Tag - Transport

Greece pushes to recruit tens of thousands more Asian migrant workers
ATHENS — Greece’s parliament is expected to pass double-edged legislation on Wednesday that will help recruit tens of thousands more South Asian workers, while simultaneously penalizing migrants that the government says have entered the country illegally. Greece’s right-wing administration seeks to style itself as tough on migration but needs to pass Wednesday’s bill thanks to a crippling labor shortfall in vital sectors such as tourism, construction and agriculture. The central idea of the new legislation is to simplify bringing in workers through recruitment schemes agreed with countries such as India, Bangladesh and Egypt. There will be a special “fast track” for big public-works projects. The New Democracy government knows, however, that these measures to recruit more foreign workers will play badly with some core supporters. For that reason the bill includes strong measures against immigrants who have already entered Greece illegally, and also pledges to clamp down on the non-government organizations helping migrants. “We need workers, but we are tough on illegal immigration,” Greece’s Migration Minister Thanos Plevris told ERT television. The migration tensions in Greece reflect the extent to which it remains a hot button issue across Europe, even though numbers have dropped significantly since the massive flows of 2015, when the Greek Aegean islands were one of the main points of arrival. More than 80,000 positions for immigrants have been approved by the Greek state annually over the past two years. There are no official figures on labor shortages, but studies from industry associations indicate the country’s needs are more than double the state-approved number of spots, and that only half of those positions are filled. The migration bill is expected to pass because the government holds a majority in parliament. Opposition parties have condemned it, saying it ignores the need to integrate the migrants already in Greece and adopts the rhetoric of the far right. Under the new legislation, migrants who entered the country illegally will have no opportunity to acquire legal status. The bill also abolishes a provision granting residence permits to unaccompanied minors once they turn 18, provided they attend school in Greece. “Whoever is illegal right now will remain illegal, and when they are located they will be arrested, imprisoned for two to five years and repatriated,” Plevris told lawmakers. Human-rights groups also oppose the legislation, which they say criminalizes humanitarian NGOs by explicitly linking their migration-related activities to serious crimes.  The bill envisages severe penalties such as mandatory prison terms of at least 10 years and heavy fines for assisting irregular entry, providing transport for illegal migration, or helping those migrants stay. “Whoever is illegal right now will remain illegal,” Thanos Plevris told lawmakers. | Orestis Panagiotou/EPA Wednesday’s legislation also grants the migration minister broad powers to deregister NGOs based solely on criminal charges against one member, and will allow residence permits to be revoked on the basis of suspicion alone — undermining the presumption of innocence. Greece’s national ombudsman has expressed serious concerns about the bill, arguing that punishing people for entering the country illegally contravenes international conventions on the treatment of refugees. Lefteris Papagiannakis, director of the Greek Council for Refugees, was equally damning. “This binary political approach follows the global hostile and racist policy around migration,” he said.
Agriculture
Politics
Far right
Immigration
Migration
Henrik Hololei: Inside the unlikely firing of a veteran EU powerbroker
BRUSSELS — Senior European Commission officials hardly ever get the sack. On Thursday, one did. That was the twist in a tale that up until that moment had been classically Brussels. The protagonist: A little-known bureaucrat who had spent two decades working in the EU civil service. The allegations: Taking expensive gifts that aroused suspicions over conflicts of interest. “After nearly 22 years at the Commission, I am obviously disappointed,” Henrik Hololei told POLITICO only hours after he was informed of the decision. “But I’m happy that this long process has finally come to a conclusion.” While commissioners, the EU’s 27 political appointees, have been known to fall on their swords, there are few precedents for the dismissal of such a high-ranking civil servant, two senior officials familiar with the inner workings of the Commission said. Neither of the officials, who have several decades of EU experience between them, could remember any previous examples. Like other people interviewed for this article, they were granted anonymity so they could speak freely about Hololei and his downfall. The “long process” Hololei described totaled three years. It was in 2023 that POLITICO first revealed that the Estonian, who was then the EU’s top transport official, had accepted free flights from Qatar at the same time as negotiating a transport deal with the Gulf state that was beneficial to the country’s airline.   