The 147 countries and jurisdictions working together within the OECD/G20 Inclusive Framework on Base Erosion and Profit Shifting (BEPS) have agreed on key elements of a package that charts a course forward for the co-ordinated operation of global minimum tax arrangements in the context of a digitalised and globalised economy.
Following months of intense negotiations, the comprehensive package for a “side by side” arrangement announced today represents a significant political and technical agreement which will set the foundation for stability and certainty in the international tax system. It will preserve the gains achieved so far in the global minimum tax framework and protect the ability for all jurisdictions, particularly developing countries, to have first taxing rights over income generated in their jurisdictions.
The package includes five key components:

First, a series of simplification measures will reduce compliance burdens for multinational enterprises (MNEs) and tax authorities in calculating and reporting under the global minimum tax rules.
Second, the package further aligns the treatment of tax incentives globally through the introduction of a new targeted substance-based tax incentive safe harbour.
Third, new safe harbours are available to MNE Groups having an ultimate parent entity located in an eligible jurisdiction which meets minimum taxation requirements.
Fourth, the package includes an evidence-based stocktake process to ensure a level playing field is maintained for all Inclusive Framework Members.
Fifth, the package reinforces the objective that qualified domestic minimum top-up tax regimes remain a primary mechanism in the global minimum tax framework for ensuring the protection of local tax bases, particularly in developing countries.

“This agreement by the Inclusive Framework including 147 countries and jurisdictions is a landmark decision in international tax co-operation,” OECD Secretary-General Mathias Cormann said. “The Members of the Inclusive Framework are to be commended for their work in finalising this package, which enhances tax certainty, reduces complexity, and protects tax bases. I look forward to seeing the Inclusive Framework take forward the implementation of this package, as well as to future proposals for further simplifications of the global minimum tax rules and compliance burdens.”
Additional tools and fact sheets to support implementation of the package will be made available in the coming weeks, alongside a dedicated webinar hosted by the OECD on 13 January 2026. The OECD will also continue to ensure that the rules can be implemented effectively and efficiently by all countries and jurisdictions, offering comprehensive capacity-building assistance where needed.
To access the comprehensive package, please visit: https://www.oecd.org/en/topics/sub-issues/global-minimum-tax/global-anti-base-erosion-model-rules-pillar-two.html
 

Working with over 100 countries, the OECD is a global policy forum that promotes policies to preserve individual liberty and improve the economic and social well-being of people around the world.

 
 
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The European Banking Authority (EBA), the European Central Bank (ECB), national central banks and national supervisory authorities across the European Economic Area have signed a Memorandum of Understanding (MoU) to strengthen cooperation and information sharing in support of non-bank payment service providers’ (PSPs) access to central bank-operated payment systems.
This multilateral agreement sets out clear principles for collaboration and harmonises the processes and procedures for the exchange of information between national supervisory authorities and national central banks in relation to non-bank PSPs’ participation in payment systems operated by central banks. This harmonised approach aims to ensure consistent outcomes and establish a level playing field in the European payments market.
 
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Today, the European Commission and the High Representative presented a Joint Communication on strengthening Economic Security. It outlines concrete steps to reinforce the EU’s strength and resilience in the face of growing external economic threats, while retaining our openness and commitment to international trade and investment.
The Joint Communication builds on the Economic Security Strategy of 2023 which set the overarching economic security objectives of promoting industrial strengths, protecting European interests and partnering with like-minded countries.
This Communication sets out the EU’s strengthened approach to addressing risks, using all the tools at its disposal. To strengthen its economic security, the EU will use existing tools irrespective of their original purpose and will deploy its toolbox more proactively when needed. It will also enhance its information collection and analytical capabilities to inform EU decisions and improve coordination with Member States and businesses.
A proactive and targeted approach
The Communication reflects a paradigm shift, moving from a reactive posture towards a more proactive and systematic deployment of tools. The EU will also be more strategic in leveraging its economic weight and the access to its Single Market. The EU’s measures will remain targeted, proportionate and focused on addressing specific high-risk situations. At the same time, the EU, its Member States and businesses will increasingly need to accept the economic costs that come with increased security and resilience.
Drawing on risk assessment work with Member States, the Commission’s immediate focus will be in six priority high-risk areas:

Reducing strategic dependencies for goods and services;
Attracting safe investment into the EU;
Supporting a vibrant European defence and space industry, and other critical industrial sectors;
Securing EU leadership across critical technologies;
Protecting sensitive information and data;
Shielding Europe’s critical infrastructure.

