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PRESENTED BY
GOOD MORNING. I’m Gabriel Gavin, bringing you today’s dose of politics and policy in Brussels. It may be unseasonably sunny, but dark clouds have gathered over the Berlaymont — where the Commission’s work is shrouded at the best of times — after a court ruled Ursula von der Leyen should have disclosed messages to vaccine-maker Pfizer at the peak of the Covid-19 pandemic. Nonetheless, the Commission president is confident she’ll weather this storm. More on that in a moment.
Sarah Wheaton will be with you on Friday.
DRIVING THE DAY: WELCOME TO TRADE SCHOOL 
FIRST BELL: A fleet of shiny black cars is gliding through the trash-strewn streets of the Belgian capital this morning as ministers from across the EU arrive for a progress report on efforts to avert a full-blown trade war with President Donald Trump. Not all of them are going to be leaving happy.
Not top of the class: Today’s trade council — focusing on relations with the U.S. — comes 37 days into the 90-day pause on crippling tariffs announced by the White House last month, at a moment when the U.K. and China are outperforming the EU on doing a deal. “This is a midpoint checkup,” Poland’s economic development minister, Michał Baranowski, told Playbook ahead of chairing the meeting. “We want to hear from the Commission where they are.”
And where are they? Trade chief Maroš Šefčovič has done his homework, drawing up a package worth €50 billion of additional imports to try to appease Washington and have the tariffs permanently dropped. But Baranowski poured doubt on the plan, revealing he “would be positively surprised if our positive list [of things we can buy] was enough to close the deal with the Americans — we are not there yet.” Instead, “a heart-to-heart” will be needed with Trump officials to get a deal over the line.
“A+ for effort,” Baranowski says of the Commission’s work so far — “but on attainment, we’ll have to wait and see.”
Making a list, checking it twice: If the charm offensive fails, the EU is in the process of drawing up which imports it would hit with counter-tariffs. Today, countries will begin lobbying to ensure their industries and vested interests aren’t affected. Don’t bother, is the message from the Polish presidency: “They will do it. But I’m not particularly worried about it … The fact member states have their preferences doesn’t stop us.”
But things may not get that far. In a scoop overnight, POLITICO revealed the U.S. has made its first move in trying to avert a tariff tit-for-tat. A letter from Washington landed in Brussels this week, marking a milestone for positive bilateral engagement, four diplomats told Camille Gijs and me. Read the full story here.
TRUMP’S MISSING MAN: EU officials are still groaning about the lack of American representation in Brussels. Obama ally Mark Gitenstein stepped down as ambassador to the EU days before Trump’s inauguration, with career diplomat Norman Thatcher Scharpf, a decorated naval veteran who speaks multiple languages, becoming chargé d’affaires. Andrew Puzder, a former fast food executive, was named as the new ambassador in January.
But Puzder is still waiting to take up the job. Historic allegations of domestic violence (which he denied and his ex-wife subsequently retracted) have complicated his Senate confirmation, and some are worried the White House is dragging its feet. Brando Benifei, the MEP who chairs the Parliament’s delegation to the U.S., says the delay highlights “the fact that the Trump administration fails to consider the EU as a credible interlocutor.” He warned that Washington might try to bypass Brussels and deal with countries directly, to “fragment our internal unity.”
TRANSPARENCY
A SHOT IN THE ARM: British Prime Minister Boris Johnson was brought down by a birthday cake. Council President António Costa resigned his leadership of Portugal over a mining probe. But Ursula von der Leyen will retain her grip on power despite a stinging ruling by an EU court that she was wrong not to release private texts to the boss of pharma giant Pfizer during the coronavirus pandemic.
Even so … Wednesday’s blockbuster judgment has brought uncomfortable scrutiny for the Commission and its president, who insists she is a champion of transparency. Mainstream political heavyweights, not just the usual critics, have described the ruling as a major embarrassment — although there’s been little sign of uproar in the national capitals that ultimately hold power in the bloc.
