Probably not since Margaret Thatcher was in office have EU leaders been so outraged with one of their peers as they were last week when Victor Orbán again blocked a critical €90 billion loan to fund Ukraine’s war effort. Admittedly, the language wasn’t quite as colorful as sometimes used about Britain’s Iron Lady. An exasperated Jacques Chirac once was caught on a mic complaining about Thatcher: “What does she want from me, this housewife? My balls on a plate?” Nonetheless, there was no disguising the depth of anger at last week’s European Council meeting, with Orbán the villain of the piece as the Hungarian leader stubbornly declined once again to approve the critical financial lifeline for Ukraine. He’d only do so, he said, when Russian oil flows freely to Hungary through the Druzhba pipeline, damaged in a Russian air attack. Orbán accuses Kyiv of stalling repairs to it; Ukraine’s leader denies this. “I have never heard such hard-hitting criticism at an EU summit of anyone, ever,” Swedish Prime Minister Ulf Kristersson told reporters later. Maddened though they may be with Orbán, some of his most fervent European critics worry that EU leaders fell into a trap he carefully baited and perfectly timed for the final stretch of the closely fought Hungarian parliamentary elections. They worry EU leaders inadvertently boosted his electoral chances by ganging up on him and allowing him to portray himself back at home as the only man capable of protecting Hungarian interests, a favorite trope of his.  “The EU should have waited for the result of the Hungarian election,” French MEP Chloé Ridel told POLITICO. “Orbán is not doing will in the opinion polls. And obviously he’s doing his best to fight until the end, and they should have avoided the confrontation about the Ukrainian loan, delayed the clash and not let him obtain what he clearly wanted,” she added.  As co-chair of the European Parliament’s Intergroup on Anti-Corruption, Ridel has been an impassioned critic of Orbán and she argues that if he does pull off another election win next month, then the EU should withhold all EU funds for Hungary to punish it for democratic backsliding and explore the nuclear option of stripping an Orbán-led Hungary of its EU voting rights.  But best to keep quiet for now with the long-serving Hungarian leader’s political dominance in question for the first time in a decade-and-a-half with his Fidesz party trailing rival Péter Magyar’s Tisza party in the opinion polls, she believes. Why play into Orbán’s election script and give him the opportunity to fire up his electoral base and engineer a rally-around-the-flag and possibly persuade swing voters to cast their ballots for Fidesz? ORBÁN’S ELECTION PLAYBOOK Certainly, as he left Brussels after the summit on Friday morning, Orbán didn’t seem crestfallen or rattled by the drubbing. Tellingly he flashed several smiles as he told reporters that all the EU leaders could do was to “make a few threats and then realize that it would not work.” He added: “There was no argument from them against which we did not have a stronger argument. They did not say nice things, but they could not bring up anything that Hungary could be morally, legally, or politically blamed for.”  All of this is very much out of Orbán’s election playbook, according to Michael Ignatieff, the former Canadian politician. He has observed Hungarian politics up close as professor of history at the Central European University, formerly based in Budapest, until it was forced out by Orbán, and is now headquartered in Vienna. “There’s always a risk you fall into a trap with Orbán. He’s fighting for his political life,” Ignatieff told POLITICO. But he doesn’t fault EU leaders for the stance they took last week. “I’m in no position to second-guess the Commission or the Council or anybody. The point to remember is that Orbán has run against Brussels Monday, Tuesday, Wednesday, Thursday, and Friday for 16 years and cashed the checks on Saturday and Sunday. That’s the play, right? I don’t think there’s anything the EU can do one way or the other here. If it plays soft, he’ll still play hard,” he added. Orbán’s four previous election campaigns were all built around the idea of Hungary facing a dark and dangerous external threat, portraying himself as the man of destiny — the only one able to protect the beleaguered country surrounded by conniving enemies. Those foes have been variously faceless financial masters of the universe, international institutions, transnational left-wing elites and, of course, always the European Union. “We know all too well the nature of the uninvited helping comrades, and we recognize them even when instead of uniforms with epaulettes, they don well-tailored suits,” Orbán said once, when his controversial changes to Hungary’s constitution were challenged by the EU.  While MAGA heavyweights have not been shy in recent weeks to mobilize to shore up their most loyal European ideological ally — this week Reuters reported that U.S. Vice President JD Vance might be dispatched to Budapest in a bid to give Orbán an electoral lift. But EU leaders had until last week been more circumspect and careful to try to stay above the electoral fray to avoid being accused of election meddling. ‘PYRRHIC VICTORY’ While disputing that Orbán in any way lured EU leaders into a trap, Fidesz MEP András László conceded the clash might well help the Hungarian leader secure a fifth straight term as prime minister. “Mr. Orbán actually kept his word. Isn’t that what every citizen wants from politicians?” And with a touch of sophistry, he told POLITICO: “It was not the reaction of EU partners which could help us in this election, it’s the fact that Mr. Orbán actually stood his ground and did not give in to the pressure.” László blames Volodymyr Zelenskyy for the clash, arguing that the Ukrainian president is purposefully not repairing the oil pipeline “for political reasons, to meddle in the elections, create chaos, create fear in the hope that Hungarians will turn against Orbán.” Since the summer, Orbán has gone out his way, of course, to cast Magyar as a puppet of the EU and even a Ukrainian agent of influence who wants to push Hungary into war. The portrayal of Magyar, an MEP, as an instrument of Brussels is false. Tisza MEPs voted in the European Parliament against the €90 billion loan to Ukraine and Magyar is also critical of fast-tracking Kyiv’s application for EU membership. Nevertheless, Orbán persists in his characterization of Magyar as Brussels’ guy. “In line with Brussels and Kyiv, instead of a national government, they [Tisza] want to bring a pro-Ukrainian government to power in Hungary. That is why they are not standing up for the interests of Hungarian people and Hungary,” Orbán argued in a Facebook post last week. And with his domination of Hungary’s traditional media, his bundling together of the EU, Magyar and Ukraine as one collective enemy might well be cutting through — at least in the rural districts Orbán needs to hold if he’s to defy his critics and pull off another victory.  But if he does so off the back of last week’s clash with other EU leaders, it will be a “pyrrhic victory for him,” said Péter Krekó, director of the Political Capital Institute, a Budapest-based think tank and political consultancy. “Orbán can use it in the campaign to demonstrate his fight against Brussels domestically, but if he stays in power the Council will play hardball. It is bad for the EU now, but it will be much worse for Hungary in the middle to long run — if Orbán stays in power,” Krekó told POLITICO.