Coordinated and strategic use of tools
The effectiveness of EU action will be strengthened by using existing tools more strategically and in a coordinated way. This includes, for example, new FDI screening guidelines, taking economic security considerations into account in trade defence investigations, and prioritising funding for projects that work on reducing EU dependencies.
Improved situational awareness
The Commission will enhance its assessment of risks, as well as information gathering and sharing with Member States and stakeholders. It will promote a common understanding of economic security risks, and how and when to deploy measures to counter them. This will help the EU to intervene in a timely and effective manner. A key element will be reinforcing the Commission’s close cooperation with business, which is often at the sharp end of economic security issues.
Completing the EU’s economic security toolbox
The EU is also working on new tools to address the current gaps in the EU’s economic security. The first flagship proposal under the new economic security communication, ResourceEU is presented today, focusing on tackling Europe’s overdependence on overseas suppliers of critical raw materials and semiconductors. Other initiatives are at various stages of preparation and implementation, including the SAFE Regulation, Industrial Accelerator Act, Cloud and AI Development Act, CHIPS 2.0 Act, Net Zero Industry Act, Critical Raw Materials Act, Start-up and Scale-up Strategy, and EU Space Programmes.
International cooperation
Europe is far from alone in facing economic security challenges. With that in mind, the EU will even further step up its cooperation with trusted partners, promote common economic security standards, and where possible take joint action to address key challenges.
Next steps
The Commission is already putting in motion any necessary legislative changes, guidelines and other supportive measures to implement the actions set out in the Joint Communication. The Commission will continue to engage intensively with the Member States, third countries and with stakeholders on the new economic security strategic approach.
 
 
 
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Tariffs and trade disruptions dominated headlines in 2025. European firms rely heavily on global trade – it represents about half of EU output. Despite that, European businesses are not radically overhauling their globalised approach. Instead, they are investing to make their supply chains more efficient and resilient.
US firms are a different story. While they rely less on global trade (it represents roughly one-quarter of output), new tariffs caused them to reduce imports and diversify the countries they import from. In short, US firms are rethinking trade and globalisation.
The latest European Investment Bank Investment Survey, which gathered data from approximately 13 000 firms across the European Union and a sample from the United States, provides insight on how businesses are dealing with new trade realities
 

Tariffs complicate trade

Almost half (48%) of EU firms now see tariffs as an obstacle to trade. But a relatively small share, 18%, sees tariffs as a major obstacle to trade. That contrasts with the United States, where more than three-quarters of firms say tariffs are an obstacle, and as many as 39% cite it as a major barrier.
Compliance with new regulations, standards and certifications bogs down trade on both sides of the Atlantic, but arguably more so in Europe. 20% of EU companies say regulations are a major barrier, compared with 8% in the United States.

Firms rethink suppliers

New tariffs shook up global supply chains. But European firms are taking a long view and finding solutions that balance efficiency with supply chain resilience. While just 7% of EU firms reduced imports, as much as 19% started to diversify the countries from which they import.
This differs significantly from US companies, which are aggressively looking for ways to substitute imports. Almost one-third of US companies surveyed are cutting imports, and roughly 40% are switching countries.

EU firms remain committed to trade

EU firms remain well integrated into international trade (either within the European Union or outside it), with manufacturers and large firms leading the way. Roughly two-thirds of EU firms either import, export or both. That’s a much higher figure than for US firms.

