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The US president's erratic trade policy is unnerving investors in the US, while at the same time opening up opportunities for European businesses to capture their attention. Will they seize the moment?

Time is running out for American and European trade negotiatorsworking to cut a tariffdeal before a July 9 deadline set by US PresidentDonald Trump.

So far, it remains unclear whether or not Trump'sthreat of imposing a 50% levyon nearly allEuropean Unionimports will materialize — a move that couldescalate the dispute into a full-blown transatlantic trade war.

Given Trump's erratic trade policy, global investors have grown increasingly wary of theUS economy— and at the same time, are beginning to turn their attention toward Europe, especiallyGermany, the continent's largest economy.

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While the American S&P 500 stock market index has seen big ups and downs since Trump became US president in January, Germany's blue-chipDAXindex has risen steadily, and is up more than 15% now.

In addition, the US dollar has lost 10% of its value against theeuro, with the British pound and the Swiss franc also rising against the US currency.

Joachim Nagel, the president of Germany's central bank,the Bundesbank,cautioned about fresh turbulence in global financial markets if the trade conflict with the US isn't resolved.

Speaking at a May 14 event in Madrid, Nagel said that "disruptive" was the word that jumped to his mind as he listened to  Trump's April 2 announcement of sweeping "reciprocal tariffs" on many countries, adding the move caused a global-stock slump and a weakening dollar that brought financial markets "close to a meltdown."

TheInternational Monetary Fund (IMF)already sees "signs of strain" in the US economy amid Trump's policies, warning in itsApril 2025 Fiscal Monitorthat US debt could spiral out of control.

In an interview in May, IMF's First Deputy Managing Director Gita Gopinath told theFinancial Timesthat the US's budget deficits were "too large" and that Washington needed to address its "ever-increasing" debt burden.

According to the US Treasury Department, America is now saddled with over $36 trillion (€31.6 trillion) in debt — more than 120% of its GDP as of last year and nearly twice Germany's debt-to-GDP ratio. In 2025, the US's budget deficit is expected to exceed 6.5%, adding to the debt burden.

German economist Hans-Werner Sinn sees little room left for the US to continue on its current fiscal path.

"The Americans need to tighten their belts. This lifestyle, this world of endless malls and few factories, can't be sustained indefinitely," the former president of the ifo Institute in Munich told DW.

Ralph Ossa, chief economist at theWorld Trade Organization (WTO), shares the view that Washington needs to reduce its trade deficit with the EU and the rest of the world. But like most economists, he sees tariffs as a misguided tool to achieve that.

"From an economic standpoint, there's a broad consensus that tariffs are not the right instrument to address trade deficits," he told DW.

Ossa likens the US strategy to a person who spends more than they earn and accumulates debt. "If I, Ralph, have a debt problem — because I buy too many cars, for example — then one way to tackle it is to tax the cars so I buy fewer. But that's obviously not the most direct way to address the issue."

Stefan Wintels, CEO of Germany's state-owned development bank, KfW, believes Donald Trump's aggressive trade and tariff policies have spooked investors and driven them toreassess Europe.

"During my roadshows in New York, London, and Zurich, I see rising interest from international investors in Germany as a location. Many institutional investors are overexposed in the US and want to invest more in Europe, especially in Germany," Wintels said in a recent interview with German business dailyHandelsblatt.

In just a few months, sentiment toward Europe and Germany among global investors has "completely shifted," he said, adding: "In over 30 years in this business, I've never seen such a rapid change in investor mood. We must do everything we can to harness this momentum for Germany and Europe."

Even global financial heavyweights like US investment firm Blackstone are being drawn to Europe. The company's CEO, Steve Schwarzman, has announced plans to invest up to $500 billion in the continent over the next decade.

In an era of geopolitical volatility, Europe is becoming increasingly attractive to investors — thanks in part to Germany'smulti-billion-dollar infrastructure and defense investment packagesthat were adopted by parliament in March.

"We see a major opportunity here," Schwarzman told Bloomberg TV in early June. "They're changing their approach, which we believe will lead to higher growth rates."

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TheEuropean Commissionhas also acknowledged the need to strengthen the EU's single market of nearly 450 million consumers.

In response to global trade tensions, the EU Commission is preparing to tackle what it calls the "ten biggest obstacles" to internal EU trade.

According to aleaked strategy paperobtained by German media platform Table Briefings, "all it takes to make up for a 20% fall in the goods exports to the US, is a 2.4% increase in intra-EU goods trade."

One key plank in the strategy is cutting the EU's massive bureaucracy to the benefit of particularly small and medium-sized enterprises, making it easier for them to operate across borders within the EU.

There's also growing consensus in Brussels that the pace of free trade agreements with countries like India and Indonesia needs to accelerate. Negotiating over decades — as happened with theMercosurtrade deal with Latin America— is no longer viable.

But already Europe, in particular Germany, is reaping the benefits of investors' heightened awareness.

The so-called SuperReturn International conference held annually in Berlin drew thousands of top investors this year, including from pension funds, insurers, and sovereign wealth funds managing around €46 trillion ($53.2 trillion) in assets.

Touted as the world's largest private equity and venture capital conference, the event attracted representatives from firms like BC Partners, Permira, and Brookfield Asset Management, who all showed an interest in Europe as an investment destination.

New York-based Apollo Global Management — already managing about $100 billion of its $800 billion portfolio in Europe — said it intends to focus even more heavily on Germany over the next decade.

"We see in this country [Germany] alone the opportunity to put $100 billion in the ground in the next decade," Apollo President Jim Zelter told theFinancial Times, adding that this is "a number that would be hard to match around the globe."

This article was originally written in German.

Most NATO allies promised to ramp up defense spending and reaffirmed their "ironclad" commitment to mutual defense. But there are lingering concerns over the scale and scope of US engagement.

From the perspective of European NATO allies, it all went to plan: A short, one-page and five-point declaration, a nice group photo and even dinner with the Dutch king and queen. Atthe NATO summit at The Hague, US President Donald Trump was also in good spirits.

When he addressed the press, Trump claimed credit for ending the war in Iran and for getting NATO alliesto increase their defense spending to 5%of their national GDPs by 2035.

He praised European members of the alliance for "the love and passion they showed for their countries," but also said they needed the US. He hailed the new pledge as a "big win for Europe and for western civilization."

