1. 📱EUROPEAN CONSUMERS PAY THE PRICE FOR BRUSSELS’ REGULATORY AGENDA

For years, the EU has sought to boost its own tech sector at the expense of American companies which it has deemed too powerful under its digital regulatory framework. But as one recent article makes clear, ordinary European consumers and businesses are also picking up the tab.

The decision reflects an increasingly common approach US companies are forced to deploy to grapple with the increased costs imposed under the EU’s digital regulatory framework. Higher advertising costs mean increased marketing expenses for businesses operating in Europe, and – while these regulations may generate welcome headlines in Brussels – these costs don’t just disappear. They get passed down the chain to the small businesses, brands, and entrepreneurs who depend on these platforms to reach customers instead, ultimately forcing the EU’s own citizens to foot the bill.

For the EU, the move also demonstrates how their regulatory approach can backfire as fines, fees, and compliance expenses continue to pile up under the EU’s DMA and DSA. While Meta may be the one of the first companies to take this step, they surely won’t be the last.

This development should serve as a warning sign for Brussels. As long as the Commission maintains its current regulatory framework, other American “gatekeepers” will inevitably follow suit. And when they do, it won’t just be U.S. tech firms absorbing the impact – it will be the European businesses and consumers.

2. 🇨🇳 CHINA’S GRIP ON EUROPE’S PORTS

Recent reporting shows China holds stakes in more than 48 European ports, including Hamburg and Rotterdam, and fully controls the Port of Piraeus. Lawmakers have spoken out and highlighted that roughly 74% of all E.U. goods move through seaports, making them strategic assets at the heart of Europe’s economic security.

China is the E.U.’s second-largest trading partner, with bilateral trade hitting €732 billion in 2024. Brussels itself calls China “simultaneously a partner, a competitor, and a systemic rival,” a contradiction growing harder to ignore.

The E.U. is currently pursuing the Industrial Accelerator Act, which did not name China directly, but officials have provisions that aim to cut reliance on Chinese batteries, solar panels, and electric vehicles in order to decrease dependence. Beijing’s state media, the China Daily, has already called the effort “protectionist” and insists it would add friction to what is otherwise a “win-win partnership.”

Europe’s reliance on China has grown to levels where they no longer feel in control. Their dependency on other countries has once again put them in a difficult position.

🕵️ VON DER LEYEN’S “INTELLIGENCE CELL”

European Commission President Ursula von der Leyen is pushing to establish an internal “intelligence cell” intended to collect and centralize intelligence from across Europe, overseen by the Commission President herself, according to the European Conservative.

The initiative, announced in November, was framed as a measure to protect the bloc from Russian digital attacks and sabotage. But the power grab triggered immediate backlash from European capitals and the EU’s own diplomatic service, which already operates its own intelligence-sharing center.

This is Brussels doing what Brussels does best, using a crisis as a pretext to strip member states of sovereignty and consolidate control at the top. Von der Leyen has since been forced to soften the plan following a standoff with EU foreign affairs chief Kaja Kallas.

The EU already struggles to respect the boundaries of its member states. The last thing Europe needs is an unelected Commission president running her own intelligence apparatus.