Von der Leyen's visits to frontline NATO states aims to deliver a message of solidarity while boosting Europe’s defence capacity, promoting joint procurement and galvanising industrial support through the EU’s SAFE mechanism.
Lithuanian President Gitanas Nauseda described Ruginiene as “a constructive negotiator who seeks compromise”, adding that foreign policy continuity, especially support for Ukraine, would be maintained. Nauseda signed a decree on 27 August formally appointing her.
The alliance’s biggest spenders are all on the Eastern flank and neighbouring Russia, with Poland leading the pack (4.48%) ahead of Lithuania (4.0%), Latvia (3.73%), and Estonia (3.38%). The US is sixth at 3.22% of GDP.
Polish Energy Minister Milosz Motyka confirmed KHNP’s withdrawal but downplayed speculation of a diplomatic rift. “KHNP’s decision does not stem from any government actions and pertains to several European countries,” Motyka posted on X on 20 August.
Like other strategic CRM efforts across Central and Eastern Europe, Chvaletice is emblematic of the policy-delivery gap haunting the bloc’s transition ambitions.
Germany’s trade with Central and Eastern Europe rose EUR 5.4bn to EUR 275bn in the first half of 2025, led by a surge in exports to Poland, Ukraine and Slovenia.
Research by TechBehemoths shows that strong education systems, multilingual talent pools and EU-level legal protections keep CEE competitive for global tech outsourcing and nearshoring.
Polish Prime Minister Donald Tusk warned that the duties could cost Poland more than USD 2bn and hurt agriculture and manufacturing, although he called the compromise deal a “lesser evil” to a threatened 30% tariff.
European Commission (EC) President Ursula von der Leyen agreed a new trade deal with US President Donald Trump at Turnberry, south-west Scotland, on 27 July, setting a ceiling of 15% on tariffs for EU goods and averting a wider transatlantic escalation.
The model reflects past moves in Hungary and Romania to centralise economic power, often justified as way to improve implementation. Poland’s approach, however, appears more technocratic, with few political figures outside the prime minister and foreign minister elevated.
The EC is expected to present the proposal formally as part of its mid-term budget review later this year. The plan must be approved unanimously by all 27 member states and endorsed by the European Parliament. Opposition is expected from net contributor countries and regions facing cuts.
CEE contributions include cross-border logistics, public-private coordination platforms, and green recovery initiatives. Regional forums such as the Three Seas Initiative are also expected to play a larger role in financing and implementation.
The European Commission (EC) published long-term budget allocation plans on 17 July, showing Poland set to receive the highest national allocation under the 2028-34 Multiannual Financial Framework (MFF), totalling EUR 123.3bn.
Serbia and Bulgaria did not sign the Dubrovnik declaration. Serbian President Aleksandar Vucic has maintained a policy of strategic ambiguity regarding NATO, while Bulgarian President Rumen Radev has voiced concerns about deepening military support for Ukraine.