EC President Juncker unexpectedly sides with Hungary's Orbán

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Brussels does not want to put nation states under, but integration between the member states breaks too often in areas where they would rather need to make joint efforts, said European Commission President Jean-Claude Juncker in his state of the union address on Wednesday.

Dancing to Orbán’s tune

The European integration cannot be reinforced at the expense of the nations, unity cannot be forced, Europe is what it is because of its diversity. The Commission does not aim to overwhelm nation states

, EC President Jean-Claude Juncker said.

At the same time, he also said never before has he seen such little common ground between Member States, so few areas where they agree to work together.

He said “never before...
  • have I heard so many leaders speak only of their domestic problems, with Europe mentioned only in passing, if at all.
  • “have I seen representatives of the EU institutions setting very different priorities, sometimes in direct opposition to national governments and national Parliaments. It is as if there is almost no intersection between the EU and its national capitals anymore.
  • “have I seen national governments so weakened by the forces of populism and paralysed by the risk of defeat in the next elections.
  • “have I seen so much fragmentation, and so little commonality in our Union."

Every company should pay taxes where they make their profits

A fair playing field also means that in Europe, consumers are protected against cartels and abuses by powerful companies, Juncker said. “And that every company, no matter how big or small, has to pay its taxes where it makes its profits. This goes for giants like Apple too, even if their market value is higher than the GDP of 165 countries in the world."

In Europe we do not accept powerful companies getting illegal backroom deals on their taxes.

Juncker also noted that the level of taxation in a country like Ireland is not the Commission’s issue. “Ireland has the sovereign right to set the tax level wherever it wants. But it is not right that one company can evade taxes that could have gone to Irish families and businesses, hospitals and schools," he added.

The President also noted that being European also means standing up for our steel industry.

“We already have 37 anti-dumping and anti-subsidy measures in place to protect our steel industry from unfair competition. But we need to do more, as overproduction in some parts of the world is putting European producers out of business," he added.

Juncker also said a strong part of our European way of life that he wants to preserve is the agricultural sector.

“The Commission will always stand by our farmers, particularly when they go through difficult moments as is the case today. [...] I will not accept that milk is cheaper than water."

He also made a long list of what European values are, adding that “being European means the right to have your personal data protected by strong, European laws."

Free wi-fi everywhere by 2020

The Commission is proposing to fully deploy 5G, the fifth generation of mobile communication systems, across the European Union by 2025. This has the potential to create a further two million jobs in the EU, Juncker said. The EC also proposed today to equip every European village and every city with free wireless internet access around the main centres of public life by 2020.

Juncker package to be doubled

The EUR 315 billion Investment Plan for Europe, which was agreed upon just twelve months ago, has already raised EUR 116 billion in investments - from Latvia to Luxembourg - in its first year of operation, the President said, adding they want to take it further.

“Today, we propose to double the duration of the Fund and double its financial capacity.

With your support, we will make sure that our European Investment Fund will provide a total of at least EUR 500 billion - half a trillion - of investments by 2020. And we will work beyond that to reach EUR 630 billion by 2022. Of course, with Member States contributing, we can get there even faster.

Juncker also stressed Europe needs its banks, but warned that an economy almost entirely dependent on bank credit is bad for financial stability and it is also bad for business, as the financial crisis attested.

“That is why it is now urgent we accelerate our work on the Capital Markets Union." The Commission is putting a concrete roadmap for this on the table today, he added.

A Capital Markets Union will make the financial system more resilient and give companies easier and more diversified access to finance, he explained.

Borders need to be tightly controlled

“Europe must not cower in the fact of terrorism," Juncker said.

“We must defend ourselves against terrorism. [...]Just as we have stood shoulder to shoulder in grief, so must we stand united in our response."

The President stressed that we are fighting for “the European way of life", adding that in face of the worst of humanity we have to stay true to our values, to ourselves.

And what we are is democratic societies, plural societies, open and tolerant. But that tolerance cannot come at the price of our security.

That is why my Commission has prioritised security from day one - it criminalised terrorism and foreign fighters across the EU, it e cracked down on the use of firearms and on terrorist financing, it worked with internet companies to get terrorist propaganda offline and it fought radicalisation in Europe's schools and prisons, Juncker said.

But that is not enough, he added.

“We need to know who is crossing our borders. We will defend our borders, as well, with strict controls, adopted by the end of the year, on everyone crossing them. Every time someone enters or exits the EU, there will be a record of when, where and why."

Juncker pledged to defend Europe’s borders with the new European Border and Coast Guard, which is now being formalised by Parliament and Council, just nine months after the Commission proposed it.

“I want to see at least 200 extra border guards and 50 extra vehicles deployed at the Bulgarian external borders as of October."

The proposed measures include:
  • a European Travel Information System - an automated system to determine who will be allowed to travel to Europe;
  • reinforced Europol; “A counter terrorism unit that currently has a staff of 60 cannot provide the necessary 24/7 support."
  • a European Strategy for Syria;
  • a proposal for a European Defence Fund by the end of the year, to turbo boost research and innovation.

Youth unemployment unacceptable

“I cannot and will not accept that Europe is and remains the continent of youth unemployment. I cannot and will not accept that the millennials, Generation Y, might be the first generation in 70 years to be poorer than their parents," Juncker said..

The Commission is proposing today to set up a European Solidarity Corps. Young people across the EU will be able to volunteer their help where it is needed most, to respond to crisis situations, like the refugee crisis or the recent earthquakes in Italy, the President added.

I want this European Solidarity Corps up and running by the end of the year. And by 2020, to see the first 100,000 young Europeans taking part.

Another proposal by Orbán hits home

Federica Mogherini, the Commission’s High Representative and my Vice-President, is doing a fantastic job, Juncker said, adding that she also “needs to become our European Foreign Minister via whom all diplomatic services, of big and small countries alike, pool their forces to achieve leverage in international negotiations."

This is why the President called today for a European Strategy for Syria. Federica should have a seat at the table when the future of Syria is being discussed. So that Europe can help rebuild a peaceful Syrian nation and a pluralistic, tolerant civil society in Syria.

“Federica should have a seat at the table when the future of Syria is being discussed. So that Europe can help rebuild a peaceful Syrian nation and a pluralistic, tolerant civil society in Syria," he said.

Europe needs to toughen up. Nowhere is this truer than in our defence policy.

We should also move towards common military assets, in some cases owned by the EU. And, of course, in full complementarity with NATO, Juncker added.

For European defence to be strong, the European defence industry needs to innovate, the President added. That is why the EC will propose before the end of the year a European Defence Fund, to turbo boost research and innovation.

This would mean that another proposal by Hungarian Prime Minister Viktor Orbán is approved and put into practice. He has already suggested setting up a common European military.

New proposal to abolish roaming charges due next week

The Commission, the Parliament and the Council have jointly decided to abolish mobile roaming charges, and Juncker said “this is a promise we will deliver."

“Not just for business travellers who go abroad for two days. Not only for the holiday maker who spends two weeks in the sun. But for our cross-border workers. And for the millions of Erasmus students who spend their studies abroad for one or two semesters."

Juncker said the draft he has withdrawn was not technically wrong, but “it missed the point of what was promised."

"And you will see a new, better draft as of next week. When you roam, it should be like at home."

 

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