Status threat to ancient monastery
An Egyptian court ruling Wednesday, threatening ownership of the historic Saint Catherine’s Monastery in Sinai, has alarmed Athens, despite previous high-level Egyptian assurances that property disputes were resolved.
https://www.ekathimerini.com/politics/foreign-policy/1271154/status-threat-to-ancient-monastery
Dendias: EU defense should be based on common principles and understanding, otherwise it undermines itself
Europe’s existence is based on common principles and the understanding of threats against the way of life it represents, and on basic principles and values, otherwise it undermines itself, National Defense Minister Nikos Dendias said on Thursday.
Androulakis to gov’t: ‘You are the architects of corruption and lack of meritocracy in the last 6 yrs’
The government of New Democracy (ND) is “absolutely responsible” for the “corruption and lack of meritocracy in the last six years”, said PASOK-Movement for Change (KINAL) leader Nikos Androulakis in Parliament on Thursday. Androulakis said, “No Constitution is at fault either for the corruption, or the lack of meritocracy, or the clientelistic state of New Democracy,” he said. “You are absolutely responsible. You are the architects of corruption and of lack of meritocracy in the last six years.”
Major branch of Vertical Corridor for natural gas is inaugurated in Bulgaria; Papastavrou attends
The construction of a major branch of the Bulgarian network of natural gas distribution in the context of the Vertical Corridor was inaugurated on Thursday by Bulgarian Prime Minister Rosen Zhelyazkov, Greek Environment & Energy Minister Stavros Papastavrou, and Bulgarian Energy Minister Zhecho Stankov in Kresna.
ATHEX: Measured profit-taking on bourse
The bourse in Athens came off the historic highs recorded on previous days on Thursday, with investors showing a clear intention for profit-taking, though this proved targeted and rather moderate on the day. This means that – barring any unforeseeable developments on the global economic scene – the growth momentum is to be maintained and extended over the coming days at least.
https://www.ekathimerini.com/economy/1271169/athex-measured-profit-taking-on-bourse
KATHIMERINI: Thriller regarding Sinai Monastery
TA NEA: Sinai Monastery under siege
EFIMERIDA TON SYNTAKTON: Defense Minister Dendias distances himself from the government: We are not… SAFE
RIZOSPASTIS: Greek F-16s in the Black Sea and a frigate in the Pacific ocean
KONTRA NEWS: Sinai monastery has fallen – The government is incompetent
DIMOKRATIA: The fall of Sinai monastery
NAFTEMPORIKI: Green plan for hydrogen projects worth 4,5 bln
DRIVING THE DAY
LEGAL LIMBO FOR U.S. TARIFFS: As your Playbook author sat in front of her computer editing this item about the courts weighing in on Trump’s sweeping “reciprocal” tariffs, the situation changed multiple times. As it stands, a federal appeals court has temporarily reinstated them as it considers the administration’s request to keep the tariffs in place while litigation over their legality continues. My Stateside colleagues have the latest here.
The bottom line is that the tariffs are clearly in legal jeopardy — before the first ruling was paused, a second American court deemed the tariffs illegal in a separate case.
New leverage for Brussels: The original ruling “gives foreign governments — once compelled to negotiate new terms of the trade agreements the Trump administration broke — significant new leverage in ongoing trade talks,” said trade expert Scott Lincicome of the Cato Institute, a libertarian think tank.
What falls under the original ruling? My Trade colleague Koen Verhelst is here to help us unpack the judgment. The court’s ruling scraps a 10 percent tariff imposed on all U.S. trading partners meant to address trade deficits.
Reciprocal rescinded: The court also struck down the “reciprocal” tariffs of between 20 and 50 percent that Trump planned to slap on 60-odd trading partners. (They’ve been scheduled to go into effect on July 9 if foreign governments can’t reach a deal with the White House before then.)
The 10 percent (or 20 or 50 percent) levy against EU imports also falls under this.
Steel, aluminum, auto tariffs untouched: The tariffs based on Section 232 — the 25 percent levies on steel, aluminum, cars and car parts — are not affected by the judgment. Levies on semiconductors and pharmaceuticals might still be incoming, although 20 Republican lawmakers sent a letter last week urging the Trump administration to focus them as narrowly as possible to avoid price hikes for American patients.