BRUSSELS ― Two wars on Europe’s doorstep loomed over a 12-hour summit of EU leaders ― and for very different reasons they found themselves paralyzed rather than able to do much about either. Rarely has the bloc’s inability to take a lead on international affairs been so obvious. Between Germany’s Friedrich Merz, France’s Emmanuel Macron and Italy’s Giorgia Meloni ― heads of three of the world’s top 10 economies ― and the other 24 in attendance, they could only look the other way, squabble with each other, or offer little but words as the bombing, missile-firing and killing continued. “In these very troubled moments in which we are living, more than ever it’s decisive to uphold the international rules-based order,” European Council President  António Costa, who chaired the gathering in Brussels, told reporters. “The alternative is chaos. The alternative is the war in Ukraine. The alternative is the war in the Middle East.” And that speech was about as far as it went. As Tehran pounded its neighbors, disrupting Europe’s energy supplies, Kyiv attacked Russian factories repairing military planes, and Donald Trump in Washington joked about the Pearl Harbor attack alongside the Japanese prime minister, European leaders used their talks to tinker with the bloc’s carbon permit scheme, the Emissions Trading System. It’s not a wholly unrelated matter to the global energy shock, but hardly an issue where the continent could demonstrate its geopolitical might. On Iran, leaders found they had little leverage or will to make any significant intervention. On Ukraine, more than four years after Russia’s full-scale invasion ― a conflict where they do have leverage and they do have will ― they were unable to overcome internal divisions to approve sending €90 billion Kyiv’s way. There was “no willingness to get involved across the table” on the Iran conflict, said a senior European government official, granted anonymity like others quoted in this article to discuss the talks behind closed doors. German Chancellor Merz even complained that focusing on Iran risked shifting attention away from measures to boost Europe’s flagging economy — the summit’s original raison d’être before would affairs got in the way — according to three officials. “The world looked very different at Alden Biesen,” an EU official said, referring to last month’s competitiveness-focused meeting in a Belgian castle that was meant to set the stage for this summit. That was before Iran’s war and Ukraine’s funding dilemma, brought about by Hungarian Prime Minister Viktor Orbán going back on his promise to approve the loan, radically reshaped the agenda. NOT OUR WAR That’s not to say Iran was ignored completely. There was some renewed discussion about sending French warships to protect the Strait of Hormuz, the vital oil transit point that Tehran has effectively shut down by threatening to strike ships, potentially with backing from the U.N. Security Council. “We have begun an exploratory process, and we will see in the coming days if it has a chance of succeeding,” Macron said. But the summit’s final statement stopped short of pledging any new mission, referring only to strengthening existing EU naval operations in the region. Italian Prime Minister Giorgia Meloni at a press conference at the end of the European Council summit on March 19, 2026 in Brussels. | Pier Marco Tacca/Getty Images By the end of the talks, the EU’s leaders reached a sobering conclusion: Europe has little power or inclination to shape events. “Middle East impacts us a lot — but are we a player in the game?” an EU official who was party to the leaders’ discussions asked. “They’re trying to find a place in this debate and we have a lot of statements and positions [but] is there a role for Europeans for solving this process?” Evidently not, according to Kaja Kallas, the EU’s foreign policy chief, who warned leaders that “starting war is like a love affair — it’s easy to get in and difficult to get out,” according to two diplomats briefed on her remarks. Translation: This is not Europe’s war — and it’s not going to be. The EU was left with doing “what we always do,” an EU official said, writing “nice statements.” BURNING GAS FIELDS Europe already angered U.S. President Trump earlier this week when its top envoys rejected his call to secure the Strait of Hormuz. The summit’s final conclusions leaned heavily on familiar calls for “de-escalation” and “restraint,” without proposing concrete action, sticking to that earlier position. That’s despite Qatar warning Thursday it would not be able to fulfill its liquefied natural gas contracts with Belgium and Italy after Iran directed its wrath — and its ballistic missiles — over U.S.-Israeli strikes at the Gulf country, knocking out almost a fifth of its LNG export capacity. Yet rather than grapple head-on with the rapidly expanding energy shock, Europe’s leaders spent hours debating the bloc’s climate policy, including its ETS, which a group of countries are eager to reform. “To say ETS is the biggest issue when big gas fields are burning is a bit weird,” an EU official said. European Commission President Ursula von der Leyen said the consequences of the war extended far beyond the Middle East, adding its most “immediate impact” was on energy supply and prices. She announced a slate of emergency measures to lower costs, from lowering taxes to boosting investment in ETS. ‘JUST CRAZY’ If anything, the summit exposed where the wars in Iran and Ukraine overlap. In what could be his final EU gathering after 16 years if he loses next month’s election, Hungary’s Orbán slammed Europe’s approach to the unfolding energy crisis. “The behavior and the strategy that the Europeans have here is just crazy,” he said — adding the EU needed to buy Russian oil to “survive.” Orbán has blocked a €90 billion EU loan to Kyiv because of a dispute about a damaged pipeline carrying Russian oil through Ukraine to Hungary and other central European countries. For that reason, the bloc was similarly unable to offer much more than assurances on the Ukraine war either. Orbán maintained his opposition on Thursday and even won the sympathy of Meloni, who told leaders she understood his position. As frustration inside the room boiled over, many leaders sharply criticized the Hungarian premier, according to Swedish Prime Minister Ulf Kristersson. “I have never heard such hard-hitting criticism of anyone, ever,” he told reporters during a break in the talks. Merz concurred that leaders were “deeply upset” at Orbán. “I am firmly convinced that this will leave a lasting mark,” he said. But the pressure from his peers failed to sway Orbán and questions of the EU loan will roll on to another summit next month ― by which time Hungary could have a new leader, or at least an old one not desperate for votes. On Iran and on Ukraine, the EU didn’t get anywhere. Earlier predictions by diplomats that leaders might continue discussions through the night or even reconvene for a second day as the urgency of a world in turmoil forced them to face up to the challenges before them failed to materialize. Things were done and dusted before midnight. After 12 hours of few decisions, leaders were left with little new to tell people back home. “There are many things worrying about this war” in the Middle East, while Orban’s veto of the loan to Kyiv “is still there and we are extremely unhappy about this, and so of course is Ukraine,” Sweden’s Kristersson told reporters upon leaving the summit. And that was that. Zoya Sheftalovich, Nette Nöstlinger, Nicholas Vinocur, Gerardo Fortuna, Gabriel Gavin, Hans von der Burchard, Sonja Rijnen, Zia Weise, Seb Starcevic, Giorgio Leali, Hanne Cokelaere, Ferdinand Knapp, Milena Wälde, Aude van den Hove, Gregorio Sorgi, Koen Verhelst, Victor Jack, Ben Munster, Jacopo Barigazzi and Bartosz Brzezińksi contributed reporting.

