marseille, as elsewhere, the far right has tied the uptick in violence and crime to immigration. The strategy appears to be working. Recent polling shows National Rally candidate Franck Allisio neck-and-neck with incumbent Benoît Payan, who enjoys the support of most center-left and left-wing parties. Trailing them are the center-right hopeful Martine Vassal — who is backed by French President Emmanuel Macron’s party Renaissance — and the hard-left France Unbowed candidate Sébastien Delogu, a close ally of three-time presidential candidate Jean-Luc Mélenchon. Those four candidates are all polling well enough to make the second round. That could set up an unprecedented and unpredictable four-way runoff to lead the Mediterranean port city of more than 850,000 people. A National Rally win here would rank among the biggest victories in the history of the French far right. Party leader Marine Le Pen traveled to Marseille herself on Jan. 17 to stump for Allisio, describing the city as a “a symbol of France’s divisions” and slamming Payan for “denying that there is a connection between immigration and insecurity.” Party leader Marine Le Pen traveled to Marseille herself on Jan. 17 to stump for Allisio. | Miguel Medina/AFP via Getty Images The center-right candidate Vassal told POLITICO said she would increase security by recruiting more local police and installing video surveillance. But she also regretted that Marseille was so often represented by its struggles. “We’re always making headlines on problems like drug trafficking … It puts all the city’s assets and qualities to the side and erases everything else which goes on,” Vassal said. Payan, whose administration took over in 2020 after decades of conservative rule, has tried to tread a line that is uncompromising on policing while also acknowledging the roots of the city’s problems require holistic solutions. He’s offered to double the number of local cops as part of a push for more community policing and pledged free meals for 15,000 students to get them back in school. Marseille’s sprawl is comprised of poorer, multicultural areas, middle-to-upper-class residential zones and bustling, student-filled districts. All make up the city’s unique fabric. | Miguel Medina/AFP via Getty Images Delogu is the only major candidate not offering typical law-and-order investments. Though he acknowledges the city’s crime problems, he proposes any new spending should be on poverty reduction, housing supply and the local public health sector rather than of more security forces and equipment. Crime is sure to dominate the debate in Marseille. This election will test which of these competing approaches resonates most in a country where security is increasingly a top concern. LATEST POLLING: Payan 30 percent – Allisio 30 percent- Vassal 23 percent – Delogu 14 percent CAN A UNITED LEFT BLOCK A FAR-RIGHT TAKEOVER? Julien Sanchez, Franck Proust and Julien Plantier | Source photos via Getty Images NÎMES — Nîmes’ stunningly well-preserved second-century Roman amphitheater attracts global superstars for blockbuster concerts. But even the glamour of Taylor Swift or Dua Lipa can’t hide the recent scares in this city of more than 150,000 people. Nîmes has in recent years suffered from violence tied to drug trafficking long associated with Marseille, located just a short train ride away. Pissevin, a high-rise neighborhood just a 15-minute streetcar ride from the landmark amphitheater, seized national headlines in 2024 when 10-year-old was killed by a stray bullet in a case that remains under investigation but which prosecutors believe was linked to drug trafficking. “Ten to 15 years ago, a lot of crime came from petty theft and burglaries. But some of the population in underprivileged areas, looking for economic opportunities, turned to the drug trade, which offered a lot more money and the same amount of prison time if they were caught,” said Salim El Jihad, a Nîmes resident who leads the local nongovernmental organization Suburban. The Nimes amphitheatre and Pissevin / Source photos via Getty Images The National Rally is betting on Nîmes as a symbolic pickup. The race is shaping up to be a close three-way contest between Communist Vincent Bouget, the National Rally’s Julien Sanchez and conservative Franck Proust, Nîmes’ deputy mayor from 2016 to 2020. Bouget — who is backed by most other left-wing parties, including moderate forces like the Socialist Party — told POLITICO that while security is shaping up to be a big theme in the contest, it raises “a broader question around social structures.” “What citizens are asking for is more human presence, including public services and social workers,” Bouget said. Whoever wins will take the reins from Jean-Paul Fournier, the 80-year-old conservative mayor who has kept Nîmes on the right without pause for the past quarter century. But Fournier’s decision not to seek another term and infighting within his own party, Les Républicains, have sharply diminished Proust’s chances of victory. Proust may very well end splitting votes with Julien Plantier, another right-leaning former deputy mayor, who has the support of Macron’s Renaissance. Sanchez, meanwhile, is appealing to former Fournier voters with pledges to bolster local police units and with red scare tactics. “Jean-Paul Fournier managed to keep this city on the right for 25 years,” Sanchez said in his candidacy announcement clip. “Because of