It couldn’t have come at a more inauspicious time. The initial reports emerged just a few months after the so-called Qatargate corruption scandal in the European Parliament, named after one of the countries linked to allegedly offering cash and gifts in return for favors. Hololei was not involved in that affair, but it added fuel to the argument from politicians and transparency campaigners that the EU needed to clean up its act. He resigned from his job within a month but didn’t leave the Commission. Soon after, he became special adviser in its international partnership division. The following year, French newspaper Libération reported additional allegations, including that he exchanged confidential details of the Qatar aviation deal in return for gifts for himself and others, including stays in a five-star hotel in Doha. This led to a probe by the EU’s Anti-Fraud Office (OLAF), which in turn led to the Commission’s investigation. On Thursday, the Commission announced that a senior official had breached the EU institution’s rules. These concerned conflicts of interest, gift acceptance and disclosures, according to three officials with knowledge of the investigation. They later confirmed the person in question was Hololei. ‘A LEGEND’ By his own admission, Hololei is a colorful character. Belying the clichéd image of a faceless bureaucrat, he’s known to do business over a drink or two. Michael O’Leary, the outspoken CEO of Irish airline Ryanair, who shared the occasional tipple with him, told POLITICO in 2023 that Hololei was “terrific.” His colleagues are just as glowing. On Thursday, a lower-ranking official who worked with him at the Commission described him as a “legend,” while a former transport lobbyist recalled seeing selfies of him holding up beers with industry representatives. “The feeling is they’re making an example of him,” said a person who works in the aviation field and met him during the course of his work. “He was undoubtedly passionate and determined to make EU transport better. He was a guy who just enjoyed the position he had. He was a people person.” Hololei talks to Czech Transport Minister Martin Kupka at the European Transport Ministerial Meeting in Prague in 2022. Colleagues and industry figures might mourn the departure of a gregarious, engaging figure, | Martin Divisek/EPA What ultimately led to his dismissal was an investigation by IDOC, the Commission’s internal disciplinary body, the result of which is not public.  IDOC’s conclusions were shared with a disciplinary committee made up of staffers who have equal or superior rank to Hololei — a relatively small pool given his seniority. Following a series of interviews with Hololei, the committee sent its recommendation to the College of Commissioners for a final vote. That decision was taken in the past few days.  ‘LONG OVERDUE’ While colleagues and those in the industry might mourn the departure of a gregarious, engaging figure, European propriety campaigners are less sympathetic. “It’s almost three years to the day since revelations of Mr. Hololei’s impropriety broke,” said Shari Hinds, senior policy officer at Transparency International, an accountability-focused NGO. “Though long overdue, it is encouraging that the European Commission finally appears to be dealing out consequences proportionate to the gravity of these ethics violations.” Hololei, 55, who had taken a pay cut when he moved to the role of hors classe adviser from DG MOVE, as the transport department is known, will receive his pension from the Commission when he reaches retirement age. He has three months to lodge a complaint against the decision with the Commission. “Good to see there is an actual reaction,” said Daniel Freund, a Green member of the European Parliament, who campaigns on issues of accountability in the EU institutions. “So far, so good.” ‘MUCH MISSED’ A decade in Estonian politics — where he largely focused on European affairs — preceded his time at the Commission, starting in the cabinet of then-Estonian Commissioner Siim Kallas, the father of current EU foreign policy chief, Kaja Kallas, before moving into transport. It was in that role he became a “very much-loved boss,” according to the person who worked with him. “Even now he is still very much missed in DG MOVE. He was a good person to be around.” In the comments Hololei gave to POLITICO on Thursday afternoon, he was as gracious as so often described by those who know him. But in the end, the personality traits that endeared him to so many he worked with, in the Commission and in industry, weren’t enough to save his job.