BRUSSELS — EU leaders were supposed to spend Thursday mapping out how to boost Europe’s economy. Instead, they were left scrambling to deal with two wars, a deepening transatlantic rift and a standoff over Ukraine. Twelve hours of talks, a few showdowns and many, many coffees later, here’s POLITICO’s rapid round-up of what we learned at the European Council. 1) Viktor Orbán’s not a man for moving … The most pressing question ahead of this summit was whether Hungary’s prime minister could be convinced to drop his veto to the EU’s €90 billion loan for Ukraine. He wasn’t. The European Commission had attempted to appease Orbán in the days running up to the summit by sending a mission of experts to Ukraine to inspect the damaged Druzhba pipeline, which supplies Russian oil to Hungary and Slovakia. Orbán has argued that Ukraine is deliberately not addressing the issue, and tied that to his blocking of the cash. Asked whether he saw any chance for progress on the loan going into the summit, Orbán’s response was simple: “No.” Twelve hours later, that answer was much the same. 2) … But he does like to stretch his legs. In one of the most striking images to have come out of Thursday’s summit, the Hungarian prime minister stands on the sidelines of the outer circle of the room while the rest of the leaders are in their usual spots listening to a virtual address from Ukrainian leader Volodymyr Zelenskyy. Ukraine’s President Volodymyr Zelenskyy (on screen) speaks to EU leaders via video at the European Council summit in Brussels, March 19, 2026. | Pool photo by Geert Vanden Wijngaert/OL / AFP via Getty Images The relationship between the two has descended into outright acrimony after the Hungarian leader refused to back the EU loan and the Ukrainian leader made veiled threats — which even drew the (rare) rebuke of the Commission. Faced with Zelenskyy’s address, the Hungarian decided to vote with his feet. 3) The new kid on the block is happy to be a part of this European family, dysfunctional as it may be. This was the first leaders’ summit for Rob Jetten, the Netherland’s newly-installed prime minister. Ahead of the meeting, he said he was “very much looking forward to being part of this family.” His verdict after the talks? That leaders differ greatly in their speaking style, with some quite efficient while others take longer to get to the point — but he welcomed the jokes of Belgian’s Bart De Wever, “especially when the meeting has been going on for hours.” 5) Though not everyone was so charitable. Broadly speaking, Orbán digging in his heels did not go down well. Sweden’s prime minister told reporters after the summit that leaders’ criticism of the Hungarian in the room was “very, very harsh,” and like nothing he’d ever heard at an EU summit. Jetten said the vibe in the room with EU leaders was “icy” at points, with “awkward silences.”  6) The EU’s not giving up on the loan. Despite murmurs ahead of the talks of a plan B in the works, multiple EU leaders as well as Costa and Commission chief Ursula von der Leyen were adamant that the loan was the only way to go — and that it will happen, eventually. “We will deliver one way or the other … Today, we have strengthened our resolve,” von der Leyen. Costa added: “Nobody can blackmail the European Council, no one can blackmail the European Union.” Top EU diplomat Kaja Kallas arrives at the European Council summit on March 19, 2026. | Pier Marco Tacca/Getty Images 7) Kaja Kallas wants to avoid a messy entanglement. In her address to the bloc’s leaders, Kallas, the EU’s top diplomat, stressed the importance of not getting caught up in the conflict in the Middle East. “Starting war is like a love affair — it’s easy to get in and difficult to get out,” she said, according to two diplomats briefed by leaders on the closed-door talks. At the same time, Kallas reiterated the importance of the EU’s defending its interests in the region but said there was little appetite for expanding the remit of its Aspides naval mission, currently operating in the Red Sea. 8) But it was all roses with the U.N. U.N. Secretary-General António Guterres joined the Council for lunch, thanking them for their “strong support for multilateralism and international law.” In an an exclusive interview with POLITICO on the sidelines of the summit, Guterres applauded the restraint shown by the Europeans, despite Donald Trump’s anger at their refusal to actively support the war or help reopen the Strait of Hormuz, a critical maritime artery that Iran has largely sealed off, driving up global energy prices. 9) Kinda. One senior EU official told POLITICO that the lunch meeting was “unnecessary.” “With all appreciation for multilateralism and its importance … considering the role the U.N. is not playing in international crises right now, it is unnecessary,” said the official, granted anonymity to speak freely. 10) Celery is a very versatile vegetable. Also on the table while they picked over the future of the multilateral world order was a pâté en croûte with spring vegetables and fillet of veal with celery three ways. Three ways! And for dessert? A mandarin tartlet with cinnamon. 11) Cyprus and Greece want the EU to get serious about mutual defense. Cypriot President Nikos Christodoulides and Greek Prime Minister Kyriakos Mitsotakis asked the EU to think about a roadmap for acting on the bloc’s mutual defense clause, according to two EU diplomats and one senior European government official. The clause, Article 42.7, is the EU’s equivalent of NATO’s Article 5. Its existence and potential use has recently come into focus since British bases in Cyprus were attacked by drones. 12) And the Commission hopes it’s already got serious enough about migration. Von der Leyen said that while the EU has not yet experienced an increase in migrants as a result of the conflict in Iran, the bloc should be prepared. “There is absolutely no appetite … to repeat the situation of 2015 in the event of large migration flows resulting from the conflict in the Middle East,” said one national official. The Commission chief emphasized that the mistakes of the 2015 refugee crisis won’t happen again. 13) Von der Leyen likes to cross her Ts.   