*Click on the monitor icon to see the charts

Compliments of the European Investment Bank – a Platinum Member of the EACCNY

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The Commission today presented the Automotive Package to support the sector’s efforts in the transition to clean mobility. It sets an ambitious yet pragmatic policy framework to ensure 2050 climate neutrality and strategic independence while providing more flexibility to manufacturers. It also responds to calls by EU industry to simplify rules.
The automotive sector has been key to Europe’s industrial strength for decades, sustaining millions of jobs and driving technological innovation. As the world is changing, the car industry is transforming through new technologies and actors.
Today’s package maintains a strong market signal for zero-emission vehicles (ZEV) while giving the industry more flexibility to achieve CO2 targets, and supports vehicles and batteries made in the European Union. The corporate vehicles initiative will support the uptake of zero- and low-emission vehicles. The automotive omnibus enhances competitiveness by saving costs, expected to be approximately €706 million per year, and cutting red tape, while providing greater investment certainty.
Commission President von der Leyen said: “Innovation. Clean mobility. Competitiveness. This year, these were top priorities in our intense dialogues with automotive sector, civil society organisations and stakeholders. And today, we are addressing them all together. As technology rapidly transforms mobility and geopolitics reshapes global competition, Europe remains at the forefront of the global clean transition.” 
Staying the course towards clean mobility with pragmatism
The Commission presents a package that addresses both supply and demand of the automotive sector’s transition: on the supply side, it presents a review of the existing CO2 emission standards for cars and vans and a targeted amendment to those for heavy-duty vehicles (HDVs). On the demand side, it proposes an initiative to decarbonise corporate vehicles with binding national targets for zero- and low-emission vehicles.
The CO2 standards now provide further flexibilities to support the industry andenhance technological neutrality, while providing predictability to manufacturers and maintaining clear market signal towards electrification.
From 2035 onwards, carmakers will need to comply with a 90% tailpipe emissions reduction target, while the remaining 10% emissions will need to be compensated through the use of low-carbon steel Made in the Union, or from e-fuels and biofuels.
This will allow forplug-in hybrids(PHEV), range extenders, mild hybrids, and internal combustion engine vehicles to still play a role beyond 2035, in addition to full electric (EVs) and hydrogen vehicles.
Prior to 2035, car manufacturers will be able to benefit from “super credits” for small affordable electric cars made in the European Union. This will incentivise the deployment on the market of more small EV models. For the 2030 target for cars and vans, additional flexibility is introduced by allowing “banking & borrowing” for 2030-2032. An additional flexibility is granted for the vans segment, where the electric vehicle uptake has been structurally more difficult, with a reduction of the 2030 CO2 vans target from 50% to 40%.
The Commission is also proposing a targeted amendment to the CO2 emission standards for heavy-duty vehicles with a flexibility easing the compliance with the 2030 targets.
Regarding corporate vehicles, mandatory targets are set at the Member State level to support the zero- and low-emission vehicle uptake by large companies. Having more zero- and low-emission vehicles on the market, both first- and second-hand markets – will benefit all customers. As companies’ cars cover higher yearly mileages, it also means more emission reductions. It will also make zero- or low- emissions and “Made in the EU” a pre-requisite for vehicles benefitting from public financial support. 
Strengthening Europe’s own battery industry
With €1.8 billion, the Battery Booster will accelerate the development of a fully EU-made battery value chain. As part of the Battery Booster, €1.5 billion will support European battery cell producers through interest-free loans. Additional targeted policy measures will support investments, create a European battery value chain and foster innovation and coordination across Member States. These measures will enhance the cost competitiveness of the sector, secure upstream supply chains and support sustainable and resilient production in the EU, contributing to the derisking from dominant global market players. 
Less red tape and stronger enabling conditions for the transition
The Automotive Omnibus will ease administrative burden and cut costs for European manufacturers, boosting their global competitiveness, and freeing up resources for decarbonisation. Businesses are expected to save approximately €706 million per year, bringing the administrative savings thanks to all omnibuses and simplification initiatives the Commission has presented so far to around €14.3 billion per year. Among other things, it proposes to reduce the number of secondary legislation that will be adopted in the upcoming years and to streamline testing for new passenger vans and trucks. This will reduce costs while maintaining highest environmental and safety standards. The roll-out of electric vans in domestic transport is supported by measures that place them on an equal footing with internal combustion vans regarding drivers’ rest times and rules.
The Omnibus also introduces a new vehicle category under the Small Affordable Cars initiative, covering electric vehicles up to 4.2 meters in length. This will enable Member States and local authorities to develop targeted incentives, stimulating demand for small EVs made in the EU.
The Commission is also updating and harmonising car labelling rules, for customers to have complete information about the cars’ emissions when making purchases.
Background
Today’s proposals build on the Automotive Action Plan, and input from industry and key stakeholders gathered during the Strategic Dialogue under President von der Leyen’sleadership since January 2025.
In January 2025, President von der Leyen launched a Strategic Dialogue on the Future of the Automotive Industry, bringing together industry representatives, social partners, Member States, regions and civil society. Three Dialogue meetings have taken place to date, providing a platform to discuss the challenges and opportunities the sector faces.
 
