German migration politics hit Schengen

HOWDY. Welcome to Tuesday’s edition of Brussels Playbook. I’ll be back with you for Wednesday’s edition too. Here at Playbook Towers, we’re wishing everyone could be a little more like Mario Draghi. Sure, we love the “whatever it takes” attitude, but we’re specifically talking about the man’s ability to speak in quotes. 
The banker is putting the politicians to shame. “We’re going to be a society that basically shrinks,” he said Monday, in just one example of terse clarity. Then again, Berlin’s finance minister was just as succinct: “Germany will not agree” to more group debt, a key Draghi recommendation. More on all that in a bit. First …
SIREN — GERMANY THROWS UP BORDER CONTROLS: Germany will institute checks at its land borders starting next week for six months in a bid to cut down on irregular migration, Interior Minister Nancy Faeser announced. Representatives from the three parties of the ruling coalition, the CDU/CSU and several leaders of Germany’s states are due to discuss the measures this afternoon at the interior ministry.
So much for Schengen: Germany shares a border with nine countries, all in the Schengen zone: Poland, Austria, France, Denmark, the Czech Republic, Switzerland, Belgium, Luxembourg and the Netherlands.
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Political signal: Dutch MEP Raquel García Hermida-Van der Walle (from Renew) issued a statement Monday deploring the move, which she said would hurt Dutch and German border communities. “One of our most important freedoms is being jeopardised to send a political signal. Europe will not become safer with political signals, but rather with investments to strengthen external borders and police cooperation,” she said.AfD influence: But with a regional vote coming up later this month in Brandenburg, Germany’s Social Democrat-led federal coalition isn’t waiting for the far-right Alternative for Germany to notch yet another win before taking conspicuous action on migration. The issue fueled a historic showing for the AfD in recent elections in Thuringia and Saxony — not to mention the rise of an anti-migration left-wing party the Sahra Wagenknecht Alliance. (Further reading on the ways in which Germany’s radical right and left are indistinguishable here.)
ADD ON HUNGARY’S THEATRICS: Berlin’s announcement must have them grinning in Budapest, which is planning its own security stunt. Taking a page from the playbook of the governors of Florida and Texas in the U.S., the Hungarian government amplified threats to transport migrants to Brussels — Deputy Interior Minister Bence Rétvári even held a press conference in front of a fleet of buses last week. Playbook can just imagine German border guards stopping the Hungarian bus en route to Belgium.
Belgian Foreign Minister Hadja Lahbib lashed out at Budapest’s  “provocation that contradicts European obligations.” Read more from Csongor Körömi.
Playbook thought bubble: During the Belgian Council presidency earlier this year, Lahbib burnished her reputation for taking a tough line on Budapest. Ahead of her own hearings in the European Parliament as Belgium’s Commission nominee — potentially for a migration-related role — this confrontation with Hungary’s Viktor Orbán can only boost her prospects.
VON DER LEYEN’S NAIL-BITER: Commission President Ursula von der Leyen is skidding toward the finish line ahead of Wednesday’s planned meeting with top MEPs to map out how the EU executive will look for the next five years. As much as her team insists this is just one step in an “ongoing” process, failure to lay out the new roles — and who she wants to fill them — would be an embarrassment, agreed insiders speaking to POLITICO’s Barbara Moens and Max Griera.
Misplaced priorities? One diplomat said von der Leyen had been focusing too much on gender balance without having the necessary tools to achieve that goal, adding that the hole she’s digging for herself is becoming “deeper and deeper.”
Another way of putting it: “She asked each European leader for two candidates. Instead, she got middle fingers,” said one of the European officials who was granted anonymity.
But but but: The goal of gender parity is officially ensconced in the Parliament’s rules when it comes to signing off on the new Commission roster. When von der Leyen meets with the Conference of the Presidents (the fancy name for the leaders of the Parliament’s political factions), she’ll have to explain the job titles and responsibilities she has in mind for each post, as well as “other horizontal questions, including gender balance.”
