Diplomacy
EU-funded transport project in Senegal faces potential takeover by Chinese state firm
A major European corporation is at risk of losing a 320 million euro transportation contract in Senegal, funded by the European Union, to a Chinese competitor.
According to a report by Euractiv, the Chinese firm CRRC has emerged as the frontrunner in a tender for a public transport project in the capital, Dakar. CRRC submitted a bid less than half the price of its competitors, reportedly outmaneuvering the Swedish manufacturer Scania and another Chinese producer, King Long.
The contract is financed by a consortium of European institutions, including the European Investment Bank (EIB), the European Commission, the French Development Agency (AFD), and the German state-owned investment bank KfW. The project involves the procurement of 380 compressed natural gas (CNG) buses.
Indignation is mounting in Brussels over criticisms that EU public funds, specifically earmarked to support development in Africa, may ultimately benefit state-subsidized Chinese enterprises.
Danish conservative Member of the European Parliament (MEP) Kristoffer Storm told Euractiv that the situation is “completely mad,” adding that he intends to demand answers from the European Commission.
Sandro Gozi, a liberal MEP and close ally of French President Emmanuel Macron, also asserted that the EU must not remain a bystander regarding the utilization of its funds. “If Europe is serious about its strategic autonomy, it cannot remain neutral when its own money is at stake,” Gozi stated. “EU-backed financing should come with a clear European preference.”
According to documents related to the tender, CRRC is the clear leader for the contract, having ranked first in both technical and financial evaluations. While Senegalese authorities were expected to select a winner in the coming weeks, the decision has recently been postponed until later this year, likely due to the backlash from Europe.
Scania remains the sole European bidder. The Swedish company employs more than 50,000 people and maintains operations in over 100 countries.
Frank Kehlenbach, director of the European International Contractors (EIC) association, expressed frustration with the procurement process. “We wish that ‘Team Europe’ financiers would act with a bit more patriotism,” Kehlenbach said.
The controversy is particularly sensitive given the EU’s objective to position its Global Gateway initiative—launched to stimulate economic growth in developing nations—as a value-based alternative to China’s Belt and Road strategy.
This debate recalls a previous case in Senegal. In 2019, an EU-funded Bus Rapid Transit (BRT) project awarded a significant contract to another Chinese state-owned enterprise, the China Road and Bridge Corporation. That company subsequently drew attention following reports of substantial cost overruns.
Although the EU has since tightened regulations regarding abnormally low bids and foreign subsidies, the current case raises questions about the practical efficacy of these measures.
In June last year, during a visit by the Senegalese government to China, the two nations reached an agreement to construct a bus assembly plant within the West African country.
Meanwhile, a delegation from the Swedish Ministry for Foreign Affairs is visiting Dakar this week for “bilateral meetings with Senegalese and other counterparts.” The ministry declined to answer questions regarding whether the tender and Scania’s bid would be part of those discussions.
A spokesperson for the European Commission did not comment on this specific case but noted that, in principle, G20 countries outside the EU are “not eligible” for EU-managed tenders. However, the spokesperson added: “Many EU projects are implemented indirectly through partners such as the EIB and other development finance institutions, which apply their own procurement frameworks.”
Nonetheless, the Commission is aware of the gravity of the situation and hopes to rectify it in the EU’s next long-term budget, the Multiannual Financial Framework (MFF). A senior Commission official stated: “We need to create the right tools and conditions for the next MFF to ensure a European preference—which is what we are doing.”
The European Investment Bank told Euractiv it could not comment on the ongoing tender but stated it would “confirm the regularity of the process.” This is part of a continuing procurement strategy aimed at ensuring EU bidders compete on a level playing field. However, the EIB also noted that it “cannot ask its clients to subject bidders to discrimination based on their nationality.”
The bank added that while its investments follow the EU’s Global Gateway strategy, “EU values and standards do not mean that we only support projects executed by Europeans.”
Diplomacy
Vance leads indirect push for US-Iran ceasefire and nuclear talks
US Vice-President JD Vance has been personally involved over the past two weeks in indirect talks with Iran aimed at securing a fresh ceasefire and restarting nuclear negotiations.
According to Axios, Vance’s intense engagement indicates that he has taken it upon himself to extract the US from the conflict, which he views as responsible for the Republican Party’s shocking losses in this week’s elections.