Speaking of emphasis — “temporary, tailored and targeted” was how von der Leyen described the EU’s short-term actions to minimize the impact on Europe of the recent energy price spikes after the U.S.-Israeli strikes on Iran. The moves will impact four components that affect energy prices: energy costs, grid charges, taxes and levies and carbon pricing, she said. 14) The ETS is here to stay — with some modifications. While EU leaders agreed to make some adjustments to the Emissions Trading System — the bloc’s carbon market — most forcefully backed the continuation of the system itself. “This ETS is a great success. It has been in place for 20 years and is a market-based and technology-neutral system. So we are not calling the ETS into question,” German Chancellor Friedrich Merz told reporters after the talks had concluded. While the Commission will propose some adjustments to the ETS by July, these are merely adjustments, not fundamental changes, the German leader said. In the run-up to the summit, some EU countries, including Italy, floated the idea of weakening the ETS to help weather soaring energy prices. 15) No matter what, EU leaders want to get home — ASAP. While Costa has so far ensured every European Council under his watch lasts only one day instead of the once-customary two, this time around, that goal was looking optimistic. However, at the end of the day, leaders’ dogged determination to get out of there prevailed (even if that meant kicking a discussion on the long-term budget to April). À bientôt!

BRUSSELS — Viktor Orbán has been attending European summits for 16 years. At what may turn out to be his swan song, he faced EU leaders separating themselves into good cops and bad, hoping to persuade him to approve a €90 billion loan to Ukraine. He saw them all off. But his victory may be short-lived. The bloc’s longest-serving government chief, facing an election in less than a month that he’s forecast to lose, has long been a thorn in the side of Brussels (which also means Paris, Berlin and a score of other capitals). There was no sign at Thursday’s European Council that even if he is preparing to walk off into the sunset he’s any less stubborn — or any more admired. “Nobody can blackmail the European Council, nobody can blackmail the European institutions,” European Council President António Costa, who chaired the meeting, told reporters, in an extraordinary broadside. “It is completely unacceptable what Hungary is doing.” The Hungarian prime minister reneged on a promise he’d made at a summit in December to approve the loan. In doing so, he’s undermining the very fabric of EU decision-making, which relies on governments sticking to iron-clad commitments, leaders said. Orbán “is violating one of the fundamental principles of our cooperation,” German Chancellor Friedrich Merz said shortly after the summit wrapped. His refusal to approve the Ukraine loan after formally giving his consent in December “is a serious breach of the loyalty among member states, undermines the European Union’s ability to act and damages the reputation of the EU as a whole.” With Europe looking impotent as war in the Middle East escalates, leaders hoped they could at least get money flowing to Ukraine to help it fend off Russia — in a conflict where the EU feels it actually has some sway. But the mood was grim. Even Ukrainian President Volodymyr Zelenskyy, who was beamed into the meeting by video link after for so long being a ray of light at EU gatherings, seemed to make things worse rather than better. HARSH CRITICISM EU leaders divided into two groups to convince Orbán to change his mind. Most, including Costa, piled on the pressure. “It was very, very harsh criticism and the feeling was this simply cannot go on like this,” Swedish Prime Minister Ulf Kristersson told reporters. “I have never heard such hard-hitting criticism at an EU summit of anyone, ever.” Costa said no leader has ever violated “this red line before.”  There were some leaders who tried the opposite approach. Italy’s Giorgia Meloni and, though less effusive, Belgium’s Bart De Wever, attempted to appeal to Orbán’s ego, speaking sympathetically about understanding his position, five diplomats and an EU official granted anonymity to speak freely told POLITICO. Ukraine’s President Volodymyr Zelenskyy speaks to EU leaders via video during a rountable of the EU Summit in Brussels on March 19, 2026. | Geert Vanden Wijngaert/Pool/AFP via Getty Images “You have to treat him like a 6-year-old child, you have to humor him,” said one of the diplomats. Ahead of the summit, the EU cooked up a compromise they hoped would let Orbán to save face in his election campaign yet still approve the loan. The EU was prepared to hold back from dispensing the money until oil flowed through the Druzhba pipeline, which brings Russian oil to Hungary and was damaged by a Russian drone in January, according to two EU diplomats and an EU official. In recent weeks, the Hungarian prime minister has linked the pipeline issue to the loan and accused Ukraine of not repairing Druzhba for political reasons — making it an election issue by painting himself as the protector of his country’s interests. Zelenskyy has said he doesn’t want to repair a pipeline that the Russians have repeatedly attacked, which helps fund the Kremlin’s full-scale invasion of his country. Costa said during his press conference that Russia had damaged the pipeline 23 times since launching the full-scale invasion. “What I have done today is to crush the oil blockade, which [was] imposed on us by Zelenskyy,” Orbán said after the summit. “So I defended the interest of the country.” AFTER THE ELECTION Merz was among a group of leaders who hoped the Ukrainian president would use his address to the summit to reduce the temperature and reassure Orbán that he would fix the pipeline. Instead, Zelenskyy went on the offensive. “Zelenskyy played it harder than [our] expectations,” perhaps believing “he can wait it out,” said a government official who was granted anonymity to speak freely about the closed-door talks, like others quoted in the article. If Orbán wins the election next month, “maybe [Zelenskyy’s] calculation is that he will change his tone after.” While Ukraine desperately needs the EU’s €90 billion, Zelenskyy now has more time after the International Monetary Fund approved an $8.1 