LEARNING FROM THE PAST: Those rules for what von der Leyen has to tell the top MEPs are new, adopted only in December. The aim is to avoid problems from five years ago, when von der Leyen debuted a slate of ambiguous new posts that didn’t necessarily match with the Parliament’s committee structure.
For example: The Parliament’s committees are supposed to hold confirmation hearings for the new commissioners. But which committee, exactly, is supposed to evaluate the commissioner for protecting/promoting our European way of life? Similarly, if one executive vice president is in charge of multiple, disparate issues, the MEPs need time to sort out how they’ll vet von der Leyen’s pick for the post — or push back.
So in theory: Even if von der Leyen has a solid organigram in her head Wednesday morning, the Parliament could push her to go back to the drawing board. (At the very least, the Parliament loves the idea of having this much power.)
PAST ACCUSATIONS HAUNT BULGARIAN NOMINEE: Not helping in the gender parity department: Knives are out for Ekaterina Zaharieva, Sofia’s ex-foreign minister and female nominee for the Commission from Bulgaria’s EPP-aligned GERB party.
Passport scandal: Back in 2018, Zaharieva was caught up in a scandal around selling Bulgarian passports. As Euractiv reported at the time, an ex-immigration official accused Zaharieva, while serving as justice minister, of going along with a scam led by other top Bulgarian pols to give out citizenships in exchange for cash. Zaharieva denied the accusations, and there was no judicial follow-up.
Not letting it go: Nonetheless, political opponents are also eager to remind everyone of her association with the scandal. “Given that one of the top priorities of VDL is rule of law,” Bulgarian Renew MEP Nikola Minchev told my colleague Antoaneta Roussi, the old accusation “casts a shadow over” Zaharieva’s candidacy.
Waiting in the wings: Bulgaria was the only country to propose both a man and a woman for the Commission, meaning von der Leyen could easily just opt for former Environment Minister Julian Popov, whose Bulgarian party is linked to the Renew group. That, however, would drop her count of women commissioners back into single digits.
On that topic: Slovenia confirmed Marta Kos as its next European commissioner nominee after the previous male candidate withdrew his candidacy.
STIFLING THE SPANIARD: Von der Leyen is expected to offer the Socialists one big trophy: Installing Spain’s Teresa Ribera — an architect of the Paris climate accords — in a top role overseeing climate policy. And her center-right European People’s Party is already plotting ways to undermine Ribera if she does. Karl Mathiesen, Max Griera and Barbara Moens lay out the battle plan.
“GLACIAL PROGRESS” OR “SLOW AGONY”: As ex-Italian Prime Minister Mario Draghi presented his highly anticipated recommendations on catching the EU’s economy up to other superpowers, a journalist asked if his message was “implement your report, or die?”
His reply: “It’s ‘Do this, or it’s a slow agony.’” 
Agony it is, then. Draghi’s vision of how to respond — one focused on clean energy, high-tech and resilience — is ambitious, Carlo Martuscelli writes. The proposals span energy market reform, looser merger rules and ― one for the Brussels nerds here ― even changes to the EU’s legislative consultation process. He calls for an extra €800 billion a year in private and public investment. Yet there’s little chance of this ambition coming to fruition. Read Carlo’s full article here — come for the sharp analysis, stay for the extended birthday cake metaphor. 
Case in point — German squabbling: It took just three hours for German Finance Minister Christian Lindner to rubbish the report, especially the part about taking on new joint debt. He told POLITICO: “Germany will not agree to this.” Then again, Vice Chancellor Robert Habeck, from the Greens, endorsed the report. Berlin Playbook has more on the discord in the German capital.
Prepare for a “familiar pattern,” said S&P Global Market Intelligence Vice President Ken Wattret: “Glacial progress in the absence of an existential crisis.”
Existential enough for you? Carlo Martuscelli and Victor Jack report from Germany’s Black Forest region, where Europe’s industrial heartland is in a state of decay.