The declaration says the allies will spend 5% on defense, split into two parts.

At least 3.5% of GDP will be spent on hard defense – that includes purchase of weapons – and up to 1.5% will go towards other defense-related investments that enhance military mobility and protect against cyber attacks. The trajectory and balance of spending will be reviewed in the next four years.

Yet not all NATO members are fully on board. President Trump called out Spain for refusing to increase spending and warned he would make the country pay more through trade.

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Spain is the lowest NATO spender at less than 1.3% and has only recently agreed to meet the 2% target that was made a decade ago.

Observers saidthat political turmoil at homemade it nearly impossible for Prime Minister Pedro Sanchez to agree to the 5% goal. Tens of thousands protested in Madrid last week after a senior leader of Sanchez' socialist party was accused of corruption and the opposition called for the prime minister to resign.

Sanchez asked NATO for an exemption and said Spain would achieve the military capabilities that NATO had asked for but that 2% of GDP would be enough for that.

Poland, which is leading in defense spending and already this year announced plans to increase it to 4.7% of its GDP, was not happy.

"We believe that any deviation from this principle by any member country is a bad example," Polish Defense Minister Władysław Kosiniak-Kamysz said.

He may have had a point. Slovakia soon piggybacked on Spain and also refused to meet the target.

"The Slovak Republic has other priorities in the coming years than armament," Prime Minister Robert Fico posted on X. "The Slovak Republic must, similarly to Spain, reserve the sovereign right to decide at what pace and in what structure it is prepared to increase the budget."

Belgian Foreign Minister Maxime Prevot told the local press his country "may not have done so by making a noisy statement like Spain, but I can assure you that for weeks our diplomats have been working hard to obtain the flexibility mechanisms that could help to lighten the burden of the Belgian effort.”

But even if most allies do reach the 5% target, there is lingering uncertainty over the US' commitment to the alliance.

On his way to the summit, President Trump said there were "numerous definitions" of Article 5 –NATO's mutual defense clause. After his arrival, however, he reassured NATO allies that the US was with them "all the way."

Still, some damage control was required. "Stop worrying," NATO Secretary General Mark Rutte said at the press conference. "The United States is totally committed to NATO."

In the summit declaration the allies then reaffirmed an "ironclad commitment" to collective defense as enshrined in Article 5, "an attack on one is an attack on all."

Kristine Berzina, Washington DC-based managing director of the German Marshall Fund (GMF) Geostrategy North, who is currently at The Hague to attend the summit, told DW that in a way, President Trump was right. But that this was hardly the perfect time to deliberate on the nuances of the clause.

She said while it was left on individual members to choose the extent of their support to an ally under attack, the only time Article 5 has been invoked was following the 9/11 attacks on the United States. "The US has been the beneficiary of Article 5 and that's the part that President Trump should remember," she said.

There are also concerns that over time, the US may dial down its support to NATO.

"Later this year we can expect the US to consult allies on its global force posture – that will likely be reduced military presence in Europe and then focus on how the Europeans can fill those gaps," Rafael Loss, a policy fellow at the European Council on Foreign Relations, told DW. But he added that the good news was that the US wasn't "dumping everything on the Europeans suddenly."

Berzina of the GMF said there was already a conversation about how to compensate Europe for a reduction in troops and assets. "It's possible the US might deploy more nukes in allied countries as a deterrent against adversaries."

The Council of Europe will set up a special international tribunal to prosecute top Russian officials for the war in Ukraine. "Every war criminal must know there will be justice," Ukrainian President Zelenskyy said.

Ukrainian PresidentVolodymyr Zelenskyysigned an agreement with theCouncil of Europe(CoE) on Wednesday to establish a special tribunal to prosecute those accused of orchestratingRussia's war in Ukraine.

Ukraine argues that the tribunal is urgently needed to hold Russia's leadership accountable for launching the full-scale invasion in February 2022.

"We need to show clearly aggression leads to punishment and we must make it happen together, all of Europe," Zelenskyy said after signing the accord with CoE Secretary General Alain Berset.

The creation of the tribunal comes as ceasefire talks between the two countries remain stalled, with Russian PresidentVladimir Putinappearing to believe that time is on his side.

"Every war criminal must know there will be justice and that includes Russia," Zelenskyy said.

The CoE hopes the tribunal could begin its work as early as next year.

Berset said the next step in establishing the tribunal would be an expanded agreement to "allow the widest possible number of countries to join, to support, and to help manage the tribunal."

Logistical details, including the tribunal's location, still need to be resolved.

The International Criminal Court (ICC) has already issuedarrest warrants for Putinand other Russian officials on war crimes charges. However, it lacks the jurisdiction to prosecute them for the crime of aggression.

Kyiv has long called for a dedicated tribunal, modeled on the Nuremberg trials, that would go beyond addressing alleged war crimes.

The CoE said the tribunal "fills the gap" created by the "jurisdictional limitations" of the ICC.

This would be the first special tribunal established by the Strasbourg-based CoE, which promotes human rights, democracy, and the rule of law. The CoE is not part of the European Union.

European foreign ministers endorsed the creation of the tribunal during a meeting in Lviv, western Ukraine, on May 9.

German Foreign Minister Johann Wadephul, who attended the meeting, said the "war, which violates international law, must not be allowed to remain without consequences."

"Those who bear responsibility for this must also be held accountable by a legitimized court," he added.

On Wednesday, Zelenskyy told the Parliamentary Assembly of the Council of Europe, "It will take strong political and legal courage to make sure every Russian war criminal faces justice, including Putin."

Russia does not extradite its own citizens, sowhether Putin will ever face trial remains uncertain.

Andy Jassy is not the first executive to warn about the broader adoption of artificial intelligence and how it will fundamentally reshape the workforce. Are the doomsayers right?

AmazonCEO Andy Jassy recently announced that his company would reduce its workforce asartificial intelligence (AI)replaces human employees.

He also warned thatAI will affect a wide range of jobsand sectors.

Jassy is not alone, as many other tech firms have issued similar warnings about how AI breakthroughs could reshape their workforce.

In May, the CEO of the AI startup Anthropic told the Arlington, Virginia-based American news websiteAxiosthat AI could eliminate half of all entry-level white-collar jobs in the next one to five years.