 
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The Commission welcomes today’s decision by EU Member States to introduce a €3 customs duty per item on e-commerce parcels valued below €150, starting in July 2026. The new duty will help protect the competitiveness of European businesses by levelling the playing field between e-commerce and traditional retail.  

Given the rapid increase in e-commerce goods being imported into the EU, the Commission and Member States have together acknowledged the need for an urgent solution, which will bridge the gap until the setting up of the EU Customs Data Hub in 2028, as part of the EU customs reform.  

The Council and the Commission are working to enable the implementation of this temporary measure, through appropriate legal amendments and by ensuring a well-functioning IT framework.  

The permanent customs duty regime will apply once the EU Customs Data Hub is established. The EU Customs Data Hub will fully integrate new customs data related to e-commerce, providing customs services with a complete picture of goods entering or exiting the EU.  

The temporary customs duty of €3 per item will apply to parcels sent directly to consumers from third countries. This measure is separate from the ongoing negotiation of an EU handling fee on e-commerce parcels.While the customs duty eliminates a competitive advantage that the e–commerce operators currently enjoy, the handling fee is meant to compensate for the increasing costs that customs authorities incur for supervising the very significant flow of parcels.

Protecting EU business from the e-commerce boom

The new customs rules for e-commerce, proposed in the Commission‘s customs reform, will reinforce the EU customs union and better equip customs authorities toprotect theEU retail trade and its workers, as well as EU consumers. Theyare vital to create a level playing field for our EU businesses against growing competition from online platforms abroad. 

Background

Today, parcels valued below €150 that are sent from a third country directly to a consumer in the EU are exempt from customs duties. The Commission proposed the removal of this exemption in May 2023 as part of the customs reform.

The initialproposal for the removal foresaw application as from mid-2028. The Council adopted the removal of the exemption on 13th of November 2025, and called for an earlier application of the measure already in 2026.

Inaddition, in February 2025 in its communication on e-commerce, the Commission introduced the idea of a Union handling fee on goods imported directly to consumers. It was introduced in the customs reform proposal by the Council in its negotiating mandate in June 2025.The handling fee is meant to compensate for the increasing costs for customs authorities of ensuring the release of those goods for free circulation.

According to the Council mandate, the handling fee should enter into force in November 2026. The content and date are currently under negotiation between the Council and the European Parliament in the context of the ongoing customs reform proposal trilogues.
 

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Governing Council endorses recommendations of High-Level Task Force on Simplification, which include:

reducing the number of elements in the risk-weighted and leverage ratio framework
introducing a materially simpler prudential regime for smaller banks, which expands on the existing EU regime
introducing a European governance mechanism that takes a holistic view of the overall level of capital
finalising the savings and investment union – including completion of the banking union – to foster cross-border integration and allow for more efficient capital markets