the stupidity of his heirs, there’s a strong chance the communists and the far left could win.” LATEST POLLING: Bouget 28 percent – Sanchez 27 percent- Proust 22 percent THE LAST GREEN HOPE That was also a clear swipe at Pierre Hurmic’s main opponent — pro-Macron centrist Thomas Cazenave — who spent a year as budget minister from 2023 to 2024. | Source photos via Getty Images BORDEAUX — Everyone loves a Bordeaux red. So can a Green really last in French wine country? Pierre Hurmic rode the green wave to Bordeaux city hall during France’s last nationwide municipal elections in 2020. That year the Greens, which had seldom held power other than as a junior coalition partner, won the race for mayor in three of France’s 10 most populous cities — Strasbourg, Lyon and Bordeaux — along with smaller but noteworthy municipalities including Poitiers and Besançon. Six years later, the most recent polling suggests the Greens are on track to lose all of them. Except Bordeaux. Green mayors have faced intense scrutiny over efforts to make cities less car-centric and more eco-friendly, largely from right-wing opponents who depict those policies as out of touch with working-class citizens who are priced out of expensive city centers and must rely on cars to get to their jobs. The view from Paris is that Hurmic has escaped some of that backlash by being less ideological and, crucially, adopting a tougher stance on crime than some of his peers. Notably, Hurmic decided to arm part of the city’s local police units — departing from some of his party’s base, which argues that firearms should be reserved for national forces rather than less-experienced municipal units. In an interview with POLITICO, Hurmic refused to compare himself to other Green mayors. He defended his decision to double the number of local police, alongside those he armed, saying it had led to a tangible drop in crime. “Everyone does politics based on their own temperament and local circumstances,” he said. Hurmic insists that being tough on crime doesn’t mean going soft on climate change. He argues the Greens’ weak polling wasn’t a backlash against local ecological policies, pointing to recent polling showing 63 percent of voters would be “reluctant to vote for a candidate who questions the ecological transition measures already underway in their municipality.” Pursuing a city’s transition on issues like mobility and energy is all the more necessary because at the national level, “the state is completely lacking,” Hurmic said, pointing to what he described as insufficient investment in recent budgets. That was also a clear swipe at his main opponent — pro-Macron centrist Thomas Cazenave — who spent a year as budget minister from 2023 to 2024. Cazenave has joined forces with other center-right and conservative figures in a bid to reclaim a city that spent 73 years under right-leaning mayors, two of whom served as prime minister — Alain Juppé and Jacques Chaban-Delmas. But according Ludovic Renard, a political scientist at the Bordeaux Institute of Political Science, Hurmic’s ascent speaks to how the city has changed. “The sociology of the city is no longer the same, and Hurmic’s politics are more in tune with its population,” said Renard. LATEST POLLING: Hurmic 32 percent – Cazenave 26 percent – Nordine Raymond (France Unbowed) 15 percent – Julie Rechagneux (National Rally) 13 percent – Philippe Dessertine (independent) 12 percent GENTRIFICATION AND THE FUTURE OF THE LEFT Mayor Karim Bouamrane, a Socialist, has said the arrival of new, wealthier residents and the ensuing gentrification could be a net positive for the city, as long as “excellence is shared.” | Bertrand Guay/AFP via Getty Images SAINT-OUEN-SUR-SEINE — The future of the French left could be decided on the grounds of the former Olympic village. The Parisian suburb of Saint-Ouen-sur-Seine, which borders the French capital, is a case study in the waves of gentrification that have transformed the outskirts of major European cities. Think New York’s Williamsburg, London’s Hackney or Berlin’s Neukölln. Saint-Ouen, as it’s usually called, has long been known for its massive flea market, which draws millions of visitors each year. But the city, particularly its areas closest to Paris, was long seen as unsafe and struggled with entrenched poverty. The future of the French left could be decided on the grounds of the former Olympic village. | Mustafa Yalcin/Anadolu via Getty Images That changed over time, as more affluent Parisians began moving into the well-connected suburb in search of cheaper rents or property. A 2023 report from the local court of auditors underlined that “the population of this rapidly growing municipality … has both a high poverty rate (28 percent) and a phenomenon of ‘gentrification’ linked to the rapid increase in the proportion of executives and higher intellectual professions.” Mayor Karim Bouamrane, a Socialist, has said the arrival of new, wealthier residents and the ensuing gentrification could be a net positive for the city, as long as “excellence is shared.” Bouamrane has also said he would continue pushing for the inclusion of social housing when issuing building permits, and for existing residents not to be displaced when urban renewal programs are put in place. His main challenger, France Unbowed’s Manon Monmirel, hopes to build enough social housing to make it 40 percent of the city’s total housing stock. She’s also pledged