EU set to impose much higher tariffs on Ukrainian imports

The scarcity of German Bunds has ended, according to Tammo Diemer from Germany's finance agency, as increased sales fund a €1tn defence and infrastructure package. This shift follows the European Central Bank's cessation of bond-buying, leading to greater availability of German bonds and heightened interest in AAA-rated euro debt from global investors diversifying away from dollar assets. Need More Context? 🔎

The scarcity of German Bunds is over, according to Tammo Diemer from Germany’s finance agency, as increased sales of benchmark debt follow the end of quantitative easing, aimed at funding a €1 trillion defense and infrastructure package. The shift has led to greater availability of German bonds and rising yields, attracting global investors to euro-denominated debt amid uncertainties surrounding the dollar's stability. Need More Context? 🔎

Brussels is contemplating using funds from an upcoming carbon tax on petrol and home heating to address a €30bn annual budget shortfall, despite strong opposition from member states like France and Poland. The tax, set to begin in 2027, could generate €705bn by 2035, but fears of rising costs may reignite public protests, complicating the EU's financial strategies. Need More Context? 🔎

The EU has decided against holding the EU-China High-Level Economic and Trade Dialogue before the leaders' summit in July, citing unresolved trade disputes, including tariffs and market access issues. This decision highlights ongoing tensions, especially as China faces criticism for its export restrictions and the summit will be attended by Premier Li Qiang instead of President Xi Jinping, seen as a diplomatic snub. Need More Context? 🔎

Austria has suggested that the EU should consider resuming Russian gas imports if a peace deal is reached regarding the Ukraine conflict, marking a notable stance among member states. The European Commission plans to propose a ban on new and existing gas contracts with Russia, emphasizing that returning to Russian gas would financially support the Kremlin and undermine sanctions efforts. Need More Context? 🔎

US President Donald Trump left the G7 summit early, citing Middle Eastern issues, and avoided new sanctions on Russia, while European leaders discussed trade agreements. Former EU Commission President Jean-Claude Juncker defended his freeze on EU enlargement, emphasizing the need for a new approach to candidate countries, amid ongoing tensions regarding Hungary's controversial retail tax. Need More Context? 🔎