This elevates the latest round of indirect talks to the highest echelons of the administration.
US officials and regional sources state that Trump is currently willing to let diplomatic efforts run their course to see whether any agreement is achievable.
Asked by reporters on Friday what his message was to Iran, Trump said, “We are talking to them.”
According to sources with direct knowledge of the matter, Vance speaks almost daily with Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani, Pakistan’s Chief of Army Staff Field Marshal Asim Munir, and other mediators regarding the negotiations with Iran.
White House envoy Steve Witkoff and Jared Kushner, President Trump’s adviser and son-in-law, are also involved in the process.
Sources say Vance and the Qatari and Pakistani mediators have been discussing the possibility of holding a working-level technical meeting between the US and Iran in the coming days, though this has not yet materialized.
Before the war began in late February, Vance was among the most sceptical voices in Trump’s inner circle on the issue, advocating instead for a diplomatic solution.
In April, he led the US negotiating delegation at the Iran summit held in Islamabad and was personally involved in the talks that yielded a memorandum of understanding (MOU) signed between the US and Iran in June.
Vance subsequently headed the US delegation during a series of direct talks with Iran in Switzerland.
Two weeks ago, Vance sent a letter to Mohsen Rezaei, Secretary of Iran’s Supreme National Security Council, proposing that direct negotiations resume.
Rezaei is one of the closest advisers to Iran’s Supreme Leader, Mojtaba Khamenei.
Iranian officials noted that Vance’s letter generated positive momentum toward restarting talks.
On Wednesday, Vance said the war was the primary reason for the Republicans’ repudiation at the polls.
Sources involved in mediation efforts report that while progress is being made, the process is moving very slowly.
On Friday evening, the prime minister of Qatar said, “Over the past few weeks, we worked with our colleagues in the US administration who have a sincere intention to contain the situation and de-escalate. Thanks to them and the voices of reason in Tehran, we prevented the situation from spinning out of control.”
The prime minister added that discussions with the Trump administration continued following the midterm elections, though they were not as active as in previous days “because there are other matters.”
Nevertheless, he noted that the US intention to find a diplomatic resolution “remains ongoing” and emphasized that an agreement is possible.
On Friday morning, Trump and the Emir of Qatar discussed Qatari efforts to bridge differences between the US and Iran as part of an accord.
According to a statement from his office, Sheikh Tamim emphasized the necessity of “pursuing dialogue and diplomatic channels to resolve differences, prevent the region from facing further escalation, and ensure freedom of maritime navigation as well as the security of energy supplies.”
Separately, Trump confirmed on Friday that the US military conducted a strike on an anti-aircraft missile launcher on Qeshm Island in the Strait of Hormuz after it fired a missile at a US fighter jet.
Diplomacy
Ukraine faces demographic collapse as fertility rates slide
British magazine The Economist reported that mobilization, conflict casualties, and pervasive uncertainty have left Ukraine confronting the threat of demographic collapse.
According to data cited by the magazine, Ukraine’s fertility rate has declined from 1.2 children per woman in 2020 to between 0.8 and 0.9.
This rate marks a lower level than that of any major nation except South Korea.
In the first half of 2026, the number of deaths in Ukraine surpassed the number of newborn babies threefold.
The report noted that ever since independence was gained in 1991, the number of births in the country has lagged behind the number of deaths every year.
The Economist emphasized that the demographic collapse driven by the ongoing fighting constitutes an “existential threat.”
The magazine identified mass refugee migration as the principal driver of the population loss.
More than 5 million Ukrainians reside abroad, predominantly in Europe.
The proportion of those wishing to return among those who left the country is also steadily shrinking.
According to data from the Centre for Economic Strategy (CES), the share of those seeking to return dropped from 74% in 2022 to 43%.
The fact that the majority of refugees consist of Ukrainian children and women under the age of 44 further aggravates the demographic picture.
The Kyiv government decided to exempt men under the age of 25 from mobilization to alleviate the demographic decline.
The magazine reported, however, that many young people have fled the country, while those who remain do not plan to start families.
Projections cited in the report indicate that even if hostilities cease in the coming years, Ukraine can, at best, expect merely a deceleration of depopulation.