Behold, the uncertainty: Of course, this means there is ever more uncertainty for importers, exporters and governments trying to make sense of the Trumpian policy mess. The White House might well try to start taking other legal avenues to reimpose tariffs, alongside fighting the judgment in court. More analysis for Pro subscribers in Morning Trade.
Red rag to a bull 1: “It’s raining tacos today,” California Governor Gavin Newsom said Thursday, deploying the Trump-despised TACO acronym that Wall Street investors have used to refer to whiplash over the see-sawing import taxes.
Red rag to a bull 2: The German government is planning a 10 percent tax on global tech giants, reports Nette Nöstlinger.
JAUNDICED: European markets were down on Thursday, even before the court paused the tariff reprieve.
POLES TO THE POLLS
POLISH PRESIDENCY DOWN TO THE WIRE: Ahead of Sunday’s election in Poland, the POLITICO Poll of Polls average shows a dead heat, with Warsaw Mayor Rafał Trzaskowski at 47 percent and Karol Nawrocki at 46 percent.
Last chance for PiS: For Trzaskowski, an ally of center-right Prime Minister Donald Tusk, this is a second chance at the presidency after a narrow loss in the 2020 race. Nawrocki, on the other hand, represents something of a last chance: Though he’s a newcomer to electoral politics, the populist and historian is essentially the final hope for the Law and Justice party (PiS) to maintain a foothold in Polish politics — presidential vetoes have been the main thing holding back Tusk’s Brussels-friendly overhaul agenda.
NAWROCKI’S ROCK-SOLID SUPPORT: By the standards of a previous political world, where things like decorum and propriety mattered to voters (especially for posts like head of state), Nawrocki has had a rocky campaign, forced to respond to a kaleidoscope of accusations. A non-exhaustive sampling:
Most damaging — Pimping: Polish online portal Onet published allegations that Nawrocki had secured prostitutes at a luxury hotel on the Baltic Sea, where he was working for security. For a candidate linked to an arch-conservative party, it’s not a good look. Nawrocki emphatically denies the accusations and says he will sue Onet over the report.
Most on-brand — Hooliganism: But Nawrocki has embraced reports he was involved in mass brawls, playing up his pedigree as a boxer (there are “Now Rocky” campaign hoodies) and saying he took part in “sporting, noble fights.”
Most bizarre — Anonymous self-promoter: In March, reports emerged that Nawrocki had appeared on a TV show in disguise, blurred out and using a pseudonym, to promote a book he had written on organized crime and to praise himself.
What they all had in common: The scandals have arguably only helped Nawrocki, hardening support from previously skeptical right-wingers. “Media slander did not destroy President Trump. It will not destroy Karol Nawrocki, either,” his campaign posted on X this week. Wojciech Kość digs into what this dynamic says about Poland’s body politic.
Trumpworld backing: Kristi Noem, Trump’s homeland security chief, traveled to Poland this week to endorse Nawrocki at the Warsaw edition of CPAC. Electing the “right leader,” she said, would guarantee a “U.S. presence here, a military presence, Fort Trump.”
LISTEN UP — RACE FOR THE ALT-RIGHT: Nawrocki would seem the obvious backup choice for supporters of Sławomir Mentzen, the manosphere-friendly candidate from the far-right Confederation alliance. But Trzaskowski has been making a serious play for these potential tie-breakers. POLITICO Defense Editor (and Poland expert) Jan Cienski breaks down why in this week’s episode of the EU Confidential podcast.
Between a smack and a hard place: Nick Vinocur and Clea Caulcutt also join to discuss how Brussels is turning up the pressure on Hungary over Budapest Pride and the EU’s rare public rebuke of Israel’s Gaza offensive — and the state of the Macrons’ union in the wake of their “squabbling.” Listen and subscribe to EU Confidential here.
VDL’S VISION
“PAX EUROPAEA”: Commission President Ursula von der Leyen outlined her vision for a “new form of Pax Europaea for the 21st century” in a speech in Aachen, Germany, on Thursday. “One that is shaped and managed by Europe itself.”
4 pillars: Von der Leyen identified four central tasks to bring about independence, Nette Nöstlinger reports: Securing peace by increasing defense spending; strengthening innovation and competitiveness to stimulate growth; expanding the bloc in what she referred to as “a historic reunification;” and renewing and strengthening democracy to protect member countries from internal and external threats.