billion loan late last month. Kyiv should have enough money to stay solvent until early May, POLITICO reported. The antipathy between Orbán and Zelenskyy runs deep, according to a senior EU diplomat, and the ill will was on full display on Thursday. The Hungarian prime minister got up from his seat and stood behind the other leaders, looking on with contempt as Zelenskyy appeared on their screens, according to a diplomat. Ukraine’s President Volodymyr Zelensky (on screen) speaks to EU leaders via video as Hungarian Prime Minister Viktor Orbán watches from the distance (bottom) at the European Council summit in Brussels, March 19, 2026. | Pool photo by Geert Vanden Wijngaert/OL / AFP via Getty Images After 90 minutes, with Zelenskyy digging in and the Hungarian not budging, the leaders decided to shut down the debate, issuing a statement that “the European Council will revert to this issue at its next meeting.” The bet is that one way or another, things will be different after Hungarians go to the polls on April 12. If Orbán loses, then his successor could be motivated to lift Budapest’s obstruction in exchange for the EU releasing cash. “France and Germany were not willing to spend too much time” or “political capital” to persuade Orbán at Thursday’s summit, and had “no willingness … to help his electoral campaign,” the national official said. If Orbán is reelected — which one EU official said many of the leaders in the summit room on Thursday believe is likely — then he may be more willing to approve the loan, once oil flows through the Druzhba pipeline again. But if he doesn’t, several punishments will be on the table at a leaders’ gathering in Cyprus on April 23-24, including freezing more funding, suing Hungary in the EU’s top court, issuing fines, and even the so-called nuclear option, Article 7, which strips countries of their EU voting rights. AWKWARD SILENCES The atmosphere during Thursday’s discussion was “icy” at points, with “awkward silences,” Dutch Prime Minister Rob Jetten said. It means the saga of the EU’s loan to Ukraine, which at one point the bloc was hoping to have resolved as long ago as a summit in October, is delayed for at least another month. A failure of leaders’ powers of persuasion? Not quite, maybe. “There was no way Orbán was going to say yes anyway,” one of the EU diplomats said. Most EU leaders hope it’s his last hurrah. Nette Nöstlinger, Nicholas Vinocur, Gerardo Fortuna, Gabriel Gavin, Hans von der Burchard, Sonja Rijnen, Zia Weise, Seb Starcevic, Giorgio Leali, Hanne Cokelaere, Ferdinand Knapp, Milena Wälde, Aude van den Hove, Gregorio Sorgi, Koen Verhelst, Victor Jack, Ben Munster, Jacopo Barigazzi and Bartosz Brzezińksi contributed reporting.

BRUSSELS — Italian Prime Minister Giorgia Meloni broke ranks with much of the EU by speaking sympathetically about Hungary’s Viktor Orbán over his stance on Ukraine during a private session of Thursday’s European summit. Meloni told her counterparts she understood the reasons the Hungarian leader had angered the bloc by going back on his word and refusing a €90 billion loan to Ukraine after having approved it in December, five diplomats familiar with the confidential discussions — none of whom were from Italy — told POLITICO. Orbán’s about-turn has infuriated his fellow leaders and stunned Ukraine, which is running out of money as its war with Russia drags into its fifth year, and goes against EU convention because of his formal approval just weeks ago. Meloni and Orbán are both rightwingers but the Italian leader has broadly stuck to the mainstream EU line, in which the Hungarian government has been seen as obstructionist. While Meloni emphasized in the meeting that she personally still supported the loan being channeled to Ukraine immediately, she said she understood the position of Orbán, who faces an election next month, according to the five diplomats, representing four different European countries. One of the five diplomats quoted Meloni as saying that Orbán’s stance was “normal” because “things change” and that “if I were in the same situation I would understand it.” The Italian government denied that. “The sentence attributed to the prime minister is totally baseless” an official from Meloni’s office in Rome said. All diplomats quoted in this article were granted anonymity to allow them to speak freely about the discussions, which were not held in public. None of them were in the room because it was almost exclusively only leaders present. Those leaders briefed diplomats. OIL LINK Hungary and Slovakia are blocking the release of the funds, which needs all EU governments to approve. Budapest has linked its consent to demands Ukraine repair the Druzhba pipeline, which brings Russian oil to Hungary and was damaged by a Russian drone in January, weeks after all 27 EU countries backed the loan plan. Orbán has accused Kyiv of deliberately delaying the repairs. The EU has said the issues of the loan and the pipeline are not connected. An announcement on Tuesday that the EU had agreed with the Ukrainian government to fund repairs and send a fact-finding mission to the site was not enough to overcome Orbán’s objections on Thursday. The Hungarian prime minister has previously been constructive and should be expected to drop his veto if the pipeline reopens, Meloni also said, according to the diplomats. Meloni is a strong advocate for Ukraine and also maintains friendly relations with both Orbán and U.S. President Donald Trump, who has at times wavered in his support for Kyiv. She has also publicly backed Orbán in his reelection bid. RED LINES Most other EU leaders reacted with fury on Thursday morning as it became apparent Orbán didn’t intend to budge on the loan.  European Council President António Costa blasted the decision as “unacceptable” and an unprecedented violation of a “red line” in behavior, diplomats told POLITICO. Aside from Hungary and Slovakia, the remaining 25 countries have since issued a joint statement welcoming the decision to loan the €90 billion and calling for “the first disbursement to Ukraine by the beginning of April.” In a video posted following the talks, Orbán said the discussion had been “tough, I was under pressure from all sides … but they tried this in the wrong place and at the wrong time.”

