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The Russian invasion of Ukraine and its impact on the European Union will monopolize all the debates at the informal summit of heads of state and government of the 27 that begins Thursday in Versailles. European leaders will discuss for the first time the new European fund that French President Emmanuel Macron wants to create in order to increase investment in defense and energy in response to Vladimir Putin’s war. An initiative that has the support of the President of the Government, Pedro Sánchez, but which has been received with skepticism by the other partners and even by the Brussels institutions.
In the Elysee they admit that the discussions are still at a very preliminary stage. “The first thing to do is to document the economic effects on Europe of the war in Ukraine. In a second phase, it would be a matter of examining the instruments at the national and European level with which we must equip ourselves to deal with them,” maintains Emmanuel Macron’s team.
A view shared by a majority of the other European leaders. “The new debt plan is not something for today, because we already have Next Generation, which covers the main needs identified. The recovery plans already include the issue of energy or strategic dependencies. And the money has just started to flow to the Member States. What could be done, for example, is to adapt the recovery plans,” says a senior European official.
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This first major rift between Western allies has been exposed after Joe Biden signed an executive order Tuesday banning the import of oil, liquefied natural gas and coal from Russia into the United States.
“Many of our European allies and partners may not be in a position to join us. The United States produces far more oil locally than all European countries combined. In fact, we are net exporters of energy. So we can take this step, while others cannot,” Biden explained during his press appearance to announce the embargo on Russian crude.
“But we are working closely with Europe to develop a long-term strategy to reduce its dependence on Russian energy as well. Our teams are actively discussing how to make this happen and today we remain united in our goal: to continue to increase the pressure on Putin and his war machine,” emphasized the US president, in an attempt to minimize the rift with Europe.
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