US public companies have reduced the number of their white-collar staff by a collective 3.5% over the past three years, theWall Street Journalreported, citing employment data provider Live Data Technologies. Over the past decade, one in five companies in the S&P 500 have shrunk, it said.

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Severaltech companies, including Microsoft, Hewlett Packard and Procter & Gamble, have announced layoffs of thousands of workers over the past several months.

Recently, retail service provider Shopify said teams requesting additional staff would first need to prove that AI could not perform the tasks.

Duolingo, a language-learning app, also plans to gradually replace its external workers with AI.

The Organization for Economic Cooperation and Development (OECD) has estimatedthat a quarter of jobs worldwide are at a high risk of being replaced by AI automation.

But AI is also expected to create new opportunities and boost productivity.

A report by the World Economic Forum earlier this year forecastthat technological transformation would displace about 92 million existing jobs by 2030, while creating 170 million new ones. Jobs in developed economies will likely be more affected by AI than those in developing ones.

A study published by theInternational Monetary Fund (IMF)last year found that thetechnology could affect 60% of jobs in developed economies— around half of them negatively, while the other half will see a positive impact.

The report concluded that about 40% of jobs in emerging markets and 26% of jobs in low-income countries would be hit.

But while these labor markets may see a smaller initial impact from AI, they are also less likely to benefit from the increased productivity that AI promises.

During past technological breakthroughs, lower-skilled and blue-collar workers bore the brunt, such as workers on factory floors being replaced by robots.

However, broad AI adoption is expected to hit higher-educated, white-collar workers hard, particularly those with tasks that AI could perform at a similar or better quality than a human worker.

A study conducted by the Pew Research Center in the US foundthat occupations involving information gathering and data analysis, such as web developers, technical writers, accountants and data entry workers, among others, would be at high risk of being replaced by AI.

Labor-intensive jobs that can't be easily automated, likeconstruction workers, child care workers and firefighters, are expected to remain the most resilient.

The possibility of massive job losses has triggered concerns over the disruptive effects of AI on employment and society, drawing the attention of politicians and even religious leaders.Pope Leo XIV, who became the head of the Catholic Church in May,has warned of the threat posed by AI to jobs and human dignity.

Labor market expert Enzo Weber from the Institute of Employment Research in Nuremberg, Germany, believes the concerns over job losses are misplaced.

Speaking with DW, he said AI advancements open up a wide range of economic possibilities and are more likely to help workers than cause mass unemployment.

"AI primarily changes work, but it does not fundamentally eliminate it," said Weber, adding that the technology in most cases helps human workers "develop new tasks and perform their tasks better rather than just replacing them."

A paperpublished in January by Harvard economists David Deming, Christopher Ong and Lawrence H. Summers shared a similar view.

The economists argued that the automation of individual job tasks "does not necessarily reduce employment" and may even lead to "job gains in some sectors" of the economy.

"In principle, being able to automate a previously onerous task could make workers so much more productive that the increased output offsets the fact that some of their work is now being done by a machine," they stated in the paper.

Stressing that the impact of AI is likely to be "widespread and long-lasting," they also wrote that "history teaches us that even if AI disrupts the labor market, its impact will unfold over many decades."

Given that artificial intelligence technology is still in its early stages, its precise longer-term impact on global labor markets remains uncertain.

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The efficacy of many AI tools will also depend on how well they are integrated into workplaces, and the willingness and ability of workers to use them.

If workers refrain from making full use of AI out of concern for their jobs, it could compromise the productivity boost the new technology promises.

Labor market expert Weber urged companies and workers to adapt to the changing technology landscape and seize the opportunities because for him AI technology is a "game changer."

"This [technology] presents opportunities, but they need to be seized. Further development and active training of workers are essential. Not just to keep pace, but to get as far ahead as possible."

EU leaders gathered in Brussels for the EU summit on Thursday. The agenda included how to reach a trade agreement with the US before a Trump-imposed deadline as well as the conflicts in Ukraine and the Middle East.

These live updates from the EU summit in Brussels have been closed. Thank you for reading.

Below you can read a roundup of developments concerning the EU summit from Thursday, June 26:

European Union leaders on Thursday called for even greater efforts to deliver more military support for Ukraine, especially as Russia makes small battlefield gains.

At a summit in Brussels, the bloc's leaders said it was important to offer more "air defense and anti-drone systems, and large-caliber ammunition, to help Ukraine, as it exercises its inherent right to self-defense, to protect its citizens and territory against Russia's intensified daily attacks."

The leaders also underlined the need to help Kyiv's defense industry, which can manufacture weapons and ammunition more quickly and cheaply than its European counterparts.

Ukrainian PresidentVolodymyr Zelenskyywas present for the summit via videolink.

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The leaders of Europe's two biggest economies called on the 27-member bloc to reach a "quick" trade deal with the United States.

"We have encouraged the president of the (European) Commission to now reach a quick agreement with the Americans in the less than two weeks that are left," German ChancellorFriedrich Merztold reporters after talks involving the bloc's 27 leaders and European Commission President Ursula von der Leyen.

"France is in favor of reaching a quick agreement, we don't want it to drag on forever," French PresidentEmmanuel Macronsaid after the summit, adding, however, that European nations "do not want a deal at any cost."

Macron said a fair deal was of paramount importance and that any "goodwill should not be seen as a weakness."

If the US baseline tariff of 10% remained in place, then Europe's response would have to reciprocate that impact, he added.

For her part, von der Leyen said the EU had received the"latest US document"for further negotiations on tariffs and that "all options remain on the table."

"We are assessing it (…) Our message today is clear. We are ready for a deal," she said. "At the same time, we are preparing for the possibility that no satisfactory agreement is reached. This is why we consulted on the rebalancing list and we will defend the European interest as needed."

EU leaders on Thursday agreed to extend sanctions on Russia for an additional six months.

The decision means that the bloc's sanctions overMoscow's full-scale invasion of Ukraine, including the freezing of more than €200 billion ($234 billion) in Russian central bank assets, will remain active until at least the beginning of 2026.

It comes after officials said they were laying out contingency plans to keep the EU's economic punishment on Russia in place should Hungarian leaderViktor Orbanbe obstinate.

Many of the European leaders had feared a refusal by Hungary to renew the measures could blow a massive hole in the leverage the bloc holds over Russia as the United States presses peace efforts.