to crack down on real estate speculation. The race between the two could shed light on whether the future of the French left lies in the center or at the extremes. In Boumrane, the Socialists have a charismatic leader. He is 52 years old, with a beat-the-odds story that lends itself well to a national campaign. His journey from child of Moroccan immigrants growing up in a rough part of Saint-Ouen to city leader certainly caught attention of the foreign press in the run-up to the Olympics. Bouamrane’s moderate politics include a push for his party to stop fighting Macron’s decision to raise the retirement age in 2023 and he supports more cross-partisan work with the current center-right government. That approach stands in sharp contrast to the ideologically rigid France Unbowed. The party’s firebrand leader Mélenchon scored 51.82 percent of the vote in Saint-Ouen during his last presidential run in 2022, and France Unbowed landed over 35 percent — more than three times its national average — there in the European election two years later, a race in which it usually struggles. Mélenchon and France Unbowed’s campaign tactics are laser-focused on specific segments that support him en masse despite his divisive nature: a mix of educated, green-minded young voters and working-class urban populations, often of immigrant descent. In other words: the yuppies moving to Saint-Ouen and the people who were their before gentrification. France Unbowed needs their continued support to become a durable force, or it may crumble like the grassroots movements born in the early 2010s, including Spain’s Podemos or Greece’s Syriza. But if the Socialists can’t win a left-leaning suburb with a popular incumbent on the ballot, where can they win?
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Budget
Another US federal law enforcement shooting in Minneapolis
Minnesota Democrats are once again calling on federal law enforcement to leave Minneapolis after reports of yet another shooting made the rounds Saturday. “Minnesota has had it. This is sickening,” Governor Tim Walz said in a post on X, noting he’d spoken with President Donald Trump. “The President must end this operation. Pull the thousands of violent, untrained officers out of Minnesota. Now.” A likely candidate to succeed Walz echoed his words. “To the Trump administration and the Republicans in Congress who have stood silent: Get ICE out of our state NOW,” Sen. Amy Klobuchar (D-Minn.) wrote on X, adding that details are scarce. The City of Minneapolis confirmed that a shooting involving federal law enforcement had occurred early on Saturday. The Associated Press reported that the 51-year-old victim had died, but POLITICO has not independently confirmed. A Department of Homeland Security official told POLITICO that the person who was shot, whom the DHS official described as a “suspect,” was in possession of a firearm and two magazines. The situation is still evolving, the official said. The individual’s condition is currently unknown. Minneapolis Police Department officials are on the scene, keeping more than 100 observers and protesters blocked off from the agents, according to the Minneapolis Star Tribune. An ambulance left the scene after CPR was seen being performed on the man, the Tribune reported. Minneapolis has become a national flashpoint for outrage over Trump’s aggressive immigration enforcement after the Department of Homeland Security deployed thousands of federal immigration agents to the city in December. The scale and visibility of federal law enforcement’s operation — paired with federal agents operating with limited cooperation with local officials — have alarmed city and state leaders in Minnesota, who say the tactics resemble a show of force aimed at a politically hostile region rather than routine immigration enforcement. The tension came to a head earlier this month after the killing of 37-year-old Renee Good in her car during an immigration operation. The shooting has since triggered sustained protests and national scrutiny. In the aftermath of the shooting, federal authorities limited state officials’ access to the federal probe. They later subpoenaed Walz as part of a Justice Department probe into the state’s response to White House immigration enforcement. The governor called it a “partisan distraction” and “political theater.” Trump and Vice President JD Vance have attacked Walz and Minneapolis Mayor Jacob Frey for refusing to cooperate with federal immigration agents and by criticizing the federal enforcement, with Vance initially arguing that the agent who shot Good was protected by “absolute immunity.” On Thursday, he took a different tone. “I didn’t say, and I don’t think any other official within the Trump administration said that officers who engage in wrongdoing would enjoy immunity,” the vice president said in Minneapolis. “That’s absurd. What I did say, is that when federal law enforcement officers violate the law, that is typically something that federal officials would look into.” Now, in the aftermath of Saturday’s shooting, the city is again reeling amid reports of more violence. “Holy shit, ICE just killed someone else in Minneapolis,” Ken Martin, chair of the Democratic Party and a Minnesota native, wrote on X. “What the actual fuck is going on in this country.” The White House did not immediately respond to a request for comment. Eric Bazail-Eimil contributed to this report.
