European Commission President Ursula von der Leyen participated in the meeting of the European Council of 16-17 October, a dense summit that touched on current pressing issues for the European Union.
Heads of State and Government reached conclusions on energy, at a moment in which prices remain high due to the situation in the Middle East. They also discussed macroeconomic imbalances, especially in the EU-China relation, and reiterated the importance of making progress with key Commission proposals such as EU Inc., the Industrial Accelerator Act, the European Grids Package, and the remaining simplification measures.
During the closing press conference, President von der Leyen underlined the urgency of the situation: gas prices have risen by 140% and diesel prices have doubled. She described some of the short-term measures the Commission has undertaken: the extension of the temporary State aid Framework, the postponement of the implementation of the Methane Regulation, and the strategic dialogue on EU refineries, amongst others. She also announced the upgrading of the taskforce on demand aggregation and matchmaking.
However, the President insisted that in the mid-term Europe needs to work on its energy independence: "As long as Europe depends on imported oil and gas, our prosperity remains exposed to events beyond our control. This is why it is so important to stay the course of the transition that is a transition towards affordable, clean and homegrown energy source's - nuclear and renewables." That is the objective of the Grids Package and other measures put forward by the Commission.
On trade imbalances and the EU-China relation, EU Leaders agreed that China is an important partner but the partnership needs to be rebalanced. "In 2025, our trade deficit with China was one billion euro per day. In 2026, it will be even higher. This is structural, and it is unsustainable. We all agree that it cannot go on," President von der Leyen said.
She described the main courses of action: dialogue with Beijing, which is already delivering results, especially on hybrid cars, export controls, and market access for agri-food products. This must be accompanied by better using of the trade instruments that the EU has at its disposal already and the development of new instruments.
In that sense, the President announced a new mechanism to avoid becoming dependant on a single supplier. She said: "In December, the Commission will present DiversifyEU. It will be country-agnostic and will mean faster de-risking by companies." She also explained: "We will also propose a Solidarity Mechanism. It will set out what we can do when one of us is subject to coercion or retaliation. And building on the Franco-German paper, we will develop a new instrument for decisive action by limiting the access to the Single Market, where this is in the Union's interest, fast and immediately."
The Leaders also took stock on the negotiations for the next MFF, the Union's long-term budget. President von der Leyen made clear that the budget needs to address current European priorities, which the European Council has repeatedly asked for and insisted on preserving enough flexibilities in a rapidly changing world drawing on the lessons of recent years such as COVID, war in Ukraine and energy crises.
Solidarity with Ukraine
Leaders welcomed President Volodymyr Zelenskyy on Friday and reiterated the EU's unwavering solidarity with Ukraine.
President von der Leyen explained some recent strands of support: "On defence, we are accelerating support for Ukraine's most urgent needs. The Ukraine Support Loan is delivering. We have disbursed almost €16 billion under the defence leg of the loan. (…) We continue to support Ukraine's budget. A further €17 billion can still be disbursed before the end of the year, provided Ukraine delivers the necessary reforms."
There was also a call on international partners to step up their support, considering the EU and its Member States currently account for 80% of Ukraine's external aid.
The Leaders condemned Russia's attacks on civilians and critical infrastructure in Ukraine, as well as the intensification of hybrid attacks and sabotage against the EU and its Member States.
During remarks with Presidents Costa and Zelenskyy, President von der Leyen stated that the EU is working on a 22nd package of sanctions and confirmed: "One thing is absolutely clear: We will not lift any sanctions unless Russia stops the war."
Progress on protecting the EU's borders
Another topic on the table was migration. President von der Leyen highlighted what has been achieved: "The Pact on Migration and Asylum is now fully applicable. Member States have made significant progress in its implementation. We have mandatory screening and border procedures in place – the same standardised procedure across all Member States. We have a new Return Regulation, and we have strong partnerships along all key migratory routes."
This action has translated into clear results as illegal border crossings and asylum applications have considerably declined while returns have increased.
The President said that work must continue to fully implement the Pact on Migration and Asylum and that the Commission will propose a European Emergency Response Framework to respond to serious threats at the external borders. "Our message is clear: we will always uphold our values and fundamental rights, but we will never compromise on protecting our borders. We will now work closely with Member States and come forward with the framework by the end of the year," the President said.