The European Central Bank (ECB) today published the recommendations of the Governing Council’s High-Level Task Force on Simplification to simplify the European regulatory, supervisory and reporting framework. These recommendations were endorsed by the Governing Council and will now be presented to the European Commission.
These proposals intend to simplify the framework, while maintaining the resilience of the European banking system and ensuring that microprudential, macroprudential and resolution authorities continue to meet their objectives effectively. European harmonisation and financial integration should be fostered. International cooperation is crucial and all jurisdictions should ensure full, timely and faithful implementation of Basel III.
The Governing Council strongly encourages the completion of banking union and the savings and investment union to reduce national fragmentation and allow for more efficient capital markets.
One of the recommendations is to simplify the design of banks’ capital requirements and buffers, also known as capital stacks[1], via two changes. First, merging the existing layers of capital buffers into just two: a non-releasable buffer and a releasable buffer that authorities can lower in bad times.[2] When merging buffers, it will be important to preserve the authorities’ current powers and competencies. Second, reducing the leverage ratio framework from four elements to two, namely a 3% minimum requirement and a single buffer, which could be set to zero for smaller banks.
To improve the quality of banks’ capital, the Governing Council proposes enhancing the capacity of Additional Tier 1 capital to absorb losses when a bank is operating normally, which would be Basel-compliant and maintain resilience. Alternatively, non-equity elements could be removed from the going-concern capital stack provided that Basel compliance and capital neutrality are not compromised.
The Governing Council proposes significantly increasing proportionality under EU banking rules by expanding the existing small banks regime[3] to include more banks and simplifying their applicable rules in a prudent and harmonised manner.
To simplify the macroprudential framework, the Governing Council recommends automatic reciprocation of macroprudential measures. This ensures all banks active in a country that applies a macroprudential measure will be subject to that measure.
For the framework that applies when banks fail, the Governing Council recommends aligning the resolution requirements that apply to all banks more closely with those that apply to the global systemically important banks.[4] This should be done without reducing the components on banks’ balance sheets which can be used to absorb losses and recapitalise in case they fail, thereby keeping the EU in line with international standards and making the rules more transparent and predictable.
To achieve further harmonisation, the Governing Council recommends shifting EU banking rules from directives to directly applicable regulations.
With regard to supervision, the Governing Council recommends completing the Single Rulebook and harmonising rules on licensing, governance and transactions with related parties, which would reduce complexity. Supervisors should be given greater flexibility, for example, in how often they review banks’ internal models.
The Governing Council proposes simplifying the EU-wide stress test by streamlining its methodology and scope and making its results more useful from a banking system and individual bank perspective. The results of this revised stress test exercise would help improve the coordination between macroprudential and microprudential buffers.
The Governing Council proposes being made responsible for taking a holistic view of overall capital in the banking union and cross-country heterogeneities, which is currently missing. This could be done by expanding the role of the Macroprudential Forum, which already brings together the Governing Council and the Supervisory Board, to improve coordination and consistency across countries when setting micro- and macroprudential instruments.
With regard to reporting, the Governing Council proposes that European authorities share their data more widely with each other, allowing banks to report only once, thereby creating a fully integrated reporting system at the European level for statistical, prudential and resolution purposes. This could be done, ideally, via the Joint Bank Reporting Committee. All reporting requirements could be reviewed every three to five years to ensure they are still needed. Banks and supervisors would focus on the important data, disregarding minor reporting errors by implementing a materiality threshold for data resubmission requests. Consolidating supervisory and disclosure data would further reduce reporting efforts, with public disclosure (Pillar 3 reports) derived from supervisory reporting.
The ECB will present the proposals of today’s report to the European Commission, which is preparing a report on the overall situation of the banking system that is due to be presented in 2026.
The ECB has also published today a report entitled “Streamlining supervision, safeguarding resilience”, which discusses its ongoing agenda to increase the effectiveness, efficiency and risk focus of European banking supervision. The initiatives described in this report constitute the ongoing work by ECB Banking Supervision under the existing legislation. They complement the Governing Council’s recommendations and can be fully implemented independently of these recommendations.
The ECB welcomes the ESRB’s report on the simplification of its tasks published today.
 