Politics
Corruption
Financial crime/fraud
Mobility
Pensions
EU Commission finds senior official Hololei breached its rules
BRUSSELS — One of the European Commission’s senior officials, Henrik Hololei, breached its rules, an internal investigation found, two officials told POLITICO. Hololei, an Estonian, was subject to an investigation over allegedly violating rules on conflicts of interest, transparency, gift acceptance and document disclosure, according to documents seen by POLITICO last year. Hololei was previously a senior EU transport official in the Commission and became Hors Classe Adviser at the Directorate-General for International Partnerships. He was notified on March 21, 2025 that he faced an internal disciplinary procedure by the Commission, according to the documents seen by POLITICO. “The European Commission has concluded a disciplinary procedure with regard to a senior official,” Commission Executive Vice President Henna Virkkunen told reporters on Thursday, without naming the official. Two Commission officials with knowledge of the investigation confirmed to POLITICO that Hololei was the official in question. They were granted anonymity to speak openly about a confidential matter. “This procedure established that the staff member concerned breached the applicable rules,” Virkkunen said. The college of commissioners has “decided on appropriate and commensurate measures to apply to this senior official.” Hololei did not immediately respond to a request for comment. This article will be updated.
Politics
Mobility
Transparency
Transport
Xi Jinping won’t want Keir Starmer to mention these awkward topics
LONDON — U.K. Prime Minister Keir Starmer is braced for a meeting with Chinese leader Xi Jinping — and there’ll be more than a few elephants in the room. Though Britain has improved its relationship with China following the more combative approach of previous Conservative administrations, a litany of concerns over national security and human rights continues to dog Labour’s attempted refresh. Starmer, who will meet the Chinese president in Beijing Thursday morning, told reporters engaging with China means he can discuss “issues where we disagree.”   “You know that in the past, on all the trips I’ve done, I’ve always raised issues that need to be raised,” he said during a huddle with journalists on the British Airways flight to China on Tuesday evening. In a sign of how hard it can be to engage on more tricky subjects, Chinese officials bundled the British press out of the room when Starmer tried to bring up undesirable topics the last time the pair met. From hacking and spying to China’s foreign policy aims, POLITICO has a handy guide to all the ways Starmer could rile up the Chinese president. 1) STATE-SPONSORED HACKING China is one of the biggest offenders in cyberspace and is regarded by the U.K.’s National Cyber Security Centre (NCSC) — part of Britain’s GCHQ intelligence agency — as a “highly sophisticated threat actor.” The Electoral Commission said it has taken three years to recover from a Chinese hack of its systems. The Chinese state, and private companies linked directly or obliquely to its cyber and espionage agencies, have been directly accused by the British government, its intelligence agencies and allies. As recently as last month, the U.K. government sanctioned two Chinese companies — both named by the U.S. as linked to Chinese intelligence — for hacking Britain and its allies. 2) ACTIONS AGAINST BRITISH PARLIAMENTARIANS Politicians in Britain who have spoken out against Chinese human rights abuses and hostile activity have been censured by Beijing in recent years. This includes the sanctioning of 5 British MPs in 2021, including the former security minister Tom Tugendhat, who has been banned from entering the country. Last year, Liberal Democrat MP Wera Hobhouse was refused entry to Hong Kong while attempting to visit her grandson, and was turned back by officials. The government said that the case was raised with Chinese authorities during a visit to China by Douglas Alexander, who was trade minister at the time. 3) JIMMY LAI In 2020, the British-Hong Kong businessman and democracy campaigner Jimmy Lai was arrested under national security laws imposed by Beijing and accused of colluding with a foreign state. Lai — who is in his late 70s — has remained in prison ever since. Last month, a Hong Kong court convicted Lai of three offenses following what his supporters decried as a 156-day show trial. He is currently awaiting the final decisions relating to sentencing — with bodies including the EU parliament warning that a life imprisonment could have severe consequences for Europe’s relationship with China if he is not released. Lai’s son last year called for the U.K. government to make his father’s release a precondition of closer relations with Beijing.  