Crypto News: Brussels Edition: EU vs China

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

Commission President Ursula von der Leyen will lay out the future of the bloc's relations with China in a speech this morning. Coming at a particularly delicate time, her words will set the stage for a trip to Beijing next week alongside French President Emmanuel Macron and just follows Chinese President Xi Jinping's visit to Moscow, where he signaled ongoing support for Vladimir Putin. The bloc is trying to re-balance its economic relationship with one of its largest trading partners and limit the risks with a geopolitical rival that's becoming increasingly difficult to handle. Amid rising tensions on trade, a new EU instrument to counter China's coercive practices is coming in few months, with a debate on export controls gaining traction in Brussels. On top of that, a battle over securing critical raw materials across the planet is becoming more visible, and concerns about some popular Chinese tech firms, including TikTok, have made cybersecurity issues resurface.

— John Ainger and Jorge Valero

Nuclear Talks | Final negotiations between the European Parliament and member states on scaling up renewable energy sources this decade dragged through the night and were still ongoing as of 7 a.m. this morning, hamstrung by the issue of nuclear. France has been pushing to get some allowances for the fuel in producing green hydrogen.

Satellite Sanction | The US is urging the EU and other allies to sanction a Chinese satellite company for allegedly supporting Russia's military operations in Ukraine, we're told. Meanwhile, we also found out that Turkey's parliament will approve Finland's bid to join NATO today.

Sanctions Enforcement | The EU is planning to launch a project with nine member states to identify gaps in the sanctions regime against Russia and to improve coordination between national authorities when enforcing penalties. It will be the first time that the bloc's executive arm is supporting member states on sanctions enforcement with specific resources on this scale.

Summer Risks | Europe has navigated a winter crisis that threatened to choke energy supplies and overwhelm its economy, but officials are warning that the squeeze may not yet be over. The bloc needs to replenish its stockpiles of gas — but the perils from a year ago will be fresh in policy makers' minds.

Unlocking Subsidies | The EU and the US are nearing an agreement on critical minerals that would provide the bloc's companies access to some of the massive green subsidies offered in President Joe Biden's Inflation Reduction Act. The deal will likely be similar to an agreement the US signed with Japan this week — here's what that contained.

UBS Triumph | After the fall of Credit Suisse and its hastily arranged merger with it rival, Switzerland sees just one big winner and a lot of losers. While UBS looks a winner, just about everything that once made the country a byword for world-class finance — stability and discretion combined with global ambition — has been tested and found wanting.

Keep Hiking | The ECB should push on with interest-rate increases despite the turbulence around the financial industry, though the pace of hikes may need to slow, according to Governing Council member Peter Kazimir. Here's what else he had to say.

Not Enough | Europe isn't investing enough in renewable energy and should do more to speed up permitting, interconnections and reduce bureaucracy, according to one of the biggest wind farm developers. EDP CEO Miguel Stilwell de Andrade pointed the finger at member states, saying EU guidelines haven't been adopted in most countries.

Real Meat | Italy's government introduced a draft law that, if approved, will ban the production and sale of cultivated food and meat. It appears to be a preventive move aimed at signaling the government's determination in defending Italy's culinary tradition, but which may anger environmental activists.

Swiss Succession | With Switzerland's banking crisis barely subsided, the country's central bank will soon need to find a successor to one of the key players behind the scenes. Andrea Maechler, the governing board member in charge of markets, has only one quarterly interest-rate decision left, and replacing her will be no easy task.

Banking Fees | Germany, France, Italy and seven other EU nations expressed opposition to a proposed ban on fees that funds pay banks to offer their investments, citing risks it could reduce advice to savers and the source of capital that they represent. Lobby groups including the German Investment Funds Association have also criticized the proposed ban.

Market Fizz | To celebrate romance or toast a great performance, pop open the Champagne, of course. Along with their sex appeal, the finest bottles also pour out heady investment returns. And as the market bubbled ever higher in 2021 and 2022, speculators pounced to outperform the S&P500 and gold.

The use of private jets is soaring in Europe and with it the amount of carbon dioxide released into the atmosphere. The number of flights increased 64% last year leading to an almost-doubling of CO2 emissions, according to a study conducted by Dutch environmental consultancy CE Delft, commissioned by Greenpeace. The UK is the top destination, with Paris to London the most popular route, according to the study.

All times CET.

12 p.m. King Charles III speaks in the Bundestag in Berlin
European Parliament addresses rule of law in Europe
Climate chief Frans Timmermans, energy commissioner Kadri Simson speak at the 8th Clean Energy Summit
Competition chief Margrethe Vestager participates in EU-US Joint Technology Competition Policy Dialogue in Washington; speaks at 2023 Summit for Democracy