Cooperation
Security
Immigration
Cars
Law enforcement
Trump administration demands Britain adopt US standards in trade talks
LONDON — U.S. President Donald Trump’s trade negotiators are pushing for the U.K. to adopt American standards in a move that would derail Britain’s post-Brexit relationship with the European Union, two people familiar with the talks have told POLITICO. The U.S. is also pushing hard for the recognition of American accreditation bodies in the U.K., three other people with knowledge of the demands confirmed. The joint moves would have knock-on effects for safety-critical sectors like food, forensics, manufacturing and NHS testing, experts fear. “It’s this invisible infrastructure that no one really knows about but which keeps everyone safe — and that’s now under threat,” a person briefed on the talks told POLITICO. They, like others cited in this piece, were granted anonymity to speak freely. American negotiators have turned up the heat in trade talks with the recent suspension of the Technology Prosperity Deal, amid frustration over the pace of wider negotiations. U.K. negotiating asks on steel and Scotch whisky tariffs have also gone unanswered. Trump threatened a fresh wedge in the relationship over the weekend, vowing to impose tariffs on Britain and other European allies pushing back at his desire for the United States to own Greenland. The standards push comes as the Trump administration hollows out American watchdogs, with sweeping cuts to the Food and Drug Administration and the dismantling of the Consumer Product Safety Commission. While food standards remain a red line for the U.K. government, some figures familiar with the talks fear the U.K. could cave in on other U.S. demands. “My concern is that these red lines that have been red lines from the outset and for years are under increasing threat of being breached,” the person cited above said.   British negotiators have so far refused to back down, but U.S. negotiators “keep circling back” on these issues, another person who was briefed on the talks by both governments said. Peter Holmes, an expert on standards from the UK Trade Policy Observatory at the University of Sussex, warned that accepting U.S. demands could lead to a “race to the bottom” with the U.K. regarded as a “wild west market” internationally. A U.K. government spokesperson said: “Our historic agreement with the U.S. has already delivered for the pharma, aerospace and auto sectors, while our deal with the EU will see the removal of trade barriers including SPS, saving hundreds of millions on U.K. exports.” “We have and always will be clear that we will uphold our high food, animal welfare and environmental standards in trade deals, and negotiations will continue with both the EU and U.S. on strengthening our trading relationship,” the spokesperson added. The U.K. says it will uphold its high food, animal welfare and environmental standards in trade deals. | Geography Photos/Universal Images Group via Getty Images A spokesperson for the United States Trade Representative said the claims came from “anonymous and irrelevant sources” with “no insight into the trade discussions between the U.S. and U.K.”  The spokesperson did not contest any specific aspects of this report. They added that the two nations had successfully implemented “numerous aspects of the U.S.-U.K. EPD,” including “mutually expanding access of U.S. and U.K. beef in each other’s markets.”  “The U.S. and U.K. continue to work together constructively on finalizing remaining aspects of the EPD, including the U.K. commitment to ‘improve market access for agricultural products’ from the United States,” the spokesperson said. IMPACT ON BREXIT RESET TALKS Giving in to the U.S. demands would upset Britain’s ability to trade more closely with the EU as part of ongoing Brexit “reset” negotiations with the bloc that include alignment on food standards and carbon emissions in manufacturing. The U.K. government has “very clear red lines around all of this because they are going to do certain things with the EU,” the second person quoted above explained. “You would have thought these matters had already been well ventilated and resolved,” the person added, explaining that in talks the U.S. side “keep saying ‘why can’t you do more food standards? Why aren’t you coming closer on our side of it? Are you really sure what you’re doing with the EU is the right thing to do?’” Negotiations with the U.S. are “pretty much [in] stasis at the moment,” the same person continued. As London’s Brexit reset talks with the EU progress this year, “the possibility to have the kinds of changes that the U.S. is putting forward become much diminished when those agreements with the EU start to get over the line.” RECOGNITION OF ACCREDITATION BODIES Multiple people briefed on the trade talks claim the U.S. proposals go beyond the terms of the original U.K.