Better start explaining: Emily O’Reilly, who served as European Ombudsman until the end of last year, told Playbook’s Sarah Wheaton: “The Commission lawyers who fought the case went into that courtroom with their hands tied behind their backs,” because they were unable to explain their boss’s position. “If the Commission — and specifically President von der Leyen — is as committed to transparency as they assert, the time has now most definitely come for them to give those answers.”
What happens next? My colleague Elisa Braun had this rundown on the decision, including why transparency advocates think it was a legal landmark … how the Commission is likely to respond … and whether we’ll ever actually get to see von der Leyen’s text messages. (Maybe. But don’t hold your breath.)
The end of politics by WhatsApp? You might assume the court’s decision will lead to politicians and officials being more circumspect about conducting important business on messaging apps, but don’t bet on it, writes Mari Eccles. Habits die hard. “How else could it be done?” one EU official told her — by WhatsApp, obviously. “Through secretaries? God, no.”
IN OTHER ACCOUNTABILITY NEWS: Max Griera and Elisa Braun have a story out this morning revealing that the EU’s anti-fraud watchdog, OLAF, is warning that the bloc’s asylum agency is at risk of cronyism and favoritism. Top officials, though, seem to be channeling the Big Lebowski — “that’s just like, your opinion, man.” Read their report here.
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MONEY MATTERS
BUDGET STARTS TO TAKE SHAPE: The first hints of how the EU’s next multi-year financial framework will look have landed, in the form of a note penned by von der Leyen and Budget Commissioner Piotr Serafin. My colleague Gregorio Sorgi got his hands on the document. Here are the juiciest lines:
Aid and development funding will be deployed not just to tackle poverty, but to reap economic benefits. Apparently inspired by Trump’s strategy, taxpayers’ money being sent to regions like Sub-Saharan Africa and the Middle East will “reinforce the link between external action and internal priorities, such as energy security [and] the supply of critical raw materials …”
Big American tech firms could face hefty digital taxes, with companies like Apple and Google tapped to help repay the EU’s €350 billion post-Covid debt. But major exporters like Germany and Italy are likely to fear retribution. (Gregorio has the story on that here.)
Local leaders are in line for a big win if plans for new “national and regional partnership plans” come to fruition, after they complained they’d been sidelined by how Covid recovery funds were allocated.
NOW READ THIS: The EU’s plans to exit Russian fossil fuels won’t cause an energy crisis for the big buyers, Hungary and Slovakia. But they may trigger a budget crisis. More from me here.
GOING FOR GELD: For years, European capitals complained that Germany was tightening fiscal rules to make it harder for them to borrow and spend. Now, with Chancellor Friedrich Merz eyeing a massive defense and infrastructure spending spree, the country’s diplomats are in the awkward position of trying to row back the restrictions they pushed for in the first place to rein in big-borrowing countries like Greece.
Hypocrisy? For weeks, Berlin’s envoys have been teeing up a push against the austere rules. “The question is how to reconcile the very welcome desire of the Germans to spend more with a set of fiscal rules that is supposed to work for everyone,” said Jeromin Zettelmeyer, director of the Bruegel think tank. “In the case of Germany, their debt will remain sustainable even if they breach the fiscal rules. Nonetheless, the rules are there, and it’s not a good outcome if Germany makes rules for others that it then violates itself.”
EUROPEAN COMPETITION
INTERNATIONAL STAGE: As if European capitals needed anything else to divide them, the semi-finals of the Eurovision Song Contest come to a head tonight in Basel, Switzerland, before Saturday’s finals show.
Flag fury: Festivities have been dampened, however, by the fact that the organizing body, the European Broadcasting Union (EBU), has banned performers from waving the EU banner, insisting only national flags can be used in official areas. Glenn Micallef, the EU’s culture commissioner, blasted the decision in comments to Playbook.
“The European flag stands for our values, for our European identity, for inclusion — and for the citizenship of near half a billion people. If national flags belong on stage, the European flag does too,” Micallef said. “Young Europeans should not need permission to wave their flag. If the EBU keeps it off the stage, let them make it the loudest symbol in the crowd!”
Cheesy event: The politics isn’t getting in the way of the parties, however. In one of the first major events ahead of assuming its rotating presidency of the Council in July — and an obvious sign of their priorities — Denmark’s diplomatic mission will co-host a boozy, invitation-only finals watch party with the Swiss. Attendees are promised “traditional Swiss raclette and cold Danish beer.”