SO WHAT CAN WE EXPECT? A big budget reshuffle is all but certain. Draghi called for an overall reform of how the EU cash pots are carved out, putting in writing an idea the Commission is already working on and that can gather consensus among EU countries. An EU diplomat reached out to POLITICO to say that “no expenditure item must be sacrosanct” — meaning that the two-thirds of the EU budget going to agriculture and cohesion could be raided for other purposes.
Such as: The next EU budget should include a competitiveness pillar to fund “EU public goods and multi-country industrial projects” commonly agreed in sectors such as semiconductors, grids and space, Draghi’s report says. It also suggests channeling funds for poorer regions to finance industrial and digital projects. Financial Services Pro subscribers have access to the definitive roundup of predictions of what will and won’t happen, by Giovanna Faggionato and team.
COUNTERPOINT: The opus did win over some fans — among them Elon Musk. “Mario Draghi’s critique is accurate,” the X chief said, adding that “a thorough review of EU regulations to eliminate unnecessary rules and streamline activity in Europe would revitalize growth and strengthen competitiveness.”
Keep calm and carry on, stiff upper lip, etc: The FT’s editorial board concludes its assessment thusly: “Draghi’s timely report should focus the minds.” Righto! (That’s Playbook’s equivalent of embracing competitiveness.)
COURT WEIGHS IN ON VESTAGER’S LEGACY: Over her decade as the EU’s top competition cop, Margrethe Vestager wasn’t afraid to take on “shiny” cases, using experimental arguments to cut tech giants down to size. Today, just weeks before the end of her tenure, the EU’s top court will determine whether those efforts amounted to anything at all.
At issue: Vestager’s battles over Apple’s sweetheart tax deal and a €2.4 billion antitrust penalty for Alphabet over Google Shopping. Francesca Micheletti has more details on the cases and why they matter. 
Spinning the results: The Commission EVP is determined to have the last word, no matter what the verdict. In a rare move, Vestager has booked a press conference for 11:15 a.m. this morning to discuss the rulings. 
SPANISH PM HAILS XI AS “DEFENDER OF PEACE”: Spanish Prime Minister Pedro Sánchez had very warm words for Chinese President Xi Jinping when they met in Beijing on Monday. Never mind NATO’s characterization of China as a “decisive enabler” of Russia’s war against Ukraine — or Beijing’s military aggression in the South China Sea — Sánchez had his own assessment: “China and Spain are two friendly nations, defenders of peace and committed to the multilateral order.”
A little protest on EVs: Chinese Premier Li Qiang, the state’s No. 2 official, did use Sánchez’s visit as yet another chance to complain about the EU’s tariffs against made-in-China electric vehicles — a decision on which Madrid backed Brussels. Li, according to the Chinese readout, criticized the EU’s overcapacity claims as “unfounded,” asking Madrid to play a “constructive” role in EU-China ties.
Ask and ye shall receive: Several Chinese EV-makers — especially Tesla Shanghai — will see slightly lower anti-subsidy duties ahead of key talks, MLex reports.
HELLUVA PER DIEM: Former Vice President of the European Parliament Ryszard Czarnecki, from Poland, faces up to 15 years in prison for allegedly filing fraudulent travel claims totaling €203,000. Investigations revealed he claimed expenses for trips using various vehicles, including a truck and scooters, while living closer to Brussels than stated. Czarnecki blames staff for the discrepancies. Wojciech Kość has more.
NOVÁK’S SECOND ACT: Katalin Novák, who quit as Hungarian president after pardoning a man implicated in a child sex abuse scandal, has a new job: CEO and co-founder of X·Y Worldwide, an NGO “dedicated to solving the world’s collapsing Birth rates — the biggest threat to humanity of our time.”
TRUMP AND HARRIS FACE OFF: The big election debate between former U.S. President Donald Trump and current U.S. Vice President Kamala Harris kicks off at 3 a.m. Brussels time tonight. It will no doubt be spicy: Harris has already said Trump is “going to lie,” while Trump called the rules “rigged.”