 
Compliments of the European Central Bank
 
 

Banking regulations set out two main sets of requirements: going-concern requirements for banks to remain solvent when they are operating normally and gone-concern requirements to absorb losses and recapitalise if the bank fails. Both frameworks include risk-based requirements, which set requirements based on risk-weighted assets, and non-risk-based requirements which, in contrast, set requirements based on non-risk weighted assets. This results in several capital stacks, each of which is classified as either going- or gone-concern, and as either risk-based or non-risk-based. Each of these different stacks consists of different elements, i.e. specific buffers and requirements.
The new non-releasable buffer would result from merging the capital conservation buffer with the global systemically important institutions buffer or the other systemically important institutions buffer, whichever is higher. The new releasable buffer would result from merging the countercyclical capital buffer with the systemic risk buffer. The non-binding Pillar 2 guidance would be kept separate, on top of the releasable buffer.
EU banking rules include various proportionality provisions, including for small and non-complex institutions. These are banks that meet various criteria including having less than €5 billion on their total balance sheet and having limited trading activities.
The EU has two gone-concern frameworks: the minimum requirement for own funds and eligible liabilities (MREL) applicable to all banks and the total loss-absorbing capacity (TLAC) applicable to global systemically important banks.
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The Council’s presidency and the European Parliament’s representatives reached today a provisional political agreement on the revision of the foreign direct investment (FDI) screening regulation. The updated framework aims to strengthen the EU’s ability to identify, assess and address risks posed by certain foreign investments, while preserving the openness to global trade and investment.
The revised regulation builds on the functioning of the current FDI screening framework, which is key to safeguarding public order and security across the EU. The agreement strengthens the current system, mandating screening mechanisms with a common minimum scope to be carried out by all Member States, and foreign investments through EU subsidiaries covered as well.
The agreement also increases consistency across national mechanisms, reducing administrative burden for investors, and ensuring that the potential cross-border security implications of foreign investments will be screened.
 
“Today’s agreement strengthens the EU’s capacity to protect its security and public order, while ensuring Europe remains an attractive destination for investors. We achieved a balanced and proportionate framework, focused on the most sensitive technologies and infrastructures, respectful of national prerogatives and efficient for authorities and businesses alike.”
-Morten Bødskov, Denmark’s minister for industry, business and financial affairs
Main elements of the agreement
A common minimum scope of screenings
To ensure a higher degree of harmonisation across the EU, the co-legislators agreed that all member states would establish screening mechanisms covering a targeted and clearly defined set of sensitive areas where they must screen foreign investments. The minimum scope includes:

dual-use items and military equipment
hyper-critical technologies, such as artificial intelligence (aligned with the EU AI Act definitions and focused on general-purpose AI with relevance to space or defence), quantum technologies and semiconductors
critical raw materials
critical entities in energy, transport and digital infrastructure, based on a risk-based assessment by the member state where the EU target is established
electoral infrastructures (e.g. voter databases, voting systems, electoral management systems)
A limited list of financial system entities, narrowed to include only central counterparties, central securities depositories, operators of regulated markets, operators of payment systems (excluding central banks) and systemically important institutions.

A strengthened but proportionate cooperation and accountability mechanism
The agreement confirms that screening decisions remain the exclusive responsibility of the member statein which the investment is being made. Member states retain full discretion in deciding whether to authorise, condition or prohibit an investment. The final text preserved this principle while improving transparency and coordination among national authorities and the Commission.
In cases where comments from other member states or an opinion from the Commission have been issued, the screening member state will explain how these were considered, including reasons for any disagreement, without prejudice to sensitive national security considerations. According to the agreement, the Commission may assist the host member state in gathering information.
Streamlining processes and interoperability
The agreement also clarified and streamlined several operational aspects of the framework, including:

a new shared database to prevent circumvention and make exchange of relevant experience easier between authorities
an optional single portal for the electronic filing of foreign investments, to be set up if at least nine member states request it
clarification of risk factors for assessing foreign investments.

