Europe Is Missing Its Moment |
For years, European officials have known exactly what reforms are necessary to strengthen the European Union’s economic foundations and enable it to act as a global power. But they have also conceded that political realities within member states and the EU’s consensus-based decision-making process make substantial reforms all but impossible except in moments of crisis. European officials made a dangerous bet, effectively waiting for a crisis to force themselves to fix widely acknowledged problems. Now, they risk doing something worse: wasting a crisis by failing to act as it unfolds.
This crisis comes as the United States casts doubt on its role as Europe’s security and strategic guarantor, a malign and militarized Russia presents a growing existential threat, and Europe’s inability to harness its collective economic resources undermines its collective defense. The shock began in Munich in February, when U.S. Vice President JD Vance openly questioned the premises of the transatlantic relationship and suggested a rethinking of the United States’ role in Europe. The new U.S. National Security Strategy, released this month, goes further, stating that Washington should prioritize “cultivating resistance to Europe’s current trajectory” within the EU. An earlier, leaked version of the document that circulated in the media was even more explicit. It proposed that the United States divide Europe by supporting right-wing governments “with the goal of pulling them away” from the EU. It also proposed the formation of a “Core 5” to replace the G-7; the new group would be comprised of China, India, Japan, Russia, and the United States, excluding Europe entirely. Then, in an interview with Politico last week, U.S. President Donald Trump disparaged European leaders as “weak” and said they “don’t know what to do.” These are not mere rhetorical jabs and insults. The Trump administration’s hostility calls into question the stability of the transatlantic alliance and Europe’s ability to defend itself—and seeks to undermine Europe’s place in global decision-making.
Europe needs to recognize this as the crisis it has been waiting for. The continent is in real danger of being sidelined by its most important ally, and its ability to defend itself and secure its future role in the world hinges on its ability to mobilize resources and act collectively. The EU’s decision last week to extend sanctions on Russian central bank assets—made without unanimous consent—is a good start. At the European Council meeting on December 18, leaders must be similarly ambitious as they decide whether and how to use those Russian assets to support Ukraine. Europe should also use this moment to undertake larger reforms to Europe’s economic model, including the establishment of a capital markets union, a complete banking union, and permanent mechanisms for common borrowing. Such reforms are not merely technocratic adjustments; they are the foundation of the economic heft Europe needs to build up its defenses, strengthen its energy and digital systems, and act as a global power. If Europe does not take advantage of this crisis and continues to drift, it will leave itself vulnerable to Trump and other foreign actors who seek to divide it, putting the EU’s security and geopolitical relevance at risk.
Europe’s problem is not a shortage of ideas but an inability to implement them. The EU’s........