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Ukraine Crisis

The EU’s foreign policy and crisis management mechanisms stepped up a gear this week, in reaction to a deteriorating situation in Ukraine. The killing of at least 25 people in clashes between protesters and police on Tuesday 18 February prompted strong statements from the Presidents of the European Commission and European Council, and an emergency meeting of Foreign Affairs Ministers on Thursday 20th.

The meeting decided to impose an asset freeze and visa ban on yet-to-be-determined Ukrainian individuals, as well as suspending the export of equipment which may be used for internal repression.

TTIP stocktaking

After three rounds of negotiations, the EU Trade Commissioner Karel De Gucht and the US Trade Representative Ambassador Michael Froman met this week to review progress to date in the Transatlantic Trade and Investment Partnership (TTIP) talks. Discussions on measures to aid Small and Medium-Sized Enterprises have been particularly successful they said, while a new push is required on issues including energy, food and agricultural goods. Moreover, De Gucht stressed that the EU has made an ambitious offer on removing tariffs, and is displeased at US reticence to do the same. These issues, and many others, will be on the agenda of President Obama’s visit to Brussels on 26 March for the EU-US Summit.

State aid for airlines and airports

Regional  airports, and low-cost and regional airlines, received something of a boost from new European Commission guidelines on state aid to airlines and airports. While the Commission’s previous rules, dating from 2005, took a hard line on public support, the often-subsidised growth of the low-cost and regional market since then necessitated an update of the guidelines. Under the new rules, aid is permitted for infrastructure investments which boost regional mobility and connectivity, capped according to the airport’s size. Airports may also receive operating aid during a ten-year transition phase, after which they should cover their costs without any subsidy. Some aid to airlines starting up new routes is also allowed, again when boosting regional connectivity. The rules also allow some aid to relieve congestion at hubs, that frequent bugbear of the European traveler.

100 days to go

The race for the European Parliament elections entered its critical phase this week, with now less than 100 days to go until voters decide. The latest opinion polls predict a surge in votes for Eurosceptic parties, weakening the centrist parties and pushing the centre-right European People’s Party and centre-left Socialists & Democrats groups to work even closer together. With German MEPs forming the largest nationality in both these groups, and the current German government composed of Christian-democrats (EPP) and Social democrats (S&D), one can therefore expect a stronger influence in the European Parliament of the German coalition government’s views and positions.

For further analysis of the issues surrounding the European Parliament elections, head over to H+K Strategies’ dedicated EUelects2014 site, including an extended article on how the outcome of the election may affect the EU’s political course.