4) REPRESSION OF DISSIDENTS China, like Iran, is involved in the active monitoring and intimidation of those it considers dissidents on foreign soil — known as trans-national repression. China and Hong Kong law enforcement agencies have repeatedly issued arrest warrants for nationals living in Britain and other Western countries.  British police in 2022 were forced to investigate an assault on a protester outside the Chinese consulate in Manchester. The man was beaten by several men after being dragged inside the grounds of the diplomatic building during a demonstration against Xi Jinping. China removed six officials from Britain before they could be questioned. 5) CHINESE SPY SCANDALS Westminster was last year rocked by a major Chinese spying scandal involving two British men accused of monitoring British parliamentarians and passing information back to Beijing. Though the case against the two men collapsed, the MI5 intelligence agency still issued an alert to MPs, peers and their staff, warning Chinese intelligence officers were “attempting to recruit people with access to sensitive information about the British state.” It is not the only China spy allegation to embroil the upper echelons of British society. Yang Tengbo, who in 2024 outed himself as an alleged spy banned from entering the U.K., was a business associate of Andrew Windsor , the` disgraced brother of King Charles. Christine Lee, a lawyer who donated hundreds of thousands of pounds to a Labour MP, was the subject of a security alert from British intelligence. In October, Ken McCallum, the head of MI5, said that his officers had “intervened operationally” against China that month. 6) EMBASSY DING DONG This month — after a protracted political and planning battle — the government approved the construction of a Chinese “super-embassy” in London. This came after a litany of security concerns were raised by MPs and in the media, including the building’s proximity to sensitive cables, which it is alleged could be used to aid Chinese spying. Britain has its own embassy headache in China. Attempts to upgrade the U.K. mission in Beijing were reportedly blocked while China’s own London embassy plan was in limbo. 7) SANCTIONS EVASION China has long been accused of helping facilitate sanctions evasion for countries such as Russia and Iran. Opaque customs and trade arrangements have allegedly allowed prohibited shipments of oil and dual-use technology to flow into countries that are sanctioned by Britain and its allies. Britain has already sanctioned some Chinese companies accused of aiding Russia’s war in Ukraine. China has called for Britain to stop making “groundless accusations” about its involvement in Russia’s war efforts. 8) HUMAN RIGHTS ABUSES AND GREEN ENERGY U.K. ministers are under pressure from MPs and human rights organizations to get tougher on China over reported human rights abuses in the country’s Xinjiang region — where many of the world’s solar components are sourced. In a meeting with China’s Vice Premier Ding Xuexiang last March, Energy Secretary Ed Miliband raised the issue of forced labor in supply chains, according to a government readout of the meeting. But he also stressed the need for deeper collaboration with China as the U.K.’s lofty clean power goal looms. British academic Laura Murphy — who was researching the risk of forced labor in supply chains — had her work halted by Sheffield Hallam University amid claims of pressure from China. “I know that there are other researchers who don’t feel safe speaking out in public, who are experiencing similar things, although often more subtly,” Murphy said last year. 9) THE FUTURE OF TAIWAN China continues to assert that “Taiwan is a province of China” amid reports it is stepping up preparations for military intervention in the region. In October, the Telegraph newspaper published an op-ed from the Chinese ambassador to Britain, which said: “Taiwan has never been a country. There is but one China, and both sides of the Taiwan Strait belong to one and the same China.” In a sign of just how sensitive the matter is, Beijing officials reportedly threatened to cancel high-level trade talks between China and the U.K. after Alexander, then a trade minister, travelled to Taipei last June. 10) CHINA POOTLING AROUND THE ARCTIC Britain is pushing for greater European and NATO involvement in the Arctic amid concern that both China and Russia are becoming more active in the strategically important area. There is even more pressure to act, with U.S. President Donald Trump making clear his Greenland aspirations. In October, a Chinese container ship completed a pioneering journey through the Arctic to a U.K. port — halving the usual time it takes to transport electric cars and solar panels destined for Europe.
Energy
Intelligence
Military
Security
Parliament
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.
