What’s driving the day in Brussels.
By SARAH WHEATON
with ZOYA SHEFTALOVICH
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HOWDY. Sarah Wheaton with you this morning. I’ll be handing the Playbook baton to Eddy Wax to close out the next two days of this holiday week. First up, we’re previewing a story that’s set to grip the Brussels bubble in the coming weeks …
DRIVING THE DAY: EPP(O) NO! 
DEVELOPING — EPP GROUP FACES EPPO PROBE: The EU’s top prosecutors, in cooperation with Belgian authorities, are looking into accusations of the misuse of EU funds by members of the European Parliament’s biggest group, the European People’s Party.
We can’t reveal the full details yet, but here’s an overview of what we’ve gleaned from talking to cops and political staffers and from reviewing police documents …
The investigation is being led by the European Public Prosecutor’s Office (EPPO), two Belgian police officers and a spokesperson from the Belgian prosecutor’s office told us. EPPO is in charge of investigating serious crimes involving the financial interests of the European Union, and liaises with local law enforcement for its probes — in this case, Belgian authorities.
EPPO confirms probe is in progress — but not into whom: “We can only confirm that we have an ongoing investigation into allegations of misuse of EU funds committed in Belgium by members of a political group of the European Parliament,” a spokesperson from EPPO said in a written statement. “However, at this stage, this investigation is merely into facts and there are no suspects. Whenever we can say something about any of our investigations, we will do so proactively.”
Spokesperson for the Belgian prosecutor’s office Eric Van Der Sypt said: “The investigation is being led by the European Public Prosecutor’s Office and therefore I cannot comment on the case.”
To be clear: No one has been formally charged.
EPP official line: Asked to comment, an EPP group spokesperson denied that the prosecutor “has requested any information regarding an inquiry concerning its staff.”
More headaches for Weber: The probe comes as Manfred Weber, both the chair of the EPP group and president of the center-right’s campaign arm, the European People’s Party, faces an unprecedented challenge from Thanasis Bakolas, the party’s secretary-general. Weber’s allies have chalked that incident up to a misunderstanding as he works to overhaul the party.
More to come: Elisa Braun, Eddy Wax, Max Griera and your Playbook author (Sarah Wheaton) are digging into the case. Stay tuned to politico.eu for more on this developing story.
ASSESSING ACCESSION
SERBIA’S MOMENT OF TRUTH: Enlargement Commissioner Olivér Várhelyi and EU foreign policy chief Josep Borrell will present the annual progress report on countries that want to join the EU club today, with the Commission’s advice to the Council on how to proceed. It’s the last time this pair will perform this ritual, and for Várhelyi there’s considerable pressure to show progress on one aspirant in particular: Serbia.
Good luck with that. The accession negotiation process is like a (very wonky) video game, where countries fulfill certain benchmarks to access a new level of play, known as a cluster. The Commission has been advising since last year that Belgrade is ready to start “Cluster 3” — the level devoted to competitiveness and growth — but member countries don’t seem to be on board. Serbia’s still too close to Russia.
“Várhelyi is bending over backward to make it look like progress, for example on alignment with the EU’s foreign policy,” an EU diplomat told my colleague Barbara Moens. “But it’s hard to imagine that [member countries] in the current context will decide to ‘reward’ Serbia for their bad behavior.”
Examples of “bad behavior”: A draft of the report nabbed by Balkan cable news outlet N1 indeed shows no advancement for Serbia and notes that Belgrade’s recent free trade agreement with China “further complicates its alignment with EU policies.”
MONTENEGRO, CLASS OF 2028? Montenegro’s Prime Minister Milojko Spajić told his country’s parliament that he expects the Commission to recommend that the Council draw up an accession treaty. Spajić hopes to beat the 26-level accession video game by 2026, with membership by 2028, Serbia-based magazine NIN reports.
ALBANIA INTEGRATION VISIT GONE ROTTEN: Ethnic Greek MEP Fredi Beleri was pelted with yogurt and eggs by unknown assailants outside Albania’s parliament in Tirana on Tuesday, Nektaria Stamouli writes in to report. Beleri, who is an MEP with Greece’s ruling New Democracy party, was in the Albanian capital as part of a delegation from the European Parliament to assess the country’s accession progress.
Backstory: In September, Beleri was released from a 16-month imprisonment in Albania after being convicted of vote-buying in a municipal election.
MEANWHILE, IN MOLDOVA: Alexandr Stoianoglo, the Russia-friendly challenger to pro-European incumbent Maia Sandu in Moldova’s presidential election, told Reuters in an interview that if he’s elected, he’s prepared to meet with Vladimir Putin.
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WAR UPDATE
RUTTE’S LUNCH AT THE BERLAYMONT: NATO Secretary-General Mark Rutte lunched with European Commission President Ursula von der Leyen at her headquarters on Tuesday, Stuart Lau writes in to report. Both sides hoped to use the catch-up as an opening chapter for closer EU-NATO relations. (The EU viewed Rutte’s predecessor Jens Stoltenberg, from third-country Norway, as less interested in cultivating deep relations.)
