Crypto News: Brussels Edition: Countering Russia

Welcome to the Brussels Edition, Bloomberg's daily briefing on what matters most in the heart of the European Union.

Accelerating the EU's enlargement will be at the top of the agenda of a gathering of European and Western Balkans leaders in Tirana today. The discussions are part of a broader effort to keep those aspiring to become EU countries close to the bloc amid efforts by Moscow to wield its influence in the region and a long-delayed membership process. A key motivation for Russian President Vladimir Putin's invasion of Ukraine was to sow turmoil more broadly in Europe, Albanian Prime Minister Edi Rama told us in an interview. EU leaders in Tirana will stress the importance of aligning with the bloc's Russia sanctions, an official told us, adding that they would also offer the countries support in dealing with the fallout from the war, especially on energy.

— Natalia Drozdiak and Irina Vilcu

Climate Tariffs | The EU and the US are weighing new tariffs on Chinese steel and aluminum as part of a bid to fight carbon emissions and global overcapacity, we've been told. The move would mark a novel approach, as the US and EU would seek to use tariffs — usually employed in trade disputes — to further their climate agenda.

Russia Sanctions | The EU is set to impose new sanctions on Russia's drone sector and other technologies used for military purposes as soon as next week, sources tell us. The plans come as Moscow fired missiles that hit Ukrainian energy infrastructure, triggering emergency blackouts.

TTC Trouble | The EU and US committed to resolving a dispute over electric-vehicle incentives that threatened to spark a trade war at the TTC meeting yesterday, but they didn't get specific concessions from Washington and time is running short. "We don't have long — the IRA is due to be implemented next January," trade chief Valdis Dombrovskis said.

Boosting Investments | The EU is proposing an amendment to its key financial market rules in the latest bid to boost investment into smaller and mid-sized firms. The planned change will increase the market capitalization threshold to €10 billion, below which the re-bundling of trading execution fees and research fees is allowed, according to a draft text we've seen.

Hungary Funding | EU member states may push back a final decision on billions of euros of funding for Hungary after the bloc's executive arm recommended delaying payments until Prime Minister Viktor Orban's government allays concerns over graft and the erosion of the rule of law. French Finance Minister Bruno Le Maire said member states needed more time to study the Commission's conclusions.

Soft Touch | The asset management industry has a softer interpretation of the EU's green finance rulebook than was intended by its authors, according to Mairead McGuinness. The financial markets commissioner told lawmakers yesterday that the EU would prepare a consultation for financial institutions early next year to help understand how the regulation is being implemented — and stop greenwashing.

Curbing Inflation | European Central Bank officials from the region's two biggest economies said they're determined to bring record inflation back to their 2% target. Speaking in a joint TV interview on German channel Phoenix, Bundesbank President Joachim Nagel and Bank of France Governor Francois Villeroy de Galhau said the ECB's tightening push will eventually tame price growth that's currently running at five times its goal.

Dutch Proposal | The Netherlands proposed a gas price cap to help keep prices in check during next year's storage filling season as EU member states grapple with the best way to lower costs. The Dutch idea is to put a cap on prices for gas used for storage, which in the summer helped to trigger an unprecedented surge as countries raced to stock up.

Under Fire | Italian Transportation Minister Matteo Salvini criticized the bloc's planned ban on new combustion-engine cars next decade. "Outlawing petrol and diesel cars by 2035 while calling for a switch to Euro-7 standards by 2025 makes no economic, environmental or social sense," he said.

Polish Funds | Poland's ruling party leader Jaroslaw Kaczynski backed efforts to secure EU funding by his prime minister, who has come under fire from a coalition ally for seeking a compromise with Brussels. The crucial support of Poland's most powerful politician gives Mateusz Morawiecki leverage as he seeks a way to access €34.5 billion in post-pandemic aid from the EU.

Ready for NATO | Finland took a step toward the national ratification of its entry into NATO even as Turkey and Hungary are yet to approve the step. The government in Helsinki yesterday submitted the accession proposal to the parliament in a bid to ensure it can complete the process swiftly once the remaining ratifications are received.

Still Flowing | Britain's natural gas is still flowing to mainland Europe at a time when the fuel would typically be kept at home, underlining the country's key role in keeping the continent warm this winter. Meanwhile, Labour leader Keir Starmer vowed to keep Britain out of the EU single market, as he sought to win over Brexit supporters.

Russia's crude oil shipments to Europe are shrinking fast. An EU ban on seaborne imports from the country is now in effect, shutting off a market that was taking more than 1.5 million barrels a day before Moscow's troops invaded Ukraine in late February. The flow dropped to less than one-fifth of that volume in the four weeks to Dec. 5 and will fall close to zero once the sanctions really bite.

All times CET.

2:30 p.m. Joint press conference with Commission President Ursula von der Leyen, EU Council President Charles Michel, Albanian Prime Minister Rama following EU-Western Balkans Summit in Tirana
4 p.m. Joint press conference with Czech Finance Minister Zbynek Stanjura and Commission Vice President Dombrovskis following EU finance ministers meeting in Brussels
4:40 p.m. Energy Commissioner Kadri Simson speaks at Atlantic Council event