Business Czech Republic Economy Energy EU Slovakia

Czech ‘crisis manager’ Sikela to helm EU’s answer to China’s Belt and Road Initiative

| 2024-09-30 2 min read

Czech ‘crisis manager’ Sikela to helm EU’s answer to China’s Belt and Road Initiative

Reading Time: 2 minutes

Czechia’s former industry minister and crisis manager Jozef Sikela has been appointed to lead the EU’s EUR 300bn Global Gateway Strategy, the bloc’s riposte to China’s Belt and Road Initiative (BRI). Sikela will oversee infrastructure investments aimed at countering the BRI by forging strategic international partnerships.

The appointment marks a huge shift in the EU’s global diplomacy and economic strategy. Sikela will manage investments in digital infrastructure, renewable energy, and other key sectors across regions including Africa and South East Asia, while navigating geopolitical challenges.

The Global Gateway seeks to mobilise public and private capital to secure critical resources and boost the EU’s global influence, Politico writes. Sikela’s appointment may also offer a glimpse of von der Leyen’s shifting approach to international alliances over her coming five-year term, especially in the Asia-Pacific and in Russia’s former sphere of influence, the Brussels-based website adds.

Banker who impressed during 2022 energy crisis

Sikela – a banker and relative newcomer to politics – rose to prominence during the 2022 energy crisis. Czechia took over the six-month presidency of the Council of the EU in July 2022 — making Sikela the bloc’s energy broker — gas prices surged over an unprecedented EUR 300/MWh, following supply cutoffs orchestrated by Russia after it launched a full-scale land invasion of Ukraine in February of that year. Convening an equally unprecedented eight energy ministers’ meetings, Sikela managed to hammer out a consensus and cut a deal to stabilise gas prices.

His track record as a pragmatic negotiator and private sector experience position him well for the role, according to former colleagues and employees. His ability to engage EU ministers and international leaders will be key to advancing the EU’s competitive standing on the world stage.

Initially fancied to land the EU’s larger trade portfolio – which eventually went to Slovak nominee Maros Sefcovic – Sikela missed out. However, European Commission President Ursula von der Leyen emphasised that Global Gateway initiative spans trade, energy, and beyond, placing him at the centre of the EU’s long-term strategy to rival China’s infrastructure diplomacy.

“He has experience with communicating and negotiating as a trade minister, he is used to developing relations with third countries,” a European trade official told Politico. That will certainly come in handy when dealing with such diverse governments as Albania, Namibia or Malaysia, the website commented.