New group: After Tuesday’s lunch, Rutte and von der Leyen announced a new high-level task force to strengthen EU-NATO cooperation.
Problems with Pyongyang and beyond: VDL and Rutte talked about the “significant escalation” of North Korean soldiers fighting for Russia, as well as the “growing assertiveness of authoritarian states on the world’s stage.”
Speaking of Putin pals: Hungarian Foreign Minister Péter Szijjártó will speak at the Minsk Conference on Eurasian Security in Belarus this week, joining participants including his Russian counterpart Sergey Lavrov and Syrian Foreign Minister Bassam Sabbagh. Csongor Körömi has more.
More Putin pals: How did the Houthis go from being a localized armed group to a powerful military organization? The Wall Street Journal takes a deep-dive to answer that question, and notes this tidbit you may have missed in the news deluge of the past week: Russia has provided targeting data for the militant group to facilitate its attacks on Western ships in the Red Sea.
ENERGY TALKS: Ukraine and Russia are in preliminary discussions to stop strikes on each other’s energy infrastructure, with Kyiv seeking to resume the Qatar-mediated negotiations, the FT reports this morning.
PRICE OF U.S. SUPPORT: The U.S. wants to charge a premium on its share of a G7-wide €45 billion loan to Ukraine to compensate for the deal’s unique sanctions-related risks, Gregorio Sorgi reports.
NOW READ THIS: Putin’s facing a cash crunch, writes Peter Doran, an adjunct senior fellow at the Foundation for Defense of Democracies.
HOW UKRAINE’S ARMS INDUSTRY IS REPLACING MEN: Unlike men of fighting age, women have the right to leave Ukraine, and millions have already done so. But many others have stayed, some volunteering for the military while others step in to fill gaps in the economy caused by the absence of so many men. Veronika Melkozerova has this dispatch.
HEZBOLLAH NAMES NEW LEADER: It’s Shiite cleric Naim Qassem. CNN has a primer.
LATEST FROM THE US
NOT LONG NOW: There’s less than a week until the Nov. 5 election and the race is effectively a dead heat, with Kamala Harris just 1 percentage point ahead of Donald Trump, per the latest Reuters/Ipsos poll. Both camps are wrestling for momentum, with Democrats hammering the Republican candidate over comments made by a comedian at his weekend rally, who called Puerto Rico an “island of garbage.” Trump distanced himself from the comedian during a roundtable, saying: “I don’t know him, someone put him up there. I don’t know who he is.”
One last gaffe before he go-goes: But an offhand remark by President Joe Biden threatens to undermine the Democrats’ attack lines. In a nod to the comedian’s comment about Puerto Rico, Biden said “the only garbage I see floating out there is his supporters.” Trump’s campaign immediately jumped on the gaffe, comparing it to Hillary Clinton’s notorious quote in 2016 that Trump’s supporters were a “basket of deplorables.” BBC News has the Biden clip and all the reaction.
WHAT THEY DID LAST NIGHT: Harris delivered a speech at the same D.C. spot Trump spoke at before the Jan. 6 Capitol riot, my colleague Emilio Casalicchio reports. “It is time to turn the page on the drama and the conflict, the fear and division,” she told supporters. She attacked Trump over the riots and insisted she had heard voter concerns about the cost of living. But Trump, at his event in Pennsylvania, asked if voters felt better off than they did four years ago.
WHAT THEY’RE DOING TODAY: Trump holds rallies in North Carolina and Wisconsin, while Harris will campaign in North Carolina and Pennsylvania.
YEARNING FOR TRUMP: While European capitals scramble to prepare for a potential Trump 2.0, some officials quietly argue he could be exactly what the EU needs to muscle up on defense and get tough on China.
Make no mistake: There is little fondness in European capitals for the Republican candidate’s approach to politics or his policies, which are expected to be hostile to the EU. But in conversations with my colleagues Barbara Moens, Nick Vinocur, Stuart Lau and Jacopo Barigazzi, several diplomats and officials said Trump returning to the White House could be the sort of shock event that compels a fractured Union to overcome its divisions. Read their full piece here.
Good luck with that. Trump told a campaign rally in Pennsylvania Tuesday that he’ll punish Europe for not buying enough American exports if he returns to the White House. “They don’t take our cars. They don’t take our farm products. They sell millions and millions of cars in the United States,” Trump said, per Reuters. “No, no, no, they are going to have to pay a big price.”
EU HITS CHINA WITH CAR TARIFFS
HIT THE BRAKES: The European Commission slapped long-awaited tariffs of up to 35 percent on Chinese electric cars overnight in the EU’s biggest-ever trade fight with Beijing. More from my colleagues Koen Verhelst and Jordyn Dahl.
