EU Summit: Meloni Wins ETS Impact Review, Extends Schengen Halt with Spain

At the EU summit in Brussels, Giorgia Meloni secured a compromise on the ETS carbon market, with leaders committing to assess all impacts of ETS2, though not the requested delay. The deal came after a tense first day marked by clashes with Spain over migration. Meloni, backed by the Visegrad group, presented data showing falling emissions but rising prices, warning of deindustrialization with chemicals down 31% and steel down 16%. She also raised flexibility on spending rules and using VAT surplus, but France and Germany remained cold. The compromise includes a pledge for a well-functioning carbon market and updating ETS2 impacts, while a seven-day extension of the Schengen border halt with Spain was agreed.