-U.S. Economic Prosperity Deal agreed last May between U.S. President Donald Trump and Britain’s Prime Minister Keir Starmer.  In addition to headline commitments to cut tariffs on cars, steel and pharmaceuticals, the wide-ranging deal included a promise to address “non-tariff barriers,” including a pledge to treat conformity assessment bodies — such as testing labs and certification groups from the other nation — in a way that is “no less favorable” than the treatment of its own.  This is an increasingly common commitment in U.K. trade deals and typically means that accreditation bodies would have the power to accredit a whole range of certification and testing providers from the other country. However, U.S. negotiators are now pushing for the recognition of disparate American accreditation bodies, which would give them the authority to approve certification, testing and verification organizations in the U.K., three people briefed on the talks confirmed. Accepting this demand would mean that the U.K.’s national accreditation body, UKAS, would no longer meet the basic requirements of membership in the European Co-operation for Accreditation, under which national accreditation bodies recognize each other’s accreditations.  U.K. Prime Minister Keir Starmer says he wanted the U.K. to seek “even closer alignment” with the EU. | Leon Neal/Getty Images This would put the proposed U.K.-EU agrifood deal and plans to link U.K. and EU Emissions Trading Schemes “at massive risk,” should those deals require the EU to recognize U.K. emissions verification bodies and food control laboratories, the first person cited above explained. An industry figure familiar with the ETS linkage talks said an acceptance of the changes would amount to a “watering down” of the entire carbon pricing system, adding that “every single company falling under UK ETS” would be “absolutely furious.” It could also jeopardize any future alignment with the EU in other areas such as manufactured goods, a second industry figure briefed on the negotiations said.  The U.K. government has indicated a willingness to go even further in its relationship with the EU, with U.K. Prime Minister Keir Starmer saying he wanted the U.K. to seek “even closer alignment” with the single market.  Beyond plans outlined in the Common Understanding last May, “there are other areas where we should consider if it’s in our interests to … align with the single market,” he told the BBC in a recent interview. “Now that needs to be considered on an issue-by-issue, sector-by-sector basis, but we’ve already done it with food and agriculture, and that will be implemented this year.” ‘RACE TO THE BOTTOM’ The U.S. operates a decentralized standards system in which accreditation is carried out by a competitive network of organizations, most of which are commercial. This is in direct contrast to the U.K.’s current model of accreditation, whereby a single, non-profit accreditation body, UKAS, oversees certification and product testing in the public interest. The UK Trade Policy Observatory’s Peter Holmes warned that adopting the U.S. system could lead to a “race to the bottom”, with UKAS pitted against American accreditation bodies. “They might have to cut corners and give up their legally-required public service obligations,” he said.  Accepting U.S. accreditation bodies would make the U.K. a “wild west market where you can’t trust anything that’s on sale in the U.K.,” he added. The U.K. government has repeatedly rejected the possibility of changes to British standards, including the possibility of accepting American chlorine-washed chicken and hormone-treated beef.  “We will not compromise on food standards,” Trade Minister Chris Bryant said in an interview with CNBC this month. “That is the beginning and end of everything I have to say on that subject. Food standards are really important. There is no compromise for us to strike there.”
