EU draft statement from summit agree to:

  • Phaseout dependency on Russian gas, oil and coal imports
  • Two diversified supplies and roots including through the use of LNG and development of biogas and hydrogen
  • To accelerate development of renewable energy sources, boosts interconnection of European gas and electricity networks
  • Ensure sufficient levels of gas storage and to coordinate refilling operations
  • To develop EU production capacity of microchips to secure 20% of the global market share by 2030
  • To improve EU food security by reducing dependencies on imported agricultural products and inputs
  • Secure financing for all this through best use of EU recovery find, leveraging budgets, through the EIB, and through completing the banking union and Capital Market union
  • National fiscal policies will need to take into account the overall investment needs and reflect the new geopolitical situation
  • Pursue sound fiscal policies which in short debt sustainability for each member state, including by incentivizing investments that are growth enhancing

Globalization is shifting more to nationalism . The pendulum is swinging for energy, food, chips, etc. It is a matter of national security now, not the low cost supplier of the past.

/EURUSD