Environment
Regulation
Cars
Markets
Mobility
Europe’s AI ambitions require more investment
It seems impossible to have a conversation today without artificial intelligence (AI) playing some role, demonstrating the massive power of the technology. It has the potential to impact every part of business, and European policymakers are on board. In February 2025, Ursula von der Leyen, the European Commission president, said, “We want Europe to be one of the leading AI continents … AI can help us boost our competitiveness, protect our security, shore up public health, and make access to knowledge and information more democratic.” Research from Nokia suggests that businesses share this enthusiasm and ambition: 84 percent of more than 1,000 respondents said AI features in the growth strategy of their organization, while 62 percent are directing at least 20 percent of ICT capex budgets toward the technology. However, the equation is not yet balanced. Three-quarters of survey respondents state that current telecom infrastructure limits the ability to deliver on those ambitions. Meanwhile, 45 percent suggest these limitations would delay, constrain or entirely limit investments. There is clearly a disconnect between the ambition and the ability to deliver. At present, Europe lags the United States and parts of Asia in areas such as network deployment, related investment levels and scale. > If AI does not reach its full potential, EU competitiveness will suffer, > economic growth will have a ceiling, the creation of new jobs will have a > limit and consumers will not see the benefits. What we must remember primarily is that AI does not happen without advanced, trusted and future-proofed networks. Infrastructure is not a ‘nice to have’ it is a fundamental part. Simply put, today’s networks in Europe require more investments to power the AI dream we all have. If AI does not reach its full potential, EU competitiveness will suffer, economic growth will have a ceiling, the creation of new jobs will have a limit and consumers will not see the benefits. When we asked businesses about the challenge of meeting AI demands during our research, the lack of adequate connectivity infrastructure was the fourth common answer out of 15 potential options. Our telecom connectivity regulatory approach must be more closely aligned with the goal of fostering AI. That means progressing toward a genuine telecom single market, adopting a novel approach to competition policy to allow market consolidation to lead to more investments, and ensuring connectivity is always secure and trusted. Supporting more investments in next-generation networks through consolidation AI places heavy demands on networks. It requires low latency, high bandwidth and reliability, and efficient traffic management. To deliver this, Europe needs to accelerate investment in 5G standalone, fiber to enterprises, edge data centers and IP-optical backbone networks optimized for AI. > As industry voices such as Nokia have emphasized, the networks that power AI > must themselves make greater use of automation and AI. Consolidation (i.e. reducing the number of telecom operators within the national telecom markets of EU member states) is part of the solution. Consolidation will allow operators to achieve economies of scale and improve operating efficiency, therefore encouraging investment and catalyzing innovation. As industry voices such as Nokia have emphasized, the networks that power AI must themselves make greater use of automation and AI. Policy support should therefore extend to both network innovation and deployment. Trust: A precondition for AI adoption Intellectual property (IP) theft is a threat to Europe’s industrial future and only trusted technology should be used in core functions, systems and sectors (such as energy, transport and defense). In this context, the underlying connectivity should always be secure and trusted. The 5G Security Toolbox, restricting untrusted technology, should therefore be extended to all telecom technologies (including fiber, optics and IP) and made compulsory in all EU member states. European governments must make protecting their industries and citizens a high priority. Completing the digital single market Although the single market is one of Europe’s defining projects, the reality in telecoms — a key part of the digital single market — is still fragmented. As an example, different spectrum policies create barriers across borders and can limit network roll outs. Levers on top of advanced connectivity To enable the AI ecosystem in Europe, there are several different enabling levers European policymakers should advance on top of fostering advanced and trusted connectivity: * The availability of compute infrastructure. The AI Continent Action Plan, as well as the IPCEI Compute Infrastructure Continuum, and the European High-Performance Computing Joint Undertaking should facilitate building AI data centers in Europe.   * Leadership in edge computing. There should also be clear support for securing Europe’s access to and leadership in edge solutions and building out edge capacity. Edge solutions increase processing speeds and are important for enabling AI adoption, while also creating a catalyst for economic growth. With the right data center capacity and edge compute capabilities available, European businesses can meet the new requirements of AI use cases.  * Harmonization of rules. There are currently implications for AI in several policy areas, including the AI Act, GDPR, Data Act, cybersecurity laws and sector-specific regulations. This creates confusion, whereas AI requires clarity. Simplification and harmonization of these regulations should be pursued.  * AI Act implementation and simplification. There are concerns about the implementation of the AI Act. The standards for high-risk AI may not be available before the obligations of the AI act enter into force, hampering business ambitions due to legal uncertainty. The application date of the AI Act’s provisions on high-risk AI should be postponed by two years to align with the development of standards. There needs to be greater clarity on definitions and simplification measures should be pursued across the entire ecosystem. Policies must be simple enough to follow, otherwise adoption may falter. Policy needs to act as an enabler, not a barrier to innovation.  * Upskilling and new skills. AI will require new skills of employees and users, as well as creating entirely new career paths. Europe needs to prepare for this new world.  If Europe can deliver on these priorities, the benefits will be tangible: improved services, stronger industries, increased competitiveness and higher economic growth. AI will deliver to those who best prepare themselves. We must act now with the urgency and consistency that the moment demands. -------------------------------------------------------------------------------- Author biography: Marc Vancoppenolle is leading the geopolitical and government relations EU and Europe function at Nokia. He and his team are working with institutions and stakeholders in Europe to create a favorable political and regulatory environment fostering broadband investments and cross sectoral digitalization at large. Vancoppenolle has over 30 years of experience in the telecommunication industry. He joined Alcatel in 1991, and then Alcatel-Lucent, where he took various international and worldwide technical, commercial, marketing, communication and government affairs leadership roles. Vancoppenolle is a Belgian and French national. He holds a Master of Science, with a specialization in telecommunication, from the University of Leuven complemented with marketing studies from the University of Antwerp. He is a member of the DIGITALEUROPE Executive Board, Associate to Nokia’s CEO at the ERT (European Round Table for Industry), and advisor to FITCE Belgium (Forum for ICT & Media professionals). He has been vice-chair of the BUSINESSEUROPE Digital Economy Taskforce as well as a member of the board of IICB (Innovation & Incubation Center Brussels).
Data
Energy
Intelligence
Media
Security
French Navy boards suspected Russian shadow fleet tanker
PARIS — The French Navy on Thursday boarded a vessel off the Mediterranean coast it suspects of being part of Russia’s embargo-defying shadow fleet. “The French Navy boarded an oil tanker coming from Russia, subject to international sanctions and suspected of flying a false flag,” President Emmanuel Macron wrote on X. Last October French forces arrested two crew members on a tanker suspected of belonging to the shadow fleet off Europe’s Atlantic coast. Hundreds of Russian ships have been cruising international waters since 2022, in violation of international sanctions, to sell oil to fund the country’s war against Ukraine or to transport military equipment. They have typically flown misleading flags and had their transponders turned off to avoid detection. More than 600 of them are currently under an EU ban. The interdicted vessel, the Grinch, came from the Port of Murmansk, in northwest Russia, local maritime authorities said in a statement. It was boarded in a joint operation with the U.K. near the Strait of Gibraltar in the Western Mediterranean. “The operation was conducted on the high seas in the Mediterranean, with the support of several of our allies. It was carried out in strict compliance with the United Nations Convention on the Law of the Sea,” Macron wrote, adding that a judicial investigation has begun.
Defense
Military
War in Ukraine
Trade
War
China hits back at EU over cyber bill
China’s foreign ministry on Wednesday said a new European Commission proposal to restrict high-risk tech vendors from critical supply chains amounted to “blatant protectionism,” warning European officials that Beijing will take “necessary measures” to protect Chinese firms. Beijing has “serious concerns” over the bill, Chinese foreign ministry spokesperson Guo Jiakun told reporters, according to state news agencies’ reports. “Using non-technical standards to forcibly restrict or even prohibit companies from participating in the market, without any factual evidence, seriously violates market principles and fair competition rules,” Guo said. The European Commission on Tuesday unveiled its proposal to revamp the bloc’s Cybersecurity Act. The bill seeks to crack down on risky technology vendors in critical supply chains ranging across energy, transport, health care and other sectors. Though the legislation itself does not name any specific countries or companies, it is widely seen as being targeted at China. 5G suppliers Huawei and ZTE are in the EU’s immediate crosshairs, while other Chinese vendors are expected to be hit at a later stage. European Commission spokesperson Thomas Regnier responded to the Chinese foreign ministry, saying Europe has allowed high-risk vendors from outside the EU in strategic sectors for “far too long.” “We are indeed radically changing this. Because we cannot be naive anymore,” Regnier said in a statement. The exclusion of high-risk suppliers will always be based on “strong risk assessments” and in coordination with EU member countries, he said. China “urges the EU to avoid going further down the wrong path of protectionism,” the Chinese foreign ministry’s Guo told reporters. He added the EU bill would “not only fail to achieve so-called security but will also incur huge costs,” saying some restrictions on using Huawei had already “caused enormous economic losses” in Europe in past years. European telecom operators warned Tuesday that the law would impose multi-billion euro costs on the industry if restrictions on using Huawei and ZTE were to become mandatory across Europe. A Huawei spokesperson said in a statement that laws to block suppliers based on their country of origin violate the EU’s “basic legal principles of fairness, non-discrimination, and proportionality,” as well as its World Trade Organization obligations. The company “reserve[s] all rights to safeguard our legitimate interests,” the spokesperson said. ZTE did not respond to requests for comment on the EU’s plans.