Beijing’s response: China’s commerce ministry criticized the decision as protectionist and unfair and said it would not accept the tariffs. In a statement, Beijing pointed out that it has already filed legal action under the World Trade Organization’s dispute settlement mechanism and said “China will continue to take all necessary measures to resolutely safeguard the legitimate rights and interests of Chinese companies.” It said negotiations with the EU would continue.
Meanwhile, in Brussels: Audi will close its Brussels plant on Feb. 28 next year, the company’s management announced Tuesday.
IN OTHER NEWS
CYPRIOT LEADER AT THE WHITE HOUSE: Cypriot President Nikos Christodoulides will meet Joe Biden at the White House today. The last such meeting was nearly three decades ago, when Glafcos Clerides met Bill Clinton in 1996. It comes months after Cyprus and the U.S. signed a defense cooperation agreement and initiated strategic dialogue.
Cyprus in the middle: Facing pressure since the Ukraine war, Nicosia has managed to mitigate Washington’s concerns over its close ties with Russia. Cyprus also has a crucial role in the ongoing crisis in the Middle East because of its proximity to the region.
VOTE FOR ME, BYE! Social Democrats leader Vilija Blinkevičiūtė won Lithuania’s election on Sunday but now suggests she’d rather remain an MEP than become prime minister. She’ll announce her choice this morning. More from Csongor Körömi.
BREXIT MEANS BREXIT: Keir Starmer keeps telling everyone he has “no plans” for a youth mobility scheme with the EU. But here’s more evidence Brussels isn’t going to let the idea go: a leaked codex of EU positions seen by POLITICO describes the idea as “an indispensable element” of negotiations with London and “essential for our future relationship.” Read Jon Stone’s full piece here.
LONG ARM OF KAGAME: EUObserver has a fascinating investigation out this morning, in which Andrew Rettman reports on systematic efforts by Paul Kagame’s Rwandan regime to intimidate and even murder dissidents outside the country. Rettman confirms reports about a poisoned necktie a taxi driver attempted to give Nobel Peace Prize winner Denis Mukwege during his visit to Brussels.
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AGENDA
— Meeting of the College of Commissioners. Agenda.
— European Commission to present report on candidate countries’ accession progress.
— Commission President Ursula von der Leyen receives António Costa, president-elect of the European Council; receives Steffen Kampeter, managing director of the Confederation of German Employers’ Associations.
— Parliament President Roberta Metsola addresses an event organized by the European Parliament Liaison Office in Malta focusing on the first 100 days of the legislature. Metsola will also receive the 2024 Forum Europa Prize by Nueva Economía Forum in Madrid at 7 p.m. Watch. She will meet with Francina Armengol, president of Spain’s Congress of Deputies.
— EU ambassadors meet in Coreper II at 10 a.m.; Enlargement Commissioner Olivér Várhelyi participates. Agenda.
— Innovation Commissioner Iliana Ivanova delivers an opening speech via video message at the ENGAGE.EU annual conference in Vienna.
BRUSSELS CORNER
WEATHER: High of 15C, cloudy.
HIDALGO TO BRUSSELS? Paris Mayor Anne Hidalgo will lead a new environmental foundation in Brussels — coincidentally where her husband Jean-Marc Germain serves as an MEP, according to the French satirical newspaper Le Canard enchaîné. The paper reported that Hidalgo, who is currently serving her second term and ran for French president in 2022, will join Bloomberg Philanthropies in 2026.
But before you get too excited … our Paris Playbook colleagues write this morning that Hidalgo’s people “categorically” denied the report. Paul de Villepin asked Michael Bloomberg himself for confirmation — and received a one-word message in response: “stop.”
DRUG BUST: A court in Brussels sentenced over a hundred people for drug-related offenses in Belgium’s largest-ever criminal case, after law enforcement authorities managed to decrypt messages exchanged among gang members on Sky ECC. Le Soir has more.
FILM FESTIVAL: Pink Screens starts on Thursday, showcasing international works exploring queerness and creativity. This year’s program includes short films, workshops and an exhibition on LGBTQ+ experiences. Program here.
BIRTHDAYS: MEP Gabriella Gerzsenyi; former MEPs Clare Moody and Juozas Olekas; POLITICO’s own Annabelle Dickson; the Times’ Bruno Waterfield; APCO’s Robert Kopitsch; Teilor’s Olivia Drãgușin; Accountancy Europe’s Johan Barros; Jeppe Tranholm-Mikkelsen, former secretary-general of the Council and a POLITICO 28 alum; Global Counsel’s Adam Terry; former U.S. Ambassador to the Netherlands Pete Hoekstra; Ivanka Trump.
THANKS TO: Elisa Braun, Max Griera, Eddy Wax, Stuart Lau, Barbara Moens, Nektaria Stamouli and Khushbu Shah; Playbook editor Alex Spence, Playbook reporter Šejla Ahmatović and producer Catherine Bouris.
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Publish date : 2024-10-30 03:33:00
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