LATEST FROM GAZA: Israeli airstrikes hit a humanitarian zone created to shelter displaced people in southern Gaza, with Israel saying it had targeted a Hamas command center. Reuters has more.
— Informal meeting of the EU’s agriculture and fisheries ministers in Budapest, Hungary from 9 a.m. Arrivals and doorsteps from 8 a.m. Press conference expected at 12:30 p.m. Watch.
— Commission Executive Vice President Margrethe Vestager holds a press conference following Court of Justice of the EU rulings on Apple state aid and Google Shopping competition cases at 11:15 a.m. Watch.
— Commission President Ursula von der Leyen receives Finland’s Prime Minister Petteri Orpo at 10 a.m. Watch. … Parliament President Roberta Metsola meets Orpo at noon. 
— Executive Vice President Valdis Dombrovskis and Financial Services Commissioner Mairead McGuinness hold roundtable on preventing sanctions circumvention.
— Commission Vice President Věra Jourová speaks at debate on AI and democracy; meets with Thibaut Bruttin, director general of Reporters Without Borders; speaks at the Schwarz Impulse event “Ignite Innovations.”
— EU High Representative Josep Borrell in Egypt; meets with Badr Abdelatty, Egypt’s foreign minister; meets with Ahmed Aboul Gheit, secretary general of the League of Arab States; participates in the League of Arab States ministerial; holds bilaterals.
— Home Affairs Commissioner Ylva Johansson in Egypt; visits the UNHCR reception center for refugees.
— Internal Market Commissioner Thierry Breton receives Czech Industry Minister Jozef Síkela.
—  European Economic and Social Committee President Oliver Röpke is in Tirana, Albania; participates in the debate on building a resilient Europe as a part of the Connectivity Forum; meets with Albania’s Prime Minister Edi Rama; meets with Ambassador Silvio Gonzato, head of the EU delegation in Albania. 
WEATHER: High of 17C, cloudy, chances of rain.
COMMISSION PHONE BOOK UPDATE: Corporate lobbyists and crusading NGOs were united in their ire at the European Commission’s decision last year to remove listings for rank-and-file staff from the EU WhoisWho directory. The European Ombudsman looked into it, but the anonymous Eurocrats look likely to stay that way. 
In an opinion due at 10 a.m. this morning, Ombudsman Emily O’Reilly is expected to ding the Commission for bad communication about the decision, even as she sympathizes with its duty to protect staff.
AFD’S EUROPARTY: Europe of Sovereign Nations, the new European Parliament group led by the Alternative for Germany, has now also applied for registration as a European political party, which would make it eligible for public funds. Members.
JOB MOVE: Christophe de Nijs is Belgium’s new director general for European affairs and coordination. He was previously part of Belgian Foreign Minister Hadja Lahbib’s Cabinet and, according to his X bio, the “proud self-appointed president of the Ginger Belgian Diplomats Society.”
SURREAL, OR JUST FAKE? If you’ve recently acquired works by Joan Miró or Claire Colinet in Brussels, you should probably check their authenticity. Two Brussels art galleries sold fake art, leading to fraud charges against four dealers, the Brussels Times reported. Over a dozen seized pieces included Art Nouveau works worth thousands of euros.
BIRTHDAYS: MEP Łukasz Kohut; former MEPs António Marinho e Pinto, Georgi Pirinski, Michèle Alliot-Marie, Renate Sommer and Monica Frassoni; CNBC’s Hadley Gamble.
Jumping the gun: We prematurely noted the birthday of Ole Funke of the German federal chancellery on Monday. It’s today.
THANKS TO: Max Griera, Stuart Lau, Antoaneta Roussi, Hans von der Burchard, Giovanna Faggionato, Eddy Wax, Barbara Moens and Jacopo Barigazzi; Playbook reporter Šejla Ahmatović and producer Dean Southwell.
**A message from Connect Europe: This week, we announced that ETNO becomes Connect Europe! This transformation goes beyond a simple rebranding; it marks our commitment to advancing the digital age and positioning Europe as a technology and innovation leader. Visit to explore our revamped digital platform.**
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