A picture is worth a thousand tariffs: Ursula von der Leyen got her one-on-one meeting with Donald Trump at the G7 in Canada – and a thumbs-up photo with the US president to boot. “I discussed with President Trump critical issues, from Ukraine to trade. On trade, we instructed the teams to accelerate their work to strike a good and fair deal. Let’s get it done,” she wrote on X at around 3.30pm Kananaskis time.

Take that, JC: Her predecessor Jean-Claude Juncker had criticised her in an FT interview for not engaging one-on-one with the US leader, while former Commissioner Thierry Breton has also argued that the EU hasn’t been assertive enough. Is von der Leyen’s understated strategy paying off? Only time will tell – Trump has said he will hit the EU with 50% tariffs if no deal is reached by 9 July.

“Donald is right”, von der Leyen said at the G7, in reference to a serious problem in the global trade system. She reiterated the EU’s line that tariffs hurt consumers and are bad for business, before arguing that G7 nations should unite to stand up to China. She wasn’t the only EU leader giving ground to the Donald – António Costa gifted him a Cristiano Ronaldo football shirt, with the words “playing for peace” scrawled on it.

Meanwhile, Donald Trump left the G7 early to address the escalating conflict between Israel and Iran, joining other leaders in signing a statement criticising Tehran.

In today’s edition:
・EU negotiators failed to agree a new anti-corruption law.
・Coming today: a deregulation drive to help the defence industry.
・There’s a squabble over cancelling visa-free travel to stop EU asylum claims.
・And: The most popular parliamentary assistant.

This is Eddy Wax with Magnus Lund Nielsen in Strasbourg, and Nicoletta Ionta in Brussels. We welcome feedback and tips here. You can sign up here.

Qatargate, Huawei-gate, Hololei-gate, Reynders-gate... With the number of corruption scandals swirling around its institutions, you’d think the EU would want to make a big, united show of responding in a tough way. But one of the Commission’s landmark bills – proposed just four months after Qatargate – is hitting a rocky patch.

Abuse: An anti-corruption directive faltered in negotiations between EU institutions in Strasbourg last night, in part because Giorgia Meloni’s Italian government is unhappy with the inclusion of “abuse of office” as one of the definitions of corruption that would count as a crime across the EU. Euro-parliamentarians want this to be mandatory.

Meloni’s government decriminalised “abuse of office” – with the support of liberals – preferring instead to sanction it with harsh administrative penalties. A court upheld that move just last month. Several people familiar with the negotiations said this was the main sticking point as negotiators headed into another round of talks last night in Strasbourg. It’s also a concern for Germany, which does not have an identical article in its criminal code.

Nips and tucks: If the directive becomes law, it won’t mark a sea change in the fight against corruption in Europe. But it would harmonise criminal sanctions across member states, guide governments in setting up anti-corruption bodies, and widen the scope of what counts as corruption. With an EU ethics body all but buried thanks to a recalcitrant EPP, it would also send an important political signal that the EU did something meaningful – rather than merely tweaking the Parliament’s internal rules – in the wake of a scandal the size of Qatargate.

Now what? Negotiations dragged on until midnight, but no deal was reached. Dutch progressive MEP Raquel García Hermida-van der Walle, who cancelled an optimistically scheduled press conference due to take place this morning, said: “We call on member states to reconsider their position and make every effort to reach a good agreement in the coming days.” She added that countries are “almost unanimously” pushing for a strong law.

There is talk of another in-camera negotiation before the end of the month. The Polish presidency of the Council told reporters last night: “We are hopeful that negotiations will lead to a positive outcome soon.”

“Biggest stumbling block seems to remain the criminalisation of abuse of functions,” said the Commission’s Jeroen Blomsma, referring to Parliament and Council’s failure to reach an agreement on the new anti-corruption Directive. He added that he hopes “this extra time will lead to a great agreement later.”

“You don't solve problems with begging letters, but with courage and leadership. Brussels deserves leaders with backbone, not egos,” said Belgian MEP Assita Kanko (ECR), commenting on Brussels government politicians who requested money for the Schuman roundabout from EU institutions.

SLASH, BURN AND KILL: The European Commission will today unveil its plan to deregulate in order to boost weapons production – as previewed in our Firepower newsletter. EU defence chief Andrius Kubilius is looking down the barrel at green laws.

Omnibus meets blunderbuss: The Commission may adjust sustainable finance rules to encourage banks to invest in the defence industry. Meanwhile, powerful lobby group ASD is requesting changes t o around 50 EU green laws, including chemical bans, supply chain reporting, and permitting for mining projects. Defence ministers have been signalling that green bureaucracy is an obstacle to military readiness.

Scoopy: The Dutch government wants to ease the burden on its defence ministry by amending laws including the Habitats Directive and the Nature Restoration Act, according to a position paper seen by Aurélie Pugnet.

Giving omnibus energy: On Monday, 25 national energy ministers urged the Commission to deregulate the energy sector. “The existing energy acquis may be in need of simplification, including under the Omnibus programme,” reads a declaration adopted by all EU countries except Hungary and Slovakia. Those two opposed wording related to the phase-out of Russian energy imports.

Mostly hot air: The only specific demand ministers offered was that methane rules should be revisited, Niko J. Kurmayer writes.