It’s the first EU summit for German ChancellorFriedrich Merz, who’s vowed thatstrengthening Europe is his priority. There are two issues that seem particularly close to his heart: improving the EU’s competitiveness and striking a quick trade deal with the US.

When Merz arrived in the meeting room this morning, fellow EU leaders welcomed him with applause.Germany is the bloc’s biggest economy, and its word carries weight. Merz is no stranger to EU politics — he was a member of the European Parliament in the early nineties.

The German chancellor looks to be getting increasingly impatient with theEU trade talks with the US, which he has repeatedly called “too complicated.” It is the European Commission that negotiates trade agreements on behalf of the member states.

The bloc is already facingUS import tariffs of 50 percent on its steel and aluminum, 25 percent for cars and car parts, along with a 10 percent tariff on most other EU goods, which President Trump has threated could rise to 50 percent if there is no agreement by July 9.

Over dinner, Commission PresidentUrsula von der Leyenwill update the EU leaders on the state of the talks and ask them how they want to respond to the US deadline. Merz has emphasized that failing to reach a deal with the Americans would certainly hurt Germany’s export-oriented economy. It seems that many leaders do prefer a quick deal over retaliatory measures.

Germany is citing the US trade agreement with the UK as proof that a deal is possible. Sources told DW it is not about weaking the Commission’s mandate but speeding up the process. However, some experts fear that giving in to the US demands too quickly may result in the EU making more concessions than intended.

Ukrainian PresidentVolodymyr Zelenskyyurged the European Council to send "a clear political signal" that Brussels supports Kyiv's efforts to join the European Union as it defends itself againstRussia's full-scale invasion.

"What's needed now is a clear political signal that Ukraine is firmly on the European path and that Europe stands by its promises," Zelenskyy said in a video address to leaders.

In the address, the Ukrainian president also repeated his call to crack down on Russian oil revenues. Zelenskyy said that a $30 (€26) price cap is necessary for "real, lasting peace."

"Sanctions against Russia remain one of the most effective tools for limiting its aggression," he stressed.

Earlier on Thursday, Hungarian Prime Minister Viktor Orban said the EU would not have a common stance on Ukraine's EU membershipdue to his country's opposition.

European Union leaders called for an immediate ceasefire inGazaand urged Israel to respect humanitarian law. However, they did not take action regarding the bloc's formal ties with Israel in light of a human rights review.

"The European Council calls for an immediate ceasefire in Gaza and the unconditional release of all hostages, leading to a permanent end to hostilities," the leaders said inwritten conclusionsafter a discussion on the Middle East in Brussels.

"Israel must fully comply with its obligations under international law, including international humanitarian law," the statement read.

The leaders called on Israel "to fully lift its blockade on Gaza, to allow immediate, unimpeded access and sustained distribution of humanitarian assistance at scale into and throughout Gaza."

Last week, the EU's diplomatic service said in an internal review that there wereindications Israel had breached its human rights obligationsunder the terms of a pact governing its ties with the bloc.

The review caused a rift among member states regarding how to deal with Israel. Ultimately, EU leaders gathered for a summit in Brussels and decided not to act on the review's findings.

However, their statement "takes note of the report" and invites EU foreign ministers to continue discussing it.

EU leaders also welcomed the ceasefire betweenIran and Israel. They urged all parties "to abide by international law, show restraint, and refrain from taking action which could lead to a new escalation."

They reaffirmed thatIran must never acquire nuclear weaponsand stated that the European Union will continue to participate in diplomatic efforts "to reduce tensions and to bring about a lasting solution to the Iranian nuclear issue."

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Slovakian Prime MinisterRobert Ficodeclared that his country would not be backing a new sanctions package against Russia proposed by the European Union.

Instead, Slovakia is pushing for a delay in the vote until their concerns regarding gas supplies after 2027 are addressed, he said.

"Tomorrow, Slovakia will not vote on the 18th sanctions package," he told a parliamentary committee on Thursday before he left for the summit. "We consider it to be one package with (the end of imports plan) and until fundamental issues are resolved, we cannot adopt further sanctions."

Fico reiterated his position that plans to end Russian gas imports by 2028 could lead to supply shortages, price hikes, and potential losses from breaching the long-term contract with Gazprom through arbitration.

On June 10, the European Commission proposed a new round ofsanctions against Russiafor its full-scale invasion of Ukraine more than three years ago. The sanctions target Moscow's energy revenues, banks, and military industry.

However,Slovakia and Hungary oppose the sanctionsbecause they disagree with the Commission's proposal to end Russian energy imports by the end of 2027.

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Time is running out for American and European trade negotiators working to cut a tariff deal before a July 9 deadline set by US PresidentDonald Trump.

So far, it remains unclear whether or not Trump's threat of imposinga 50% levy on nearly all EU importswill materialize — a move that could escalate the dispute into a full-blown transatlantic trade war.

In the meantime, investiros have turned their attention towards Europe and especially Germany, the continent's largest economy.

While the American S&P 500 stock market index has seen big ups and downs since Trump became US president in January,Germany's blue-chip DAX indexhas risen steadily, and is up more than 15% now.

Click here to read more about how Germany has seen unexpected growth off the back of uncertainty in Washington.

Spain's Prime MinisterPedro Sanchezsaid it would be a double standard for the EU to pursue further sanctions against Russia over the war in Ukraine while not sanctioning Israel forthe war in Gaza.

Sanchez urged the EU to suspendits cooperation deal with Israel, pointing to "the catastrophic situation of genocide unfolding in Gaza."

He added that "it makes no sense" that the bloc has imposed 18 rounds of sanctions on Russia over its invasion of Ukraine, but "in a double standard, is not even capable of suspending an association deal."

In March this year, a United Nations-backed investigation said that Israel had committed "genocidal acts" during the conflict with the Palestinian militant group Hamas.

The UN Independent International Commission of Inquiry on the Occupied Palestinian Territory, including East Jerusalem, and Israel, said this had been done through the systematic destruction of sexual and reproductive healthcare facilities in Gaza.

Meanwhile, Irish leader Michael Martin echoed calls for Israel to adhere to the human rights clauses of theEU-Israel Association Agreementamid "the dire, catastrophic humanitarian situation in Gaza."

"I will be saying to my European colleagues that the people of Europe find it incomprehensible that Europe does not seem to be in a position to put pressure on Israel, and leverage on Israel, to stop this war in Gaza, to stop the continuing slaughter of children and innocent civilians," he said.