Next steps
The provisional agreement will now be endorsed by the Council and the Parliament before being formally adopted. The new rules will start applying 18 months after the entry into force of the regulation.
Background
The current FDI screening regulation has been in force since October 2020 and created, for the first time, an EU-wide framework enabling member states and the Commission to cooperate on the screening of foreign direct investments likely to affect security or public order.
Since its introduction, the number of member states with a national screening mechanism has grown significantly. However, divergences in scope, thresholds, timelines and procedures persist, creating uncertainty for investors and potential risks for the internal market. Moreover, evolving geopolitical and technological challenges, including threats to critical infrastructure, supply chain dependencies and the rapid development of dual-use technologies, highlighted the need to update the EU’s approach.
The revision of the regulation was one of the initiatives announced in the Commission’s 2024 package on strengthening the EU’s economic security.
 
 
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Remarks by  Olivér Várhelyi, Commissioner for Health and Animal Welfare of the European Commission at the conclusion of an Implementation Dialogue on import controls with stakeholders.
 
Thank you, thank you very much.
And thank you very much for showing interest.
As you know, food safety is central to my mandate as European Commissioner for Health and Animal Welfare.
We have a very extensive and robust body of legislation in this area to safeguard animal health and welfare, but also when it comes to plant health and food safety. All of this is designed with one notion in mind: to protect the health of EU citizens.
As a result, we can be proud that Europe claims the highest food safety and quality standards around the world. And we all know that Europe is also a hub of food exports. Europe is also a continent with a very high level of food sovereignty.
On the other hand, we also see that agri-food imports account for almost EUR 160 billion a year.
And we have a robust system of official controls to ensure that imports also comply with our very high standards.
Member States’ authorities are playing a crucial role at our borders to make sure that only safe products are reaching our consumers.
 
The reason why we have organised this press point is the fact that today we held the second implementation dialogue of the year related to this area.
The topic today while meeting stakeholder – agri-food companies, NGOs, etc… – was actually to discuss import controls.
I think that we have been able to look not only at the challenges but also the potential solutions to improve even further the controls and the enforcement of our rules.
I think we got some very good ideas: how to reduce administrative burden while increasing the efficiency and effectiveness of our controls – and ensuring very high safety standards all the way, when entering the internal market.
 
I already have some announcements to make on how we want to improve the functionning of the controls system.
Not only because of the stakeholder dialogue and impletementation dialogue we had – It has been a reflexion of ours since we have started working on the Vision for Agriculture and Food.
In January, as a first step, we will reinforce significantly the level of controls both in the EU and outside. The framework to deliver this will be the creation of a special Task Force on import controls where we want to gather even closer the authorities of the Member States together with our own experts, while also seeing how to make our controls more effective.
We have been discussing this topic also with our farmer community – and you have already seen the direction of the policy that we want to create during this mandate in the Vision for Agriculture and Food.
So that we make sure our farmers are not faced with international competition that is unfair, in the sense that imports should face the exact same rules and requirements our farmers have to face when they are producing food, plants or animals on the EU market.
In this mandate, we will want to do much more to reinforce these controls.
First of all, we aim at better alignment of our standards with third countries. In this regard, what was particularly highlighted in the Vision was the topics related to pesticides.
At our farmers’ request, and supported by a number of Member States, we committed to a principle which is not to allow the most hazardous pesticides – which are banned in the EU – back into the EU through imported products.
This strengthened reciprocity will guarantee that the EU’s ambitious standards do not create a competitive disadvantage for our farmers and the agri-food sector, while responding to consumers’ expectations.
The Commission has already launched an impact assessment to see how this principle can be fully implemented and operationalised, taking into account our competitive position and potential trade implications.
In the meantime, we will work immediately to update our rules on allowing imports of products with traces of particularly hazardous pesticides that are banned in the EU, following recently updated international standards
If these pesticides are not allowed in the EU for reasons related to health protection in Europe, they should not be found as residues in our food.
 
When it comes to import controls, and that is my second point, I plan to step up our already very thorough work.
We need to act to improve our level of audits directly on the ground in third countries.
This is why the Commission will increase its export related audits in non-EU countries by 50% over the next 2 years – starting from 1 January 2026.
We will step up our monitoring of non-compliant commodities and countries and adapt the frequency of our checks to those accordingly.
 
Thirdly, we need to strengthen the level of controls within the EU, namely at our main entry points – which are the sea ports.
In this regard, we will perform a higher number of checks in Member States, to ensure controls at the borders comply fully with EU standards. We will also support these Member States to properly carry out these checks.
 