TL;DR version, via defense chief: Points to Defense Commissioner Andrius Kubilius (or whoever is posting on his behalf) for summing up von der Leyen’s six-page speech in a blunt post on X:
“What is coming: Europe — up (with defence capabilities); Russia — down (materially and politically); United States — out (preparing for withdrawal); Ukraine — in (preparing for urgent integration with Europe in defence).
Make Europe independent again!”
2 words we didn’t find in VDL’s speech: “Strategic” or “autonomy.”
EU PROBLEM CHILDREN
EU RIGHTS AGENCY CALLS OUT HUNGARY: The EU Agency for Fundamental Rights, essentially the bloc’s in-house consultancy, flagged “deep concern” about the Hungarian government’s move to ban the Budapest Pride celebration. Though it’s ultimately up to the European Commission, “FRA is compelled to highlight that an exceptional situation like the one developing in Hungary … can and should be prevented across the EU,” the agency said in a press release Thursday. The Hungarian government has said the move is necessary to protect children and uphold the sovereign country’s values.
Slippery slope: Efforts to suppress civil society in Hungary “reflect broader trends of democratic backsliding, shrinking civic space and challenges to fundamental rights across the EU,” the statement adds.
FICO HITS BACK AT MERZ: Speaking on the first day of CPAC Budapest, Slovak Prime Minister Robert Fico responded to German Chancellor Friedrich Merz, who earlier this week envisioned using EU budget leverage against Slovakia and Hungary if they keep obstructing EU action on matters like Russia sanctions.
“In short, his message was, ‘If you do not obey, and you continue with your sovereign positions … you will be punished,’” Fico said Thursday. “No one,” he continued, “should have the right to treat other EU member states in this way, regardless of their size and economic strength. The strength of the European Union lies in compromises, mutual respect and the rejection of the dictates of the stronger against the weaker.”
Circling the wagons at CPAC: As Fico noted, he was a rare leftist at the right-wing gathering in Budapest, which continues today. AfD’s Alice Weidel helps kick things off, former U.K. Prime Minister Liz Truss speaks on the theme “Volume Up, Patriots,” and Dutch far-right leader Geert Wilders closes out the day. (While there are a few members of Congress and Trump sent a short video, there isn’t a high-level U.S. presence this year.)
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FRONT LINE REPORTS
ISRAEL-GAZA LATEST: A Hamas official told the BBC the Palestinian armed group will reject the latest U.S. proposal for a new Gaza ceasefire and hostage release deal, after the White House on Thursday said Israel had “signed off” on the plan.
MACRON UPS THE RHETORIC: Emmanuel Macron said the “position” on Israel must “harden” without an improvement in the humanitarian situation in Gaza. Speaking in Singapore, Macron also said the recognition of a Palestinian state is “a moral duty” and “a political requirement.” Le Parisien has the comments.
PUTIN + KIM = BFFS: Russia has shared its air defense system, electronic warfare jamming devices and other military support with North Korea since late last year, per an international monitoring report released by Seoul’s foreign ministry Thursday. If confirmed, it would be a violation of U.N. sanctions. Details here.
BRITS VULNERABLE TO RUSSIAN SABOTAGE: Britain’s undersea infrastructure is highly vulnerable to Russian sabotage, defense and energy experts have warned ahead of the country’s major strategic defense review, expected next week. Charlie Cooper has the details.
IN OTHER NEWS
PORTUGAL GETS A NEW OLD PRIME MINISTER: Portugal’s president named center-right leader Luis Montenegro the prime minister on Thursday and invited him to form his second minority government. The move came after far-right Chega dethroned the Socialists as Portugal’s main opposition force.
FRANCE TO CRACK DOWN ON SMOKING: France’s health minister announced last night that smoking in outdoor public places frequented by children, such as beaches, parks and bus stops, will be banned from July 1. France24 has more on that.
PASSENGER RIGHTS STALL: A bid to restart a long-stalled update of the EU’s scheme to compensate air passengers for delayed or canceled flights is in trouble thanks to blowback from a group of countries led by Germany, Tommaso Lecca reports.
GEORGIA ARRESTS ANOTHER OPPOSITION LEADER: Police have detained another leader of the Coalition for Change, Georgia’s largest opposition group, according to local media. Nika Melia is being held on charges of abusive behavior toward a law enforcement officer. Reuters has the write-up.