He said, "The tactic of undermining those who would even question what is happening in Gaza also needs to stop."

Both Spain and Ireland are among countries formally recognizing Palestinian statehood.

Israel has repeatedly rejected claims that it is committinggenocide in Gazaand maintains that it is fighting Hamas militants in the Palestinian enclave.

Greek Prime Minister Kyriakos Mitsotakis said thatmigration across the Mediterraneanwould be on the agenda at Thursday's EU summit.

"I will also have an opportunity to inform my colleagues about the problems that we're currently having with Libya, and to send a very clear signal to encourage the Libyan authorities — both ineastern and western Libya— that they need to cooperate with the European countries in order for these boats managed by smugglers not to even leave the Libyan coast," he told reporters.

Mitsotakis also flagged discussion about "a new policy regarding returns," which he called "the missing link in the current migration package."

Baltic leaders have renewed their calls for Ukraine to join the European Union bloc's summit in Brussels.

Lithuanian PresidentGitanas Nausedamade a veiled reference toHungary objecting to the EU's eastward enlargement.

"Unfortunately due to some bilateral obstacles — and you know what I am talking about — Ukraine cannot open the first cluster of negotiations. And I think we have to open this first cluster as soon as possible," Nauseda told reporters as he arrived at the EU summit.

"I think it is productive to set an ambitious political target. For example, to see Ukraine as a member of the European Union by January 1, 2030. It's tough, but at the same time it's motivating."

Estonian Prime MinisterKristen Michalalso called for Ukraine to join the 27-member bloc.

"Helping Ukraine means that we should pressure Russia continuously, that means 18th sanctions package as strong as possible, and also enlargement — both Ukraine and Moldova," he told reporters.

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German ChancellorFriedrich Merzemphasized the need to strike a trade deal with the Trump administation as he arrived for his first EU summit in Brussels since taking office in May.

"Europe is facing crucial weeks and months," Merz said.

"I support the European Commission in all its endeavours to reach a trade agreement with the US quickly."

US President Donald Trump initially imposed high tariffs on many countries, including EU member states, before temporatily suspending the measures. But the suspensions ends on July 9.

Meanwhile, Merz also underlined the imporance of theEU-Mercosur trade dealwith Argentina, Brazil, Paraguay and Uruguay.

The EU summit will kick off at 11 a.m. CET (0900 GMT). Working sessions of the European Council are scheduled throughout the day.

Ukrainian PresidentVolodymyr Zelenskyyis expected to hold talks with the European leaders through video conference later in the afternoon.

Thewar in Ukraineis set to remain a pressing concern for the EU, as members discuss an 18th round of sanctions against Russia. Talks will also be held on whether a price cap on Russian oil needs to be maintained — steps that some nations have opposed as it could cause energy prices to rise.

Meanwhile, leaders are expected to inform the European Commission if they want a quick trade deal with Washington, which would mean the US getting better terms, or to escalate the dispute in hopes of something better.

US PresidentDonald Trumphas given a deadline of July 9 for a deal.

Officials and diplomats have hinted at a quick deal being the preferable option for most.

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European leaders will also address thewars in the Middle Eastamid concerns about the fallout from the escalation that risks the stability of the region.

The humanitarian situation in Gaza will be a key focus.

The EU is also making the push to bring back negotiations with Iran over itsnuclear program.

European defense and security, migration and internal security will also be on the docket for discussion.

"We will address several issues that must be tackled together to advance our common ambitions: to build a more competitive, safer and more autonomous Europe for our citizens, and to ensure that the European Union can be an effective, predictable and reliable global actor," Antonio Costa, President of the European Council, said in a statement.

Leaders of the European Union's 27 member states are meeting in Brussels on Thursday for a one-day summit.

Discussions on imposing stricter sanctions on Russia and ways to resolve the US tariffs conflict rank high on the agenda.

Most heads of state and government will go into the European talks straight from aNATO summit, where they pledged a landmark defense spending boost, brushing aside some of their differences with US President Donald Trump.

Stay tuned as we get you the latest news and analyses from the EU summit.

Spain's Constitutional Court ruled to uphold most aspects of the disputed amnesty law for Catalan separatists. However, the ruling does not directly benefit former separatist leader Carles Puigdemont.

Spain's Constitutional Court on Thursday upheld key provisions of a disputed amnesty law for Catalan separatists involved in a failed 2017 push for theCatalonia'sindependence.

Under the law, more than 300 people have been pardoned.

"This is magnificent news for Spain," Prime Minister Pedro Sanchez told reporters in Brussels, adding that the amnesty served "to guarantee Spain's unity as well as our development and prosperity and coexistence between citizens and regions."

In 2023, Sanchez'sSocialist Party agreed to an amnestywith two Catalan separatist parties. The agreement was made in exchange for their support in a parliamentary vote, which allowedSanchez to remain prime ministerafter the elections resulted in a hung parliament.

Last year,lawmakers narrowly approved the bill, but the conservative opposition has deemed the legislation unconstitutional. They claim it was passed solely as a Socialist maneuver to ensure their continued rule.

The Constitutional Court announced that it had rejected most points of an appeal by the opposition conservative People's Party (PP) against the amnesty's constitutionality by a vote of six to four.

"Amnesty is not banned by the Constitution, and its adoption, when it responds to an exceptional situation and a legitimate public interest, may be constitutionally admissible," the court,  which has a majority of judges nominated by the Socialists, said in a statement.

The Constitutional Court's ruling offers some relief to Sanchez and his Socialist Party, which has been caught up incorruption allegationsinvolving senior officials.

PP leader Alberto Nunez Feijoo denounced the amnesty as "a corrupt transaction of impunity in exchange for power" and "an attack against the separation of powers."

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The Constitutional Court ruling does not directly benefitCarles Puigdemont, the former Catalan separatist leader who fled abroad to avoid prosecution after leading Catalonia's regional administration during the 2017 referendum. He currently lives in self-imposed exile in Belgium.

The judge handling Puigdemont's case said the amnesty does not apply to him because he is also being sued for embezzlement in diverting funds for the referendum, a charge he denies.

Puigdemont has appealed the decision, saying that the funds earmarked for the referendum were not for his personal gain. According to a court spokesperson, the Constitutional Court will not rule on the matter until later this year or next.