With these import controls reinforced to be strong and effective, we want to send a very clear message:
For our own food safety framework, these are essential steps to be made. They are steps we are ready to make, steps that are going to be taken immediately.
I hope that with this, we are taking our food safety to the next level.
 
 
Compliments of  the European CommissionThe post European Commission | Remarks by Commissioner Várhelyi on the Reinforcement of Controls on Products Imported into the EU first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

by Piero Cipollone and Valdis Dombrovskis.
The ECB plans to prepare for the potential issuance of the digital euro by 2029, assuming the European co-legislators adopt the necessary regulation by 2026. Preparatory steps, including pilot exercises and initial transactions, could begin as early as mid-2027.

From barter to coins to banknotes to cards, the payment systems Europeans have relied on have never stopped evolving. Throughout history, innovations have made these systems increasingly sophisticated, efficient and convenient. Today, technology is transforming our society at an extraordinary pace. It is only natural, then, that our currency should also adapt. Europe needs a digital euro for the digital age.
For now, euro cash exists only in physical form – the banknotes and coins we hold in our wallets. As the most tangible expression of our single currency, cash brings us together. We know we can rely on cash. It is accepted throughout the euro area. It is easy to use and inclusive. It protects privacy. And it is our money, issued by a public institution, the European Central Bank (ECB).
However, more and more Europeans are choosing to pay digitally in shops or buy products online. We therefore need a digital form of cash to complement the banknotes and coins we are familiar with. The digital euro is designed to respond to the opportunities and challenges presented by this transition.
This is the purpose of the Single Currency Package, presented by the European Commission in 2023. It puts forward two proposals which are currently being discussed by European legislators.
The first proposal aims to ensure individuals and businesses can continue to access and pay with euro banknotes and coins across the euro area. In parallel, the ECB is developing the next generation of euro banknotes with a new design to make them more attractive, relatable and inclusive for all Europeans, while ensuring they remain as secure and sustainable as possible. Euro coins and banknotes are not going anywhere. Europeans will have the choice to pay in euro banknotes and coins or in digital euro. The digital euro is designed to complement, not replace, cash.
The second proposal sets out a framework for a digital euro. This framework ensures that the digital euro will be free, simple and inclusive. Accepted for any digital payment across the euro area, the digital euro will meet the highest cash-like privacy protection standards. It will work online and offline, supporting digital payments on websites as well as transactions made without an internet connection.
In addition, the digital euro should be seen in the broader context of the need to improve Europe’s strategic autonomy. Today, our payments landscape is dominated by non-European providers. We lack a European digital solution – accepted for any digital payments throughout the euro area – that can fill the gap left by declining cash use.
Ultimately, this makes us dependent on foreign-owned companies in an increasingly polarised and fragmented world. Ceding such a degree of technological control over the EU’s economy to others deeply impedes Europe’s ability to act autonomously on the world stage. It poses real threats to our resilience and our economic security. This is why we must act to reduce the external dependencies that might hinder our freedom to pursue policies in line with our own values and interests.
The digital euro will not compete with private means of payment. It will complement them, making it easier for European private payment solutions to scale up and to expand their reach and the features they offer.
2026 will be a crucial year for the digital euro project. At a recent summit, leaders of euro area countries welcomed the latest progress. They also emphasised the importance of swiftly completing legislative work and accelerating other preparatory steps. The ECB is preparing for the potential issuance of the digital euro by 2029, assuming the necessary legislation is adopted next year. These preparations will include a pilot exercise that is planned to begin in 2027.
The euro has become a mark of Europe’s economic strength and a symbol of our unity in the world. In 2026 the euro area will welcome its 21st member, Bulgaria. The currency that will power the prosperity of 21 euro area countries must now fully embrace the technologies of the 21st century.
The digital euro is an idea whose time has come. It is not just the latest step in the evolution of our money, it is integral to promoting our strategic autonomy and making the most of the digital age.
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Compliments of the European Central BankThe post ECB | A Digital Euro for the Digital Age first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.