Dan won’t ban: Later, Commissioner Dan Jørgensen said he wouldn’t countenance that.

Omni-fuss: Following pushback from countries less keen on regulatory changes, the declaration included a commitment not to undermine the “ambition” of existing laws.

CLAMPDOWN ON VISA-FREE TRAVEL: EU negotiators head into what’s expected to be the final trilogue on the Visa Suspension Mechanism – one of the few tools the EU has to respond quickly to migration spikes from visa-exempt countries.

Is 30 the new 40? It all comes down to one number: the percentage increase in asylum claims that would trigger the suspension of visa-free travel for third-country nationals.

The Council wants to set the bar at 30 percent, and member states have made it clear that the Polish presidency negotiating on their behalf has no mandate to budge. Parliament’s position is officially 40 percent – but the more right-wing assembly since last year’s elections means there are few left defending that figure.

YOU CAN WATCH RUSSIA TODAY IN THE PARLIAMENT: Despite EU sanctions banning Kremlin-linked propaganda outlets like RT and Sputnik, the Russian news outlets remain accessible on the European Parliament’s internal network – prompting a sharp rebuke from MEP Rihards Kols. “When we demand sanctions enforcement across the EU but fail inside our own house, we move from double standards into complicity,” he told Parliament President Roberta Metsola during plenary on Monday.

The issue, flagged in January and again in April, raised concern from Latvia’s media regulator and led to a formal response from Metsola. She said Parliament leadership had addressed the matter, but that restricting online access falls under the jurisdiction of individual member states. Still, TikTok is banned on the Parliament's Wi-Fi – even though it hasn’t been banned in France. Metsola said the issue was being dealt with.

FRANCE
François Fillon awaits his fate today in the scandal concerning the alleged fake jobs held by his wife, Penelope, between 1998 and 2007. Following the appeal hearing in April, prosecutors are seeking a four-year suspended sentence, a €375,000 fine, and a ten-year ban from public office. Despite the scandal, Fillon continued his presidential bid as the candidate for Les Républicains, ultimately finishing third with 20% of the vote, behind Macron and Le Pen.

POLAND
Media outlets aligned with the PiS (ECR) party have released audio of a confidential phone call involving Donald Tusk during his time as European Council President, amid an ongoing election dispute. The leaked recording, allegedly captured using Pegasus spyware, appears to show Tusk making coarse remarks about parts of Poland and engaging in domestic politics despite his neutral EU role. Read more.

CZECHIA
Czechia has received its first-ever fuel assemblies from US manufacturer Westinghouse at the Dukovany nuclear power plant, marking a significant move away from Russian nuclear fuel. The delivery follows earlier shipments to the Temelín plant, which recently resumed using Westinghouse fuel after a 15-year break. Read more.

SWEDEN
Stockholm is keeping tabs on the build up of military bases and production facilities in striking distance of the Nordics, Sweden's Minister for Defence Pål Jonson said on Monday. Read more.

NORWAY
Marking the centenary of Norway’s sovereignty over Svalbard, King Harald and Queen Sonja travelled to the Arctic archipelago to reaffirm the country’s authority in a region increasingly eyed by global powers. Read more.

SPAIN
Spain's Prime Minister Pedro Sánchez has reaffirmed he has no intention of calling early elections, despite mounting scandals, and has announced a major internal ‘clean-up’ of his party at an ad hoc party meeting on Monday. Read more.

Germany has endorsed the Commission’s proposal to tie the EU’s next seven-year budget to national reforms and said there is “no basis” for increasing EU countries' contributions to the bloc’s €1.2 trillion cash pot. Read more.

Europe needs a budget built for tomorrow with a focus on European public goods, and strong performance in national reforms, write IMF European Department's Alfred Kammer and Jiae Yoo. Read more.

Displays of horror: The Ukraine War Museum is exhibiting objects in the European Parliament in Strasbourg, including a basement door behind which Ukrainian civilians were held by their Russian captors – some of whom died. Czech EPP lawmaker Ondřej Kolář is behind the exhibition, which will be officially launched at 6pm today next to the Flower Bar.

And the most popular assistant is... Christian Sentinelli, who works for a Brothers of Italy MEP. Hundreds of assistants – or APAs, as they’re known – held a vote to elect 13 representatives tasked with improving their working conditions. Sentinelli received the highest number of unique votes. A broad list spanning from the Left group to the ECR won 11 seats, including Sentinelli, incumbent APA Committee chair Tara Hadviger, and David Neyskens. Two assistants from a rival list, which represents those working for far-right MEPs – Davide D’Orazio and Emmanouil Koulas – also scraped through, despite receiving only around a fifth of the vote.

Youth Commissioner quotes Bono: “Europe is a thought that needs to become a feeling,” Glenn Micallef told College of Europe students in Albania.

Seen something amusing, interesting, or downright weird in EU politics? Send tips.

Kaja Kallas confirms an online meeting of foreign ministers to discuss the Israel–Iran war.

King Abdullah II of Jordan addresses the European Parliament in Strasbourg.

MEPs debate and vote on a negotiating mandate for a law to combat child sexual abuse material.

Environment ministers meet in Luxembourg.

The G7 summit continues in Canada.

Reporters: Niko J. Kurmayer, Aurélie Pugnet

Editors: Vas Panagiotopoulos and Sofia Mandilara.