Gig economy: Lobbyists are also getting in on the excitement. Uber is putting on a glittery affair for policymakers, journalists and other preferred passengers.
**We are in an unprecedented moment in Canadian politics that will shape Canada and the course of its relationship with the U.S. and power centers across Europe for decades. POLITICO will be your guide to the issues and players driving the agenda with a fresh version of one of our signature newsletters: Canada Playbook. Sign up here to get it straight in your inbox.**
ROMANIAN ELECTION
SIMION IN POLE POSITION: Romanians choose a new president on Sunday and recent polls suggest the contest between the Trump-supporting nationalist George Simion and centrist Bucharest Mayor Nicușor Dan is close.
Tour de force: That hasn’t stopped the AUR’s Simion from taking a tour of Europe in this final week of campaigning. He was in Poland to support fellow right-winger Karol Nawrocki in the Polish presidential contest (the first round of which is also taking place on Sunday) and then in Rome on Wednesday. The diaspora will play a critical role in the vote, and Italy’s Romanians could decide things.
Simion will today be in Brussels, attending a meeting of the right-wing International Democracy Union and meeting officials. Simion may be trying to neutralize concerns that he will strain Romania’s ties to the EU and NATO if he wins, our own Tim Ross writes in from Bucharest. He has been critical of aid to Ukraine but has recently taken trouble to emphasize a more internationalist outlook — including the value of being in the EU single market.
BEHIND THE SPIN: Simion might be trying to play down his maverick credentials and compare himself to mainstream right-wingers like Italy’s Giorgia Meloni, but he would be far more disruptive at the leaders’ table, write Max Griera, Nicholas Vinocur and Csongor Körömi in this definitive profile.
JOBS BOARD
ADIOS, AMIGO: In interestingly-timed news, officials confirmed on Wednesday afternoon that the Commission’s top lawyer, Daniel Calleja Crespo, who has held European legal roles since 1986, was being transferred “in the interests of the service” to head up the EU’s representative office in Madrid. Coming the same day as von der Leyen’s big court defeat, the move immediately raised eyebrows.
Pension plan: But Brussels officials insisted there was nothing more to the move than Calleja Crespo getting a plum assignment before retiring. “Daniel Calleja y Crespo is highly appreciated for his service in Brussels and in the Commission,” Paula Pinho, the Commission’s top spokesperson, told Playbook. “It’s a fitting tribute for him to end his career as ambassador to his home country.” All eyes are on who takes over the influential role.
WELLE, WELLE, WELLE, LOOK WHO’S BACK: Former European Parliament General Secretary Klaus Welle, a renowned backroom operator, will make a return to Brussels as special adviser to Defense Commissioner Andrius Kubilius.
HAHNDOVER: Austria’s former Commissioner Johannes Hahn has been appointed as von der Leyen’s special envoy on the reunification of Cyprus. Nektaria Stamouli has more.
IN OTHER NEWS
POST-BREXIT “RESET” DISRUPTED: With only five days until the EU-U.K. summit in London, preparations were thrown into “turmoil” after member countries demanded fresh concessions over long term access to British waters for European fishermen and for students to pay the same tuition fees as their British counterparts when studying in U.K. universities, the FT reports. Things are so tense that a draft EU communiqué setting out the terms of improved relations won’t be finalized until the eve of the summit.
PUTIN AND TRUMP SNUB PEACE TALKS: Vladimir Putin had set the stage for direct talks with Volodymyr Zelenskyy in Istanbul today — but the Kremlin is instead sending technocrats to attend the negotiations with the Ukrainian delegation. U.S. President Donald Trump, who’d previously said he would attend if Putin did, will also skip the meeting, Reuters reported. The U.S. will be represented by Secretary of State Marco Rubio, who is in Turkey for an informal meeting of NATO foreign ministers.
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AGENDA
— EU High Representative Kaja Kallas receives Greenland’s Foreign Minister Vivian Motzfeldt; attends the Western Balkan summit.
