Good morning from Geneva. For years, European political decision -makers and managing directors have been annoyed by the right response to the increasing economic competition from the USA and China. Last week the answer became clear: Europe intended to return to corporatism, which means a closer orientation between corporate groups and the government.
At a meeting in Brussels last week, which made it easier for the World Economic Forum (in which I worked from 2014 to 2022), several dozens of CEOs from Fortune 500 Europe companies, President of the European Commission, met Ursula von der Leyen and four of its deputies. They carried out an open discussion in which the ESG rules simplified and delayed, redesigned clean energy in European independence, an industrial AI strategy was created to compete with the USA and create a single regime for companies in which companies operate across Europe.
It was also agreed that the exchange between Big Business and the European Commission would be repeated every six months, which marked a turning point with the past.
“So far the process has been that every company has to speak to EU and Member States at its end”, CEO of Jesper Brodin von Group IFG (Ikea) and one of the encounter of the meeting, it told me. “It takes a lot of time. We agreed that a half -year CEO CEO was hit with Ursula and the commissioners.”
The point of this exchange is clear: to support the competitiveness of European multinational companies that have been slipping down the Global 500 list of Fortune for over a decade.
The goal of simplifying the Kafkaesque and multi -layered regulation in Europe is an element of the new, corporate approach, which was welcomed by the business participants last week. “I’m not against regulation,” Christian Klein, CEO von JUICEtold me. “But we can do it better. We should have joint working groups to ensure that we do this correctly.”
The change in competition and antitrust law, in which Europe was historically aggressive, was another element to which both sides now agree.
“Our strategy for antitrust bill has changed something,” said Stéphane Séjourné, Executive Vice President of the European Commission, which is responsible for the industrial strategy. “The Commission now looks at our technology companies in connection with international competition and not just in internal European competition (…) This means that the mergers that are possible in certain sectors to encourage the mergers to give companies sufficient size to compete globally.”
Despite all the enthusiasm, European corporatism is only at the beginning of the phase, although listening a lot and the upbringing still achieves a true orientation. Klein told me that last week’s repeated news to the Commission was to let fetishes such as the competition with the USA in the “Giga factories” and chips that are necessary for generative AI. “This train left the train station,” he told me. Instead, Europe should concentrate on industrial AI. “We have industry data. This train did not leave the train station.”– Peter Vanham
Top messages
Tariff letters go out today
The White House will send tariff letters today. The President said. The letters will impose tariff levels in countries that have not yet concluded a contract with the Trump administration. Countries that have not completed business with the United States will see that their tariffs return to the level they were assigned to in April. These values - 10% to 70% – will be Kick on August 1st.
But there is a new fold: the Brics
“Every country that is based on the anti -American policy of Brics is calculated an additional 10% tariff. There will be no exceptions from this directive. Thank you for your attention for this matter!” Trump posted last night.
Musk announces “America Party”
Tesla CEO Elon Musk announced The formation of the America party over the weekend to combat the country’s two-party system. Shortly before, Sam Altman, CEO of Openai, explained in a position on X for “politically homeless” and supported “techno capitalism”.
Of course, Trump gave the idea
“I am sad that Elon Musk has become a train accident in the past five weeks. The president said on social media. Finance Minister Scott Bessent stuck an elbow in, to.
BCG involved in the “Gaza Riveriera” plan
A two -part Investigation From the FT On a number of documents, some of which were produced by the Boston Consulting Group, who imagined to pay the Gazans to leave the territory and to rebuild it in the style of Dubai.
Elliott Management’s interest in HPE
Two months ago the first reports came out that Elliott had management bought A share of 1.5 billion US dollars in Hewlett Packard Enterprise. Sources tell Assets What Elliott wants with the company is hidden in sight.
How crayola offshoring flows around
Decades ago, when other American CEOs fluctuated to offshoring, Pete Ruggiero – Now CEO from Crayola – – –convinced The company to keep most of its production in the United States has saved the company millions, and Ruggiero said it Assets That he “saw writing on the wall that came.”
New Tikok app for the USA
Before his planned forced sale, Tikok creates a new version of the app for the US market. Trump says he will talk to China this week about the fate of the app.
The markets
- S&P 500 The futures were switched off this morning in front of the open open 0.43%. The S&P 500 Index Closed on Friday by 0.83% and reached a new all -time high with 6,279.35. Bitcoin Was over 109,000 US dollars. Japan’s Nikkei 225 Fell by 0.56% this morning. Chinas CSI 300 fell by 0.43%. Stoxx Europa 600 Was flat in early trade.
From the analysts
- Wedbus about Elon Musks America Party: “A simple musk that immerses in politics and now tries to take over the Beltway establishment is exactly the opposite direction that Tesla investors/shareholders want to take for Tesla history. The worst with this last announcement,” according to Daniel Ives et al.
- UBS about Trumps constantly changing warning concerns: “The additional taxes that US President Trump, the US consumers wanted to impose on Wednesday, will be delayed by August 1st. This means that consumers may not be able to withdraw the inflation spikes from these taxes by January next year, since consumers do not withdraw before Christmas”, so that Paul Donovan no longer withdraws.
- Pantheon macroeconomics on the job market: “The private salary statements in June ex-education and the healthcare system have only increased. Reviations will result in an even weaker picture. Settings intentions remain depressed; new tax benefits are probably not that the tariff costs and the insecurity will soon compensate for. The decline in unemployment looks like noise; wage;
To the watercolor seal
Starbucks is pioneering work in the ‘Coffeehouse of the Future’ with comfortable chairs and sofas, while his CEO urges to reinterpret shops By Marco Quiroz-Gutierrez
When Trump urges Apple to produce iPhones in the USA, Google’s brief efforts that build smartphones in Texas offers critical lessons 12 years ago Would be loyal to Kopytoff
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