The separatist leader was Catalonia's head of government in 2017, when the region unilaterally declared independence from Spain. This promptedMadrid to impose direct control, sparking Spain's worst political crisis in decades.

Edited by: Saim Dušan Inayatullah

Greece is experiencing its first heat wave of the summer. A large wildfire broke out south of Athens, prompting evacuations as temperatures approached 40 degrees Celsius.

Greekfirefighters on Thursday battled a fast-moving wildfire that burned holiday homes and forest land near the coastal town of Palaia Fokaia, 40 kilometers (25 miles) south ofAthens.

"Right now, strong land and air forces are fighting a huge battle against the flames, mainly among homes," fire department spokesman Col. Vassilis Vathrakogiannis said.

He added that 12 water-dropping planes and 12 helicopters were providing air support to 80 fire engines  and 130 firefighters, who were backed up by volunteer firefighters.

The cause of the blaze is still unknown, but authorities say that high temperatures approaching 40 degrees Celsius (104 degrees Fahrenheit) and strong winds are fueling its rapid spread.  A fire department spokesman said an arson investigation unit had been sent to the area.

According to a report by Greek broadcaster ERTnews, several vacation homes have been destroyed, and a large area of scrubland and forest is currently ablaze.

The civil protection agency sent out emergency text alerts, telling residents to leave the affected coastal area near Palaia Fokaia.

Vathrakogiannis said that Greek police had moved 40 people to safety. Meanwhile, the coast guard reported that two patrol boats and nine private vessels were on standby in the area in case an evacuation by sea was necessary.

Authorities also reported that ambulances were on standby, though none had been needed by Thursday afternoon.

According to Greek radio, police rescued 11 tourists from a holiday home in the danger zone. The fire department stated that the hotel complexes were not in immediate danger.

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Wildfires are common in Greece during its hot, dry summers. Authorities said the risk of wildfires would remain high Friday before the weather cooled down.

The civil protection agency warned that small fires can transform into major blazes in a matter of minutesdue to extreme heat, dry conditions, and high winds.

Due to the weather conditions, the entire wider Athens area, as well as several Aegean islands, were on Level 4 of a 5-level scale for wildfire danger.

Earlier this week, it took hundreds of firefighters four days to bringa major wildfire under control on the eastern Aegean island of Chios.

Edited by: Saim Dušan Inayatullah

In his first big interview since his release, Belarusian opposition leader Siarhei Tsikhanouski spoke with DW about the conditions in prison, his wife's transformation and his hopes for the people of Belarus.

One of the most well-known Belarusian political prisoners, bloggerSiarhei Tsikhanouski,was released on June 21following a visit to Belarus by Keith Kellogg, US President Donald Trump's special envoy for Ukraine.

Tsikhanouski gave his first big interview since being freed to DW's Alexandra Boguslawskaja, who had also interviewed him five years ago in Belarus, shortly before his arrest.

Tsikhanouski was detained in May 2020, after being denied registration as a presidential candidate challenging Alexander Lukashenko. He was laterconvicted to 18 years in prison.

His wife, Sviatlana Tsikhanouskaya, assumed the candidacy and ran for presidency in his stead. She was forced to flee Belarus after Lukashenko claimed victory in an election which observers have labeled as rigged. Tsikhaniuskaya has been living in Vilnius ever since and became the leader of the Belarusian democratic opposition in exile.

DW: The first footage we saw of you was of you getting off the bus and hugging your wife. What was it like to hug Sviatlana after five years in prison?

Siarhei Tsikhanouski: I couldn't believe it. I spent five years in a solitary confinement cell, sometimes it was three square meters, sometimes six, and sometimes even 18. And then, when you finally see open space around you, you're overwhelmed by emotions. The doors of the bus opened and I saw Sviatlana. I couldn't believe it and had tears in my eyes. I hugged her and said, "Let's go somewhere.” We found a quiet spot to talk in private. Honestly, even now, I still can't believe it. The emotions were so intense, the tears just kept coming.

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This is your first big interview after the release, but not your first DW interview. We spoke back in May 2020, just a couple of weeks before your arrest at a rally in Grodno, which led to a five-year prison sentence. Back then, I asked if you were prepared to face repression, and you said you were. But did you imagine it would be this harsh and this long?

The regime used to imprison people on supposedly non-political charges, things like alleged economic crimes. Since I'm a businessman, I thought they'd give me three or four years on some fake economic charges, and only after the election.

But I never expected to scare them so much by pushing for real change. Once they realized that, they decided to lock me up preemptively, silence and badmouth me, and keep me behind bars.

What's it like to spend five years in solitary confinement?

Imagine not being able to talk to anyone — literally no one. Not hearing a single kind word from anyone because all you ever hear are insults, threats and negativity from the guards. They try to convince you that you're nobody, that you've been forgotten, that everyone has given up, and no one is fighting for you anymore. But I didn't believe them. I knew that many Belarusians supported me — I had seen that support on the streets with my own eyes.

Thinking about my family was hard, because I had no information about them.

I had the chance to read books, and I read constantly. It helped me take my mind off everything as I waited for the day I'd be freed. I knew that day would come.

At the press conference after your release, you said that all US President Trump has to do is say one word and all political prisoners in Belarus would be freed. What is that word?

Well, of course, it's a metaphor. The US administration has been preparing for the release of Belarusian political prisoners for a few years. The groundwork has been laid — I've heard this partly from diplomats involved in our release and from other sources.

The prosecutor visited me in prison last year, during the Biden administration. So the preparations were already underway, but under Donald Trump, this effort really picked up pace.

The thing is, Trump was planning to resolve the Ukraine issue quickly, which would lead to lifting sanctions on Russia. Since Belarus and Russia are part of a Union State, if the sanctions on Russia were lifted, the Lukashenko regime would automatically gain full access to all opportunities — so sanctions on Belarus would have to be lifted, too. And if that happens, the political prisoners would have to be released as well.

But why did Trump succeed in securing the release of political prisoners while European leaders didn't?

It's not about Trump personally. It's about the big politics where everything is connected and you can't just solve the issue of Belarusian political prisoners alone. It's definitely an important issue, but it's not as big as the war in Ukraine. That's a nightmare, a tragedy for all of Europe.

I think European officials and diplomats are doing the right thing by ignoring the regime. As long as political prisoners remain behind bars, there should be no dialogue with it.