— European Council President António Costa meets in Skopje with North Macedonia Prime Minister Hristijan Mickoski and President Gordana Siljanovska Davkova; meets in Tirana with Albanian President Bajram Begaj and Prime Minister Edi Rama; visits the College of Europe; dinner with Western Balkans leaders.
— Commission President Ursula von der Leyen is also in Tirana and will attend the dinner with Western Balkans leaders.
— Commission Executive Vice President Henna Virkkunen meets with Mark Zuckerberg, CEO of Meta; and with Dario Amodei, CEO of Anthropic.
— Commission Executive Vice President Teresa Ribera receives students from the European Leadership Academy; receives Heimo Scheuch, president of Cerame-Unie; receives a delegation of European mayors.
— Trade Commissioner Maroš Šefčovič receives Mario Lubetkin, the foreign affairs minister of Uruguay.
— Defense Commissioner Andrius Kubilius meets with Guido Crosetto, Italy’s defense minister; attends the EU Chiefs of Defence meeting.
— Commission Executive Vice President Raffaele Fitto receives Lubetkin, foreign minister of Uruguay; meets with Gergely Karácsony, mayor of Budapest; meets with Milan Majerský, president of the Prešov Self-Governing Region in Slovakia and representatives from Lubelskie Region and Podkarpackie Region in Poland.
— European Parliament President Roberta Metsola receives representatives of the Down Syndrome Association of Malta at 12.30 p.m.
— Energy Commissioner Dan Jørgensen receives Motzfeldt, Greenland’s foreign minister; receives Bergur Løkke Rasmussen, director of CCS Europe; receives Luc van den Bulcke, CEO of DEME.
— Environment Commissioner Jessika Roswall gives a keynote address at the Raw Materials Summit.
— Fisheries Commissioner Costa Kadis delivers an opening speech at the Blue Limassol Forum.
BRUSSELS CORNER
WEATHER: High of 19C, cloudy.
BORSCH IN THE BUBBLE: The Lithuanian Embassy last night began what this humble reporter hopes becomes a regular tradition — holding an astonishingly well-catered “Thanksgiving” for Brussels journalists, complete with pink beetroot soup, home-smoked salmon and Baltic booze.
DIVORCE BRINGS PEOPLE TOGETHER: The Brussels establishment squeezed into a room at the European Policy Centre Wednesday for a presentation of former EU top diplomat João Vale de Almeida’s book “The Divorce of Nations.” Among them: ex-French and British diplomats, Pierre Vimont and Ivan Rogers; former top Parliament official Klaus Welle; Luxembourg’s Ambassador to the EU Nicolas Mackel; the Commission’s Hugo Sobral; and Karel Lanoo from the Centre for European Policy Studies.
LINE OF DUTY: Brussels cop Jorge Carreira Monteiro started a 328-kilometer walk from Arlon to Ostend on Monday to raise awareness of Belgian officers injured or killed on duty. His colleagues took over after he fell ill and will complete the trek on the coastline today.
BONNE NUITS: The 32nd edition of music festival Les Nuits kicks off today until May 25 at the Botanique cultural center in Saint-Josse-ten-Noode, featuring an array of Belgian and international musicians.
BIRTHDAYS: Former European Trade Commissioner Cecilia Malmström; Danish Foreign Minister Lars Løkke Rasmussen; former MEPs Alessandro Panza and Markus Pieper; MEPs Martin Sonneborn and Nacho Sánchez Amor; POLITICO Europe’s former CEO Claire Boussagol; European Commission’s Maya Angelova; European Climate Foundation’s Claire Muurmans; European Chief Prosecutor Laura Codruța Kövesi, a POLITICO 28 alum; ZDF’s Anne Gellinek; BBC’s Sophie Raworth.
THANKS TO: Sarah Wheaton, Camille Gijs, Koen Verhelst, Max Griera, Francesca Micheletti; Playbook editor Alex Spence, reporter Seb Starcevic and producer Catherine Bouris.
This newsletter has been updated to correct a calendar entry for Commission President Ursula von der Leyen.
CLARIFICATION: This newsletter has been updated to clarify that Puzder’s wife retracted allegations of domestic violence.
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