Olga Duhnich, an expert at the Ukraine-based think tank Frontier Institute, stated that the generation born in the 1990s and 2000s is the least populous in Ukraine’s modern history, meaning the country cannot expect a post-conflict baby boom.
The United Nations (UN) projects that Ukraine’s population will decline by 0.7% to 0.9% each year over the next two decades.
Under this projection, Ukraine’s population will fall to approximately 25 million by 2040.
If hostilities drag on, people are expected to abandon plans to have children, deepening the crisis even further.
Beyond exempting men under 25 from mobilization, the Kyiv government is rolling out various support packages to boost birth rates.
Under legislation enacted in the country, parents who have children receive a direct payment of 50,000 hryvnias (around $1,100).
Parents are also paid 7,000 hryvnias each month during the first year.
Other state programmes subsidize childcare costs, while Ukrainian soldiers are granted free freezing of egg and sperm cells.
Ukrainian Minister of Social Policy Denis Ulyutin said in May to the Livyi Bereh media outlet that roughly 22 to 25 million people lived in government-controlled territories.
Ulyutin characterized the prevailing picture by saying: “This is a catastrophe.”
Ella Libanova, Director of the Institute for Demography and Quality of Life Research, estimated the population at 29 million during the same period.
Libanova attributed the steep fall from a population of 30 million in 2025 to high death rates and the demographic crisis.
In a statement in October, Libanova announced that Ukraine’s population had slipped to 28.5 million.
Institute Director Libanova said: “The population is already at 28.5 million; we lost half a million people. We lost them, but thankfully this was still caused by migration rather than casualties.”
Diplomacy
Armenian opposition urged to form joint front against constitution
Narek Karapetyan, a lawmaker and head of the Strong Armenia faction in the Armenian parliament, has urged opposition parties to unite around four core principles set out in a joint declaration.
The key points of the declaration include resisting territorial concessions and blocking the adoption of a new constitution, which the opposition has termed the “Aliyev constitution”.
According to a report by Aysor.am, Narek Karapetyan stated that the opposition meeting was originally planned to be led by his uncle, businessman and Strong Armenia movement leader Samvel Karapetyan.
“We initiated the meeting, but the authorities took preemptive steps to prevent Samvel Karapetyan from launching the national unification process,” Narek Karapetyan said.
Noting that, despite these events, opposition representatives convened and signed a joint declaration based on four agreed articles, Narek Karapetyan invited other opposition forces and members of the public to join the alliance.
“We will not allow them to implement the Aliyev constitution in Armenia. We must unite,” Karapetyan said.
Ahead of these developments, Armenian National Security Service personnel detained Strong Armenia Party leader Samvel Karapetyan following a search of his home.
The party’s press secretary, Agavni Sukiasyan, announced that on the morning of the same day, the Investigative Committee of Armenia searched the homes of both Samvel Karapetyan and Narek Karapetyan.
In a report citing the Investigative Committee, Armenpress stated that Samvel Karapetyan was detained as part of a case involving allegations of causing large-scale financial damage to the Electric Networks of Armenia (ENA) company, embezzling entrusted property, and money laundering.
According to committee figures, the total damage inflicted on the company exceeds $179 million.
Narek Karapetyan’s home was also searched at the end of July as part of a criminal case.
On 22 July, Armenia’s Central Electoral Commission approved the Prosecutor General’s request to strip Narek Karapetyan of his parliamentary immunity, and Karapetyan was charged with large-scale money laundering.
According to information reported by Sputnik Armenia, the investigation is linked to charges brought against Strong Armenia supporter Aleksan Aleksanyan.
Investigative authorities allege that Aleksanyan received approximately $4.4 million and €230,000 from the Karapetyan-owned Tashir Foundation under the guise of gifts and loans.
Several criminal cases had previously been opened against Samvel Karapetyan.
In 2025, Karapetyan was charged with publicly calling for the violent seizure of power after backing the Armenian Apostolic Church, which had been criticized by Armenian Prime Minister Nikol Pashinyan.
In January, legal proceedings were also launched against Karapetyan on charges of large-scale tax evasion and money laundering.
Separately, in early July 2025, the Armenian parliament approved a bill enabling the nationalization of the Electric Networks of Armenia company.
In March, Armenia’s Constitutional Court ruled that the nationalization process in question complied with the law.
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