Agriculture
Negotiations
Rights
Tariffs
Technology
Europe shifted right — it’s time centrists do too, says Manfred Weber
BRUSSELS — The EU’s centrist powers need to move to the right to reflect the new political reality, according to Manfred Weber, the leader of the European People’s Party. The EPP caused uproar in Brussels last year when it voted alongside the far right rather than with its traditional allies, the socialists and liberals. Weber’s remarks are the strongest signal yet that he wants to repair bridges with the other two parties that have ruled the EU for decades. However, he made clear that those same allies must be willing to adapt, in an exclusive interview with POLITICO, reflecting on 2025 and looking forward to 2026. The S&D and Renew were furious at the perceived betrayal, saying the EPP had gone too far by voting with the far right and smashed the firewall meant to keep the far right away from decision-making. But Weber was adamant he had done nothing wrong, saying: “I want to stop populism and anti-Europeans,” and adding that he’s happy to work alongside the centrist parties, but they need to listen to voters. The outcome of the 2024 EU election, which changed Parliament’s arithmetic in favor of right-wing and far-right parties, “has to be reflected” and “translated” into policy to show that Brussels is listening to its citizens, Weber said. There are more challenges to come for the old coalition — a deregulation package targeting environmental rules, a reversal of the ban on combustion engines, and a bill to boost deportations of migrants. “We can solve problems in the center when it is about the questions of migration, the big fear and uncertainty for a lot of people who are afraid to lose jobs … we have to take this seriously.” According to Weber, the way to fight Euroskeptic and populist parties is by tackling the issues they campaign on: “Please also consider … what we have to do to take away the campaign issues from the populists, that is what is at stake,” he added in the interview, which took place in late December. In his logic, if citizens are worried about migration, the EU should deport more people who are in Europe illegally; if people see green policy as hampering economic growth, Brussels should scrap environmental reporting requirements; and if thousands of jobs are being lost in the car sector, Brussels should give industry more leeway in the transition to electric vehicle production.   “My invitation goes really to the socialists and liberals and others: Please come back to this approach.“ MEET ME HALFWAY Weber — who has been an MEP since 2004, leader of the EPP group in the Parliament since 2014 and leader of the Europe-wide EPP since 2022 — said the center-right is “delivering via successes” and that he “will not be stopped by anyone” in implementing the party program. He argued that when the EPP has voted alongside the far right — to dilute an anti-deforestation bill, to pass green reporting requirements for businesses, and to ease rules to deport migrants to third countries — these were not “radical positions” and reflected the views of national governments and the European Commission. The votes are “not a kind of radicalization.” He said half of the liberal Renew Europe group voted in favor of slashing green reporting requirements for businesses and the EPP has voted with the S&D on “more than 85 percent of all votes in the European Parliament,” on issues ranging from housing to climate, including on a 2040 carbon reduction target, which he said should remain in place, even though parts of his group want to scrap it. Manfred Weber has called for the centrists to work with the Brothers of Italy, the party of Italian Prime Minister Giorgia Meloni and a member of the European Conservatives and Reformists group, which is to the right of the EPP. | Ettore Ferrari/EPA “The EPP delivered on this, we are committed to the 2040 targets … It was also not easy in my party, I have to be honest.” MAKING FRIENDS WITH MELONI Since the start of the 2024 EU election campaign, Weber has called for the centrists to work with the Brothers of Italy, the party of Italian Prime Minister Giorgia Meloni and a member of the European Conservatives and Reformists group, which is to the right of the EPP. This has angered Socialists and liberals, who argue that Meloni is a far-right populist who should be excluded from EU decision-making. When Commission President Ursula von der Leyen granted Italy an executive vice-presidency in her second team, Meloni nominated Raffaele Fitto for the role, prompting an unsuccessful bid by Socialists and Liberals to block his appointment. The EPP defended Fitto’s candidacy, citing Meloni’s pragmatism and reliability at the EU level. Fitto is now executive vice-president for cohesion and reforms. Weber said time has proven him right. A year-and-a-half after the election, “I think nobody can really say that Raffaele Fitto is a right extreme populist … he’s a very serious colleague.” He blamed his centrist allies for focusing on rhetoric and “ideological debate” instead of looking at the “reality on the ground” and understanding Europe’s new right-wing political reality. Meloni is “behaving,” Weber said, and “she’s ready to find compromises.”
Politics
Environment
Far right
Cars
Diplomacy