How did you find out about the start of Russia's war in Ukraine, and what did you think about it?

At that time, I was still in pre-trial detention. My lawyers were visiting me, and I had newspaper subscriptions, so I found out right away. I couldn't believe it. I still don't understand how [Russian President Vladimir] Putin, how the Russians, could invade another country under the pretext that some Russians in Ukraine or the Russian language were under threat. If you really believe Russians are being mistreated, then bring them to your country. Build homes for them, give them pensions. Why kill so many people?

After that, I stopped receiving any information at all, so I really don't know what's been going on. Now, I'm just beginning to take it all in and try to understand it.

But one thing is clear to me: I fully support [Ukrainian] President [Volodymyr] Zelenskyy. He's facing an incredibly difficult situation, and we all need to stand behind him — even if he makes a mistake here and there.

Over these five years, your wife went from being an ordinary Belarusian woman to a real political figure. People even call her the president-elect. How do you feel about that transformation? Do you feel like you have to get to know your wife all over again now?

No, I didn't have to get to know her all over again. But honestly, I was surprised at how much she changed. She became such a businesslike woman — she wasn't a business lady before. But now she's so professional and driven. But at home, nothing has really changed. With the kids and with me, it's the same. The only difference is she's just completely exhausted all the time.

Do you think your release could give a fresh boost to the democratic movement? Maybe give Belarusians a bit of hope?

It's not just that it could — it will. Absolutely, it will. I think very soon you'll see us in many cities in Germany and in other European capitals as well. As for me personally — you'll definitely see me on livestreams.

Do you have any regrets after spending five years behind bars?

Not at all. I asked my wife the same question — and despite everything we've been through, she said she doesn't regret anything either. We couldn't have done it any other way. She had to submit documents as a presidential candidate in my stead. And then she couldn't help but fight for me, once her husband was thrown in prison for nothing. She knew I wasn't a criminal — and not fighting wasn't an option.

This interview was originally recorded in Russian.

Spanish PM Pedro Sanchez wants the bloc to suspend a major trade deal with Israel over its Gaza conduct, but that looks unlikely. A brief hardening toward Israel appears to have dissipated after recent Iran tensions.

In the wake of a damning EU review of Israel's human rights record inGaza, Spanish Prime Minister Pedro Sanchez has slammed his colleagues for not moving to suspend a trade deal with Israel despite what he called "the catastrophic situation of genocide."

More than55,000 Palestinianshave been killed in the enclave over a year and a half of Israeli bombardment, according to Hamas-run authorities in Gaza. Israel has vehemently denied accusations of genocide, maintaining that it is at war with the ruling militant Islamist groupHamasfollowing a massive terror attack on Israeli territory in October 2023.

In a report distributed to EU member states last week based on the findings and allegations of major international bodies, the European External Action Service found "indications" that Israel was breaching its duty to respect tohuman rights.

The document, not public but made available to DW, highlighted possible indiscriminate attacks affecting the civilian population, Israel'sblockadeon food and medicine plus attacks on medical facilities as potential breaches. "There are indications thatIsraelwould be in breach of its human rights obligations," the report concluded.

Arriving at an EU summit in Brussels on Thursday, Sanchez said it was "more than obvious that Israel is violating Article 2 of the EU-Israel agreement."

"We have had 18 sanctions packages against Russia for its aggression [in Ukraine], and Europe, with its double standards, is not capable of suspending an association agreement," Sanchez said.

Spain and Ireland are isolated among the 27 EU states in openly calling for the suspension of the deal in full, a move that would require unanimity and has therefore never been a serious prospect. Greece, Germany, Hungary, Austria, and Bulgaria remain close allies of Israel.

Berlin in particular has made its views clear, withChancellor Friedrich Merzdescribing the move as "out of the question with the federal [German] government."

Doing so would be a major commercial disruption, particularly for Israel, which buys a third of its goods from the EU. The accord, in force since 2000, covers everything from the two sides' trading relationship — worth $50 billion each year for goods alone — up to political dialogue, and cooperation on research and technology.

Another possibility, requiring only a qualified majority of 15 out of 27, would be the partial suspension of the deal, for example, its provisions on free trade or shutting Israel out of EU research funding program Horizon Europe. But multiple diplomatic sources told DW that the numbers weren't there either.

Earlier in the week, EU foreign affairs chief Kaja Kallas officially presented the document to the member states for a first debate, already making clear there would be no immediate moves.

"It is not intended to punish Israel, but to triggerconcrete improvementsfor the people and the lives of people in Gaza," she said on Monday. "If the situation does not improve, then we can also discuss further measures and come back to this in July."

On Thursday, EU leaders at the summit only "took note" of the report in their joint statement, making no reference to potential rights breaches, and said ministers should revisit the topic next month. At the same time, the 27 leaders deplored the "dire humanitarian situation in Gaza, the unacceptable number of civilian casualties and the levels of starvation."

Spain has also been calling for an EU embargo on the sale ofarms to Israel, with Germany one of the country's major suppliers, as well as more sanctions. However, Berlin recently reaffirmed it would keep selling Israel weapons, and without Germany on board, the move wouldn't have much impact.

A few other countries, including Belgium, France and Sweden, have supported imposing additional EU sanctions on Israel, but these too require unanimity.

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Echoing Sanchez, Irish leader Micheal Martin said he would tell his colleagues at the summit that "the people of Europe find it incomprehensible that Europe does not seem to be in a position to put pressure on Israel."

According to Lisa Musiol of conflict resolution think tank Crisis Group, maximum pressure would entail an arms embargo,large-scale sanctionsagainst members of the government or a full suspension of the Association Agreement.

"But almost no European leader speaks about such measures," Musiol told DW in a written statement. "There is probably no foreign policy topic within the EU where member states are so divided."

Last month, it looked for a brief moment like the EU was indeed collectively hardening its stance. The Dutch proposed the review of the Association Agreement, and the move was greenlit by a majority of EU states on May 20.

This came shortly after France, Britain and Canada issued a rare joint statement condemning Israel's latest offensive in Gaza and described its restrictions on aid as being "wholly disproportionate," and possibly in breach of international humanitarian law.

There was a distinctive feeling that policy could be shifting.

Musiol of Crisis Group said that window seemed now to have closed. "It seems that after therecent escalation between Israel and Iran, many member states have fallen into their old positions," she said.