Energy
Intelligence
Security
Technology
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Trump’s shadow looms over EU aviation emissions plan
BRUSSELS — Donald Trump blew up global efforts to cut emissions from shipping, and now the EU is terrified the U.S. president will do the same to any plans to tax carbon emissions from long-haul flights. The European Commission is studying whether to expand its existing carbon pricing scheme that forces airlines to pay for emissions from short- and medium-haul flights within Europe into a more ambitious effort covering all flights departing the bloc. If that happens, all international airlines flying out of Europe — including U.S. ones — would face higher costs, something that’s likely to stick in the craw of the Trump administration. “God only knows what the Trump administration will do” if Brussels expands its own Emissions Trading System to include transatlantic flights, a senior EU official told POLITICO. A big issue is how to ensure that the new system doesn’t end up charging only European airlines, which often complain about the higher regulatory burden they face compared with their non-EU rivals. The EU official said Commission experts are now “scratching their heads how you can, on the one hand, talk about extending the ETS worldwide … [but] also make sure that you have a bit of a level playing field,” meaning a system that doesn’t only penalize European carriers. Any new costs will hit airlines by 2027, following a Commission assessment that will be completed by July 1. Brussels has reason to be worried.  “Trump has made it very clear that he does not want any policies that harm business … So he does not want any environmental regulation,” said Marina Efthymiou, aviation management professor at Dublin City University. “We do have an administration with a bullying behavior threatening countries and even entities like the European Commission.” The new U.S. National Security Strategy, released last week, closely hews to Trump’s thinking and is scathing on climate efforts. “We reject the disastrous ‘climate change’ and ‘Net Zero’ ideologies that have so greatly harmed Europe, threaten the United States, and subsidize our adversaries,” it says. In October, the U.S. led efforts to prevent the International Maritime Organization from setting up a global tax to encourage commercial fleets to go green. The no-holds-barred push was personally led by Trump and even threatened negotiators with personal consequences if they went along with the measure. In October, the U.S. led efforts to prevent the International Maritime Organization from setting up a global tax aimed at encouraging commercial fleets to go green. | Nicolas Tucat/AFP via Getty Images This “will be a parameter to consider seriously from the European Commission” when it thinks about aviation, Efthymiou said. The airline industry hopes the prospect of a furious Trump will scare off the Commission. “The EU is not going to extend ETS to transatlantic flights because that will lead to a war,” said Willie Walsh, director general of the International Air Transport Association, the global airline lobby, at a November conference in Brussels. “And that is not a war that the EU will win.” EUROPEAN ETS VS. GLOBAL CORSIA In 2012, the EU began taxing aviation emissions through its cap-and-trade ETS, which covers all outgoing flights from the European Economic Area — meaning EU countries plus Iceland, Liechtenstein and Norway. Switzerland and the U.K. later introduced similar schemes. In parallel, the U.N.’s International Civil Aviation Organization was working on its own carbon reduction plan, the Carbon Offsetting and Reduction Scheme for International Aviation. Given that fact, Brussels delayed imposing the ETS on flights to non-European destinations. The EU will now be examining the ICAO’s CORSIA to see if it meets the mark. “CORSIA lets airlines pay pennies for pollution — about €2.50 per passenger on a Paris-New York flight,” said Marte van der Graaf, aviation policy officer at green NGO Transport & Environment. Applying the ETS on the same route would cost “€92.40 per passenger based on 2024 traffic.” There are two reasons for such a big difference: the fourfold higher price for ETS credits compared with CORSIA credits, and the fact that “under CORSIA, airlines don’t pay for total emissions, but only for the increase above a fixed 2019 baseline,” Van der Graaf explained. “Thus, for a Paris-New York flight that emits an average of 131 tons of CO2, only 14 percent of emissions are offset under CORSIA. This means that, instead of covering the full 