BRUSSELS — EU leaders have failed to convince Hungarian Prime Minister Viktor Orbán to drop his opposition to a €90 billion loan to fund Ukraine’s war effort, according to four diplomats and officials. A 90-minute discussion on the loan failed to produce a clear path to a deal, according to the four diplomats and officials, granted anonymity to speak openly about the closed-door talks at the European Council. The Hungarian leader, supported by Slovakia’s Prime Minister Robert Fico, reneged on an agreement among EU leaders in December to disburse the funds after Russian drones damaged the Druzhba pipeline, which carries Russian crude oil to their countries via Ukraine. The pair accuse Kyiv of slow-walking repairs. According to one of the diplomats, European Council President António Costa blasted Orbán’s behavior as “unacceptable” and a breach of the terms of cooperation that underpin the EU. Costa pointed out that no leader has ever violated “this red line before.” A second diplomat said the level of frustration with Orbán was unprecedented, but— with his Fidesz party trailing in the polls ahead of an April 12 election — few leaders wanted to be dragged into Hungarian domestic politics. Orbán responded to the criticism by insisting that his veto was legal, while Fico insisted his country is paying the price for the loss of discounted Russian fuel. Leaders of the other 25 EU countries have issued a joint statement welcoming the decision to loan the €90 billion and calling for “the first disbursement to Ukraine by the beginning of April.” While they will revisit the question of energy prices later Thursday, diplomats have played down the prospect of a deal being done to overcome the veto. CARROT AND STICK The EU had hoped that Orbán could be persuaded to honor the deal he agreed to at the December summit and lift his veto, according to an EU official and a diplomat. Another part of the plan was to give Orbán something he could claim as a win: the Commission’s mission to inspect the Druzhba pipeline. But the mission to Druzhba was something of a bust, with the team left waiting in Kyiv for permission to visit the site, which was some four hours away. Plus, Hungary and Slovakia objected in a letter, seen by POLITICO, to the fact that no one from their countries was included in the team. And the EU’s hopes that Orbán’s counterparts, particularly German Chancellor Friedrich Merz, would exert enough pressure on the Hungarian to get him to shift his position amounted to nothing. Koen Verhelst contributed to this report.

BRUSSELS ― For much of the past decade, Hungary’s Viktor Orbán has succeeded in bending the EU’s agenda to his will by forcing leaders to overcome his vetoes in one high-level gathering after another. On Thursday he’s ready to do it again — possibly for the last time as he faces a tough battle for reelection against rival Péter Magyar next month. By threatening to block, at a gathering of EU leaders in Brussels, a €90 billion loan for Ukraine that he’d approved in December, Orbán has crossed a red line when it comes to opposing Brussels. In doing so he is setting himself up for a reckoning with the bloc that could come soon after the Hungarian election, five EU diplomats and one national European government cabinet minister said. While the bloc has so far shied away from a major confrontation with Hungary — it hasn’t stripped Budapest’s voting rights, for example — this cautious calculus may well change after the election. At that point, fears of feeding into Orbán’s campaign narrative will be displaced by the need to dissuade other leaders from copying the Hungarian strongman, said the same diplomats and officials, who were granted anonymity to discuss sensitive summit preparations. A reckoning was in the cards regardless of the outcome of Hungary’s April 12 election, the officials said, but would arrive much faster if Orbán is re-elected. He is currently nine percentage points behind Magyar, according to POLITICO’s Poll of Polls. “The behavior from Hungary is a new low,” Sweden’s Europe Minister Jessica Rosencrantz told POLITICO ahead of Thursday’s European Council. Asked if Stockholm would consider using legal tools against Hungary, including deploying Article 7 of the EU’s Treaty to take Budapest’s voting rights away, she said: “Absolutely, we are open.” Swedish EU Affairs Minister Jessica Rosencrantz speaks to the media in the Europa building in Brussels on March 17, 2026. | Thierry Monasse/Getty Images If Orbán is reelected, “there will be a serious conversation among a group of countries about how to handle this going into the future,” one of the diplomats said. That conversation would likely play out differently if Magyar prevails, as he “indicates that he wants to play a more constructive game,” while EU leaders would likely play a “waiting game” to see how the new government behaves. What exactly the EU would do to rein in a reelected Orbán remains an open question. So far it has proven impossible to obtain the backing of 26 out of 27 EU countries for an Article 7 proceeding against Budapest. But other legal options, such as tying EU funds to even more stringent rule-of-law conditions, are already on the table, the diplomats said, as is dragging Orbán to court over his obstruction on the loan. During a closed-door meeting of foreign ministers in Brussels earlier this week, German Foreign Minister Johann Wadephul showed just how little patience the EU still has for Hungary, warning that Budapest’s obstructionism could no longer be tolerated, according to three diplomats who were briefed on Foreign Affairs Council talks. The diplomats disputed an account of the exchange by the Hungarian PM’s political adviser — who wrote in a post on X that Wadephul had threatened Hungarian Foreign Minister Péter Szijjártó with “very serious consequences.” The diplomats described the German minister’s remarks as “very direct,” “very clear” and “leaving no doubt that this can no longer be tolerated.” Other unnamed foreign ministers had been even more direct with Szijjártó, leaving him “taken aback,” according to one of the diplomats. “Prime Minister Orbán should understand that he is all the time testing the limits of what other member states are willing to put up with,” said a second senior EU diplomat from a mid-sized country. “This cannot continue.” A third diplomat said: “This will definitely have consequences after the elections. We are just waiting for that to happen.” Hungarian Foreign Affairs Minister Peter Szijjártó speaks to the media in Brussels on March 16, 2026. | Thierry Monasse/Getty images ROCK AND HARD PLACE What’s especially galling about Orbán’s latest standoff to many of his critics is how well he laid his trap — and how easily EU leaders walked into it. Merely blocking the EU’s 20th Russian sanctions package wasn’t a big enough spectacle for the Hungarian PM. But the Druzhba oil pipeline, which Kyiv said had been damaged in a Russian attack in January, fit the bill perfectly. Orbán seized on the halt in Russian oil deliveries to block the €90 billion loan, reneging on his own word to other EU leaders and devising an ideal Brussels-Budapest-Kyiv standoff for his campaign. And the Hungarian, who is now the longest-serving leader around the EU Council table, made the most of it by detaining an armored convoy carrying Ukrainian gold and officials, and then posting a video of himself alleging that Ukraine had threatened his family. It didn’t help that Ukrainian President Volodymyr Zelenskyy also escalated the situation by refusing to allow EU inspectors to examine the pipeline for weeks and then saying he had no interest in repairing Druzhba. “This was building for weeks, literally. And now here we are [in] the Council, and it’s his [Orbán’s] show again,” the third EU diplomat said. European Council President António Costa, the main EU official in charge of dealing with Orbán ahead of leaders’ summits, hinted at taking a harder stance against the Hungarian prime minister in a letter he sent Orbán on Feb. 23. The letter that warned that by reneging on his support for the loan, Orbán had broken the EU’s principle of sincere cooperation, thereby exposing himself to legal consequences. But Costa didn’t follow up on the threat, with a European Council official telling POLITICO that the idea of suing Budapest over the obstruction had been dropped because the Court of Justice would “take too much time” to act. The EU needs a short-term solution for the Ukraine loan, the official said. European Council President António Costa speaks to the media in the Justus Lipsius building in Brussels on March 18, 2026. | Thierry Monasse/Getty Images “This is hard to understand,” the third diplomat said. “They should have played hardball, at least tried it out, in the meantime put some temporary measures on him. It would have been at least something than this wobbling. But nothing came.” Now leaders face a dilemma as Orbán once again threatens to steal the show at the European Council meeting: Call his bluff by taking the loan off the table, and risk infuriating Zelenskyy, who has been invited to the the meeting — or embrace a confrontation with Orbán that will inevitably seem like the EU is giving in to blackmail. “There is clear reluctance to give Orbán the spotlight,” the same diplomat said. “We won’t give him that space at the EUCO. But if we fail on the loan, Zelenskyy will rightly be furious.” 