"Even those member states that have traditionally been strong supporters of Israel but had started to be more outspoken or critical, such asGermany or Italy, have changed their tone."

Correction, June 28, 2025: An earlier version of this article misspelled the name of Irish Prime Minister Micheal Martin. DW apologizes for the error.

On June 27, 1975, Germany and Brazil signed a treaty on cooperation in the field of nuclear energy. Despite Germany's nuclear phaseout, it still applies today.

The agreement on the peaceful uses of nuclear energy, which almost nobody in Germany knows about, is half a century old. It has defied the German anti-nuclear movement, survived the nuclear disasters ofChernobylin 1986 andFukushimain 2011, and even the nuclear phaseout in 2023 with the shutdown of Germany's last three nuclear power plants.

The treaty aimed to construct eightnuclear powerplants, a uranium enrichment plant and a nuclear reprocessing plant in Brazil by Siemens, including training for scientists.

The signatories were the German coalition government of the center-leftSocial Democrats (SPD)and neoliberalFree Democrats (FDP)under ChancellorHelmut Schmidton the one side, and the Brazilian military dictatorship headed by President Ernesto Geisel on the other.

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"It was celebrated in 1975 as the biggest technology agreement of the century, the enthusiasm was huge on both sides," recalled 73-year-old German-Brazilian sociologist Luiz Ramalho in an interview with DW. Ramalho is chairman of the Latin America Forum in Berlin and has been a critic from the very beginning.

He has made terminating the treaty, which is only possible every five years, his life's work. At the end of 2024, he thought he had almost reached his goal with the center-left government the SPD, environmentalistGreensand FDP.

There were talks in the ministries at the time, and a termination was examined, especially in view of the notice period on November 18. But then the government fell apart in November 2024.

The Green Party has long wanted to end the German-Brazilian nuclear agreement. After all, the Greens are the party that evolved out of the anti-nuclear protests in the 1980s.

In 2004, the then-Green Federal Environment Minister Jürgen Trittin tried unsuccessfully to convert the nuclear agreement into one for renewable energies. Ten years later, the Greens' urgent motion in opposition to terminate the nuclear agreements withBraziland India failed due to resistance from the coalition government of the conservativeChristian Democrats, under Chancellor Angela Merkel (CDU), its Bavarian sister party, theChristian Social Union(CDU/CSU) and the SPD.

For Harald Ebner, member of the Bundestag for the Greens, the outcome of the cooperation is sobering. "Even at the drawing board, six of the eight nuclear power plants [in Brazil] stipulated in the agreement failed. But the other two are also anything but a success: Angra-3 became a 40-year unfinished construction site, and a single block, Angra-2, was finally connected to the grid in 2000 after 24 years of construction as the world's most expensive nuclear power plant at the time," he wrote to DW.

However, Angra-2 is susceptible to earthquakes, landslides and flooding, while more and more hazardous nuclear waste is accumulating on the site, for which there is no solution, said Ebner. In other words, there is nowhere to store the nuclear waste produced there.

"Brazil and Germany were both on the wrong track with the agreement, which failed in many respects," he said.

For Ebner, nuclear power belongs in the past, but not everyone sees it that way. On the contrary: it isexperiencing a renaissance worldwide. According to a study by the International Energy Agency (IEA), more than 40 countries arestriving to expand nuclear power in order to meet the growing demand for electricity.

In Brazil, nuclear power accounts for just 3% of electricity generation. However, PresidentLuiz Inacio Lula da Silva, who used to be rather critical of nuclear energy, expressed great interest in Russia's experience with small nuclear power plants at a meeting in Moscow with his Russian counterpart,Vladimir Putin, a few weeks ago.

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And even in Germany, the debate on the use of nuclearenergy, which was thought to be dead, has picked up speed again. Although former ChancellorAngela Merkelpushed through the German nuclear phaseout in 2011 shortly after the nuclear reactor disaster in Fukushima, Japan, during the last Bundestag election campaign, Bavarian State PremierMarkus Söder, among others, has called for the reactivation of three decommissioned nuclear power plants.

The new economy minister,Katharina Reichefrom the CDU, also appears to be open to the use of nuclear power.She recently met with colleagues from the so-called European Nuclear Alliance, an association of countries such as France, Sweden and Poland that are committed to greater use of nuclear energy.

What does this mean for the German-Brazilian nuclear agreement? "The agreement is an early example of technological partnership and therefore a milestone in our bilateral relations," said Thomas Silberhorn, a CDU lawmaker and long-time member of the German-Brazilian parliamentary group. "Today, the focus of cooperation is on hydrogen and renewable energies. But openness to new technologies and energy policy independence remain relevant for Brazil and have also regained importance in Germany and throughout Europe."

However, the future of the half-century-old nuclear agreement could depend on the SPD in government. Nina Scheer, energy policy spokesperson for the SPD parliamentary group in the German Bundestag, wrote to DW that "The coalition agreement provides for an intensification of the strategic partnership with Brazil. Due to the importance of the energy transition for strategic and sustainable development potential, this also involves replacing the German-Brazilian nuclear agreement with partnerships inthe transition to renewable energies. This includes ending the nuclear agreement."

Miriam Tornieporth will undoubtedly be happy to hear that. She works for the German anti-nuclear organization ausgestrahlt e. V., which was founded in 2008 and has been campaigning for the termination of the German-Brazilian nuclear agreement for years.

"This cooperation is simply totally out of date and does not include, for example, any safety aspects that should be included from today's perspective," Tornieporth told DW.

The controversial agreement has become particularly explosive due to the latest geopolitical developments, more specifically theRussian war of aggression against Ukraine. This is because the French nuclear company Framatome produces fuel rods for nuclear power plants in Lingen, Lower Saxony, in cooperation with Russia's Rosatom. The state-owned Russian nuclear industry company has, in turn, concluded an agreement with Brazil foruraniumsupplies in 2022.

"We assume that Russian material is processed both at the Gronau uranium enrichment plant in North Rhine-Westphalia and in Lingen and sent from there to Brazil. In contrast to other forms of energy, the Russian nuclear industry is also exempt from sanctions," said Tornieporth.

"As Germany has shut down its nuclear power plants, it would be logical also to shut down the plants in Gronau and Lingen to complete the nuclear phaseout."

This article was originally written in German.

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