131 tons, the airline only has to purchase credits for approximately 18 tons.” Efthymiou, the professor, warned the price difference is projected to increase due to the progressive withdrawal of free ETS allowances granted to aviation. The U.N. scheme will become mandatory for all U.N. member countries in 2027 but will not cover domestic flights, including those in large countries such as the U.S., Russia and China. KEY DECISIONS By July 1, the Commission must release a report assessing the geographical coverage and environmental integrity of CORSIA. Based on this evaluation, the EU executive will propose either extending the ETS to all departing flights from the EU starting in 2027 or maintaining it for intra-EU flights only. Opposition to the ETS in the U.S. dates back to the Barack Obama administration. | Pete Souza/White House via Getty Images According to T&E, CORSIA doesn’t meet the EU’s climate goals. “Extending the scope of the EU ETS to all departing flights from 2027 could raise an extra €147 billion by 2040,” said Van der Graaf, noting that this money could support the production of greener aviation fuels to replace fossil kerosene. But according to Efthymiou, the Commission might decide to continue the current exemption “considering the very fragile political environment we currently have with a lunatic being in power,” she said, referring to Trump. “CORSIA has received a lot of criticism for sure … but the importance of CORSIA is that for the first time ever we have an agreement,” she added. “Even though that agreement might not be very ambitious, ICAO is the only entity with power to put an international regulation [into effect].” Regardless of what is decided in Brussels, Washington is prepared to fight. Opposition to the ETS in the U.S. dates back to the Barack Obama administration, when then-Secretary of State Hillary Clinton sent a letter to the Commission opposing its application to American airlines. During the same term, the U.S. passed the EU ETS Prohibition Act, which gives Washington the power to prohibit American carriers from paying for European carbon pricing. John Thune, the Republican politician who proposed the bill, is now the majority leader of the U.S. Senate.
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Zelenskyy appoints ex-Canadian deputy PM as economic adviser
KYIV — Ukrainian President Volodymyr Zelenskyy has appointed Chrystia Freeland, a former deputy prime minister of Canada, as his new adviser on Ukraine’s economic development, according to a presidential decree published Monday. “Chrystia is highly skilled in these matters and has extensive experience in attracting investment and implementing economic transformations,” Zelenskyy said in a post on X. Freeland will be working on a freelance basis. “Right now, Ukraine needs to strengthen its internal resilience — both for the sake of Ukraine’s recovery if diplomacy delivers results as swiftly as possible, and to reinforce our defense if, because of delays by our partners, it takes longer to bring this war to an end,” Zelenskyy added. Freeland, 57, served as deputy PM of Canada under former leader Justin Trudeau. More recently, she resigned from her post as transport and internal trade minister in Prime Minister Mark Carney’s Cabinet in September to become Canada’s special envoy on the reconstruction of Ukraine. Freeland has Ukrainian roots through her mother, Halyna Chomiak, and is a prominent pro-Ukraine advocate. Freeland has not commented publicly on the announcement. When contacted, POLITICO received an out-of-office reply, saying she would be back at work later today. Freeland’s appointment is the latest step in Zelenskyy’s reboot of his office. The president recently appointed former military intelligence chief Kyrylo Budanov as his new chief of staff, and former Ukrainian deputy foreign minister and long-term ambassador to the U.N. Sergiy Kyslytsya has been appointed deputy head of the president’s office. The Ukrainian leader explained the reboot was needed to strengthen the country’s negotiating stance and resilience in the face of what’s coming. “Our country has two paths. The first path is peaceful, diplomatic, and it is a priority for us today. We want to end the war. At some point, if Russia blocks it and the partners do not force Russia to stop the war, there will be another path — to defend ourselves. And at this point, fresh forces will be needed. I will go through a parallel reboot of all structures. Just in case,” Zelenskyy told reporters during a press briefing on Saturday.
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