BRUSSELS — An EU summit once billed as a chance to boost the bloc’s economy is now a full-blown stress test. Leaders gathering Thursday face a combustible agenda: Ukraine’s financial survival, Middle East escalation, transatlantic tensions, and deep internal rifts over energy and climate policy. Thursday’s meeting has been dramatically reshaped in recent days by the U.S.-Israeli war in Iran and a standoff with Hungary over a €90 billion lifeline for Kyiv — turning what had been meant to be a forward-looking discussion into a scramble to manage multiple crises at once. Leaders will still try to push ahead on plans to strengthen Europe’s competitiveness, from deepening the single market to easing the burden on businesses. But those longer-term ambitions risk being overshadowed by more immediate geopolitical fires, alongside intense discussions on continent’s energy, defense and migration policies, according to a draft version of the post-summit joint statement obtained by POLITICO.   Expect a packed — and likely fractious — day in Brussels. Here’s POLITICO’s cheat sheet of the five biggest clashes to look out for at the European Council. THE €90B QUESTION: HUNGARY VS. EVERYONE  A €90 billion lifeline for Ukraine — which will determine Kyiv’s ability to continue defending itself against Russian aggression — hangs on whether Hungary lifts its veto. EU leaders agreed in December to provide the funding. But Hungarian Prime Minister Viktor Orbán later reneged and blocked the deal over a dispute with Ukraine about a damaged pipeline carrying Russian oil to Central Europe. Budapest has accused Kyiv of trying to engineer an energy crisis in Hungary by cutting off Russian oil supplies and says it won’t approve the cash disbursement until flows resume. The European Commission said Tuesday it had offered to help repair the pipeline and that Ukraine had accepted, raising hopes of a breakthrough. The move could prompt Hungary to lift its veto, one diplomat familiar with Budapest’s thinking said, speaking on condition of anonymity like others in this article to discuss sensitive negotiations. But Orbán struck a defiant tone in a video posted after the Commission’s announcement, saying: “If there is no oil, there is no money.” That leaves him isolated from almost all other leaders, aside from Slovakia’s Robert Fico. “The behavior from Hungary is a new low,” Sweden’s Europe Minister Jessica Rosencrantz told POLITICO ahead of the meeting. Another diplomat said that “if we fail on the loan, [Ukrainian leader Volodymyr] Zelenskyy will rightly be furious.” The latest draft conclusions still point to disbursement by early April — a timeline leaders will be endeavoring to rescue in their negotiations. HORMUZ DILEMMA: IRAN’S THREATS VS. A RELUCTANT EUROPE Tehran’s attacks on ships in the Strait of Hormuz — a vital oil transit point — have jacked up the global price of oil and forced Europe to weigh whether to get involved. One idea was to expand the mandate of the EU’s Middle East naval mission, Aspides, to allow European warships to patrol the waterway. That was quickly ruled out by the bloc’s foreign ministers on Monday. “Nobody wants to go actively in this war,” the EU’s top diplomat, Kaja Kallas, said after the foreign envoys met. Instead, leaders will call for the reinforcement of existing naval missions, Aspides and Atalanta, with “more assets” (read: ships) — while stopping short of extending their reach to Hormuz, according to the draft summit conclusions. The text stresses that operations must remain “in line with their respective mandates.” A diplomat from the Gulf region said they were watching closely but did not expect any major shift from EU leaders, such as expanding the Aspides mandate or launching joint operations with third countries. TRANSATLANTIC TREMORS: TRUMP VS. EUROPEAN CAPITALS  Europe’s refusal to step in around the Strait of Hormuz has angered U.S. President Donald Trump, who said it would be “very bad for the future of NATO” if EU countries failed to act. That frustration is only growing. Republican Senator Lindsey Graham said he had spoken to Trump about Europe’s unwillingness to provide assets to keep the strait open and had “never heard him so angry in my life.” The flare-up comes with EU-U.S. ties already under strain. Spain has openly defied Trump over the Iran conflict, refusing to allow the U.S. to use its bases and drawing threats of trade retaliation from Washington. French President Emmanuel Macron has stepped in to back Madrid and signal European solidarity, while other leaders have taken a more cautious or mixed line on how far to push back. Trump may not be on the formal agenda, but his pressure will loom over the summit — and sharpen already fraught debates over defense, trade and Europe’s reliance on the U.S. ETS BRAWL: ITALY, POLAND AND OTHERS VS. THE COMMISSION  A major brawl is brewing over the EU’s Emissions Trading System between a cadre of member countries and the EU’s executive.  Ten EU member countries sent a letter to the Commission ahead of Thursday’s summit asking to speed up a planned review of the ETS, a cornerstone of the bloc’s climate policy that forces big polluters to cough up.  Poland, Czechia, Slovakia, Romania, Greece, Hungary, Italy, Bulgaria, Austria and Croatia are urging the EU executive to reexamine the scheme by the end of May at the latest, arguing it harms their industries and is contributing to rising energy prices.  But not everyone agrees, with two EU officials from ETS-supporting countries saying the cap-and-trade system must remain in place. The first official argued it is not contributing to the energy crisis and is actually helping Europe’s economy, with its revenues needed for the green transition.   On the topic of energy, the Commission’s proposed gas price cap is also likely to be raised, though not all countries are likely to get on board with that either, according to a senior German government official. According to the draft conclusions, EU leaders will instruct the Commission to “present without delay a toolbox of targeted temporary measures” to bring down energy prices.  