04/07/2025
EU Insight 4 July 2025
Brussels, 4 July 2025
DENMARK KICKS OFF EU PRESIDENCY, FOCUSING ON SECURITY AND COMPETITIVENESS
Denmark has assumed the rotating presidency of the Council of the EU for the second half of the year, working under the motto “A strong Europe in a changing world.” The Danish Presidency will focus on navigating the EU through heightened security challenges, strengthening support for Ukraine and maintaining sanctions on Russia, while also seeking to boost competitiveness and accelerate the green transition. Alongside efforts to foster a more resilient and secure Union, Denmark also pledges to reduce regulatory burdens and promote fairer trade. As part of the trio with Poland and Cyprus, the Danes aim to help the EU deliver on its priorities in an era of mounting global uncertainty.
COMMISSION PROPOSES 90% EMISSIONS CUT BY 2040 IN NEW CLIMATE TARGET
The Commission has unveiled a proposed 2040 climate target, aiming to reduce net greenhouse gas emissions by 90% compared to 1990 levels. Building on the existing 2030 goal of at least 55%, the new target is intended to give long-term certainty to industry and investors while reinforcing Europe’s energy security and competitiveness. Alongside the target, the Commission announced steps to simplify state aid and carbon adjustment rules and align tax incentives with cleaner technologies, all within the broader Clean Industrial Deal. The move also signals the Commission’s efforts to affirm EU climate leadership ahead of this year’s COP30 summit in Brazil. The proposal will now face negotiations in the Council and Parliament, amid divided views on both the target’s ambition and the proposed flexibilities.
EU SETS SIGHTS ON GLOBAL LEADERSHIP IN LIFE SCIENCES BY 2030
Seeking to keep pace with global players and bridge the gap between research excellence and market impact, the Commission has launched a new strategy to boost Europe’s life sciences sector by 2030. Life sciences already contribute €1.5 trillion and 29 million jobs to the EU economy, but fragmented innovation and slow uptake threaten the bloc’s long-term competitiveness. The plan pledges over €10 billion each year to spur cross-border research, accelerate clinical trials, and support advanced technologies from microbiome solutions to new biomaterials. Key elements include an upcoming EU Biotech Act to speed up regulatory pathways and new tools for linking investors with startups.
COMMISSION LAUNCHES QUANTUM STRATEGY TO SECURE TECHNOLOGICAL EDGE
The Commission has launched its first comprehensive Quantum Strategy, aiming to establish Europe as a global leader in quantum technologies by 2030. The Commission hopes to secure a competitive edge in technologies that could transform fields from medicine to cybersecurity and boost both economic and strategic resilience. Key pillars include boosting research funding, setting up chip pilot lines and a quantum design facility, expanding skills through a new academy, and promoting secure quantum infrastructure for civilian and defence use. A proposed Quantum Act, expected in 2026, will further support industry scale-up and investment. The initiative will be developed with Member States and scientific leaders to turn Europe’s quantum ambitions into reality.
EU PLANS TO FUND OVER 90 TRANSPORT PROJECTS TO DRIVE MOBILITY ACROSS EUROPE
The Commission is investing nearly €2.8 billion in 94 transport projects to advance greener and more connected mobility across Europe. Provided as grants under the Connecting Europe Facility, the funding will help modernise infrastructure, improve travel safety and accessibility, and reduce carbon emissions. The projects are also expected to strengthen the EU’s internal market and competitiveness. Most of the funding, around 77%, will go to upgrading rail networks, with additional support for maritime, inland waterway, air, and road transport, as well as the development of urban mobility hubs. Selected projects also aim to enhance links with Ukraine and Moldova, reflecting the EU’s commitment to strategic connectivity and regional solidarity.
COMING UP NEXT WEEK
- 7 July: Eurogroup. On the agenda: International role of the euro, Euro area enlargement, Bulgaria and election of the President of the Eurogroup.
- 7-8 July: Informal meeting of employment ministers.
- 7-10 July: Parliament Plenary sessions. On the agenda: Presentation of the programme of the Danish Presidency, gas storage for securing gas supplies, conclusions of the European Council meeting of 26 and 27 June.
- 8 July: College of Commissioners. On the agenda: 2025 Annual Rule of Law Report, Chemicals Package, EU Stockpiling strategy, and medical countermeasures against public health threats.
- 8 July: Economic and Financial Affairs Council (ECOFIN). On the agenda: Savings and Investment Union, digital euro, euro area enlargement.
- 10-11 July: Informal meeting of environment ministers.
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