COMPETITIVENESS, ANYONE? EU VS. ITSELF Despite the crises crowding the agenda, leaders will still try to push forward plans to revive Europe’s economy, building on talks at a February summit at Alden Biesen in Belgium. Most of the proposals fall under the “One Europe, One Market” push to deepen the single market — easing the movement of goods, services, capital and people across the bloc. The draft conclusions say leaders will back new corporate rules, dubbed “EU Inc.,” to help startups scale across borders, as well as a “simple, unified and voluntary e-declaration system” to make it easier to work across countries. The aim is to move from talk to delivery, with concrete steps and deadlines, another EU diplomat said. But while there is broad agreement on the need for reform, divisions persist over whether EU energy and climate policies — particularly the Emissions Trading System — are holding back growth. That split, with Central, Eastern and Southern European countries pushing for changes and others, including the Nordics, resisting, will likely be the main battleground on competitiveness. Nick Vinocur contributed reporting.

BRUSSELS — Anxiety is growing over Europe’s unusually low gas storage levels as the war in Iran threatens to spark a fight among countries over dwindling global energy supply. The EU requires member countries to maintain gas reserves at 90 percent of capacity by the winter — a measure brought in after Russia’s 2022 invasion of Ukraine. But this year’s colder-than-average winter depleted those reserves to under 30 percent as of March, the lowest since 2022. With gas prices soaring after Iranian attacks effectively closed the Strait of Hormuz — the narrow passage through which 20 percent of the world’s liquefied natural gas passes, of which 6 percent was bound for Europe —  the task of refilling those reserves by the winter carries a greater risk. Behind the scenes, government officials and industry lobbyists warn countries could rush to meet those targets all at once if the rules aren’t loosened, driving up demand and allowing traders to exploit soaring prices. That’s the dynamic that caused traders to bid up gas prices to over €300 per megawatt hour in 2022, with the lofty new storage targets compounding the sharp rise in demand that followed Russia’s supply cuts. Analysts say the difficulty in restocking those reserves will also be made more difficult by stiff competition from Asia, which is more directly exposed than Europe to the gas shipments that once flowed through the Persian Gulf. That could lead to higher mid-year gas prices, undercutting the incentive for traders to sell in the winter and store in the spring and summer. Officials stress it’s still early days. But already, multiple European governments have considered invoking existing carve-outs that allow them to relax storage targets in order to reduce the scope for bulk buying, according to three European energy officials familiar with the matter. Meanwhile, at least three countries believe the EU executive should introduce flexibilities beyond the existing framework, including lowering the target by as much as 30 percent, two of the officials said. The countries also sought a new EU mechanism to coordinate gas purchases, they added. Such policies would allow countries to fill up for the coming winter more comfortably. “With a lower target we would not be driving the demand for very high storage level filling, [and] driving the prices up,” said one of the people. The Commission hasn’t yet ruled on how best to respond, the people said. But it too has explicitly flagged the issue, both at a summit of energy ministers on Monday and previous gatherings of ambassadors and national energy experts over the past week, according to the people cited above and an EU official. A Commission spokesperson didn’t respond to a request for comment. In public, officials remain sanguine. For instance, Germany’s reserves are running at 22 percent capacity after Berlin pushed to lower its storage goals last year, but the country’s economy minister, Katherina Reiche, has downplayed the issue. Others are more nervous. “The status quo is unsustainable — existing mechanisms do not sufficiently ensure the security of gas supply because the incentives to fill gas storage facilities are inadequate,” Sebastian Heinermann, the managing director of German storage association INES, said in a statement Tuesday. Gas industry lobby group Eurogas has also warned that tough EU regulations governing cargoes of liquefied natural gas — which can be shipped to the highest bidder, as opposed to fixed supplies of pipeline gas — makes selling to Europe less appealing to many exporters. That further squeezes the EU’s chances of securing desperately needed fuel on an ever-tightening market.

Listen on * Spotify * Apple Music * Amazon Music Europe is working hard to end the standoff with Hungarian Prime Minister Viktor Orbán over the €90 billion loan promised to Ukraine. Host Zoya Sheftalovich and Ian Wishart, senior EU politics editor, discuss how likely it is for the deadlock to be resolved before tomorrow’s meeting of EU leaders now that Kyiv has agreed to work with the bloc to repair the Druzhba pipeline. Orbán has held off on greenlighting any funding until Ukraine fixes this pipeline that carries Russian oil into Hungary. Also on the pod, Brussels is trying to do something about its startup problem. The European Commission will unveil the so-called “28th regime” which attempts to make it easier to start and scale new companies across borders. We explain why this plan is actually a test of something much bigger — and more political. Finally, a new exhibition in the European Parliament traces the continent’s history through the eyes of a notary … because what’s more “EU” than official documents? Questions? Comments? Send them to our WhatsApp: +32 491 05 06 29.