Good morning from Brussels. I’m Mared Gwyn with your last Europe Today newsletter before we go on a short break. We’ll be back next Tuesday.

The EU’s energy chief Dan Jørgensen has warned member states that energy prices could remain high even if a peace deal to end the war in Iran is struck swiftly, urging capitals to prepare for the “potentially prolonged disruption."

Euronews’ Marta Pacheco reports that EU countries may consider fuel rationing, remote work, and even “car-free Sundays”— a measure from the 1970s energy crisis — to curb oil and gas demand, as prices have surged 70% and 50%, respectively.

The warnings from Brussels suggest an increasing sense of nervousness over the economic repercussions of the conflict, as the reality of the looming crisis sets in. Marta has this handy explainer on the possible ramifications for Europe, and how countries are preparing.

Speaking to Europe Today earlier, Poland’s Secretary of State for Energy Wojciech Wrochna said his country had already reined in prices by introducing a price cap and slashing fuel taxes, and said Brussels should give EU capitals “flexibility” to “drive the measures”. Watch.

On Tuesday, US President Donald Trump said countries which had dismissed earlier US requests for support to re-open the Strait of Hormuz – and which now face potential jet fuel shortages – should “build up some delayed courage, go to the Strait and just take it (the oil)”. 

It’s awakening fears that the US could withdraw from the conflict without a settlement that would guarantee the safe re-opening of the Strait to international trade. Trump said overnight from the Oval Office that the war could end in “two or three weeks” and is due to address the nation with an update late on Wednesday.

Trump has also lashed out at France, despite heaping praise on the country for its position on the war in recent weeks, claiming Paris had prevented US planes headed to Israel with military supplies from flying over its territory.

“France has been VERY UNHELPFUL with respect to the “Butcher of Iran,” who has been successfully eliminated! The U.S.A. will REMEMBER!!!” Trump wrote on Truth Social.

French President Emmanuel Macron’s office said in a statement that it was “surprised” by the US President’s remarks, but insisted that the decision was in line with “the French position since the start of this conflict”. Since early March, the French armed forces have said it would only authorise the use of US bases on French territory for defensive purposes.

Speaking from Japan earlier today, Macron hailed Europe’s “predictability” despite its perceived “slowness”, criticising countries which may go faster but  could “hurt you without even informing you”, in an apparent jab at the Trump administration.

Secretary of State Marco Rubio told Fox News last night that the US will need to "examine" its relationship with NATO in the aftermath of the war, amid signs that the existing fractures between Washington and other allies have deepened dramatically since the start of the Iran conflict.

Meanwhile, EU foreign ministers held symbolic talks in Ukraine on Tuesday as they scramble to keep attention on the war-torn country amid the conflict in the Middle East, which risks out draining out military stockpiles and fueling Moscow’s warchest as countries look for alternatives amid global oil and gas disruption. 

Speaking to Europe Today from Kyiv, Romanian Foreign Minister Oana Țoiu said the relationship between Ukraine and the EU is a “good” and “strong partnership”, despite President Zelenskyy recently drumming a series of deals with Gulf countries amid uncertainty over Western support.

With the EU’s pivotal €90 billion loan for Ukraine still in deadlock due to Hungary’s veto, Țoiu said that the EU needs “better instruments” to enable “faster decisions” on foreign policy.

TOP STORY | UKRAINE

Kallas insists Russian assets are an option if Orbán doesn't lift veto on Ukraine loan

Using Russia’s frozen assets to finance Ukraine remains an option if Viktor Orbán refuses to lift his veto on the €90 billion loan after the 12 April elections, EU High Representative Kaja Kallas said on Tuesday, Jorge Liboreiro reports.

Orbán has blocked the financial lifeline over an unrelated dispute with Kyiv regarding the Druzhba oil pipeline, after initially giving his political blessing to the loan in December when he, along with the Czech and Slovakian leaders, negotiated an exemption from any loan payments.

Kallas pointed out that the loan was a compromise deal when leaders failed to agree on leveraging Russian state assets immobilised within the EU due to scepticism led by Belgium, where a vast majority of the assets are held. Crucially, she said the assets should remain an option on the table if the loan continues to be blocked.

"Plan A was the use of frozen assets. So, we should also keep in mind that if plan B does not work, let's go back to plan A, but we definitely need to deliver Ukraine the financing that they need to resist the Russian aggression," Kallas said.

Standing alongside Kallas, Ukrainian Foreign Minister Andrii Sybiha echoed the message, saying the immobilised assets are "not off the table" and "cannot be taken off the agenda until and unless Russia pays all the reparations".

Jorge has more.

TOP STORY | HUNGARY

Frustration with Hungary mounts after leaked call shows foreign minister discussing EU sanctions removal with Russian counterpart

An explosive investigation released Tuesday by a group of European outlets showing the extent of the Hungarian Foreign Minister’s coordination with Moscow is exacerbating frustration in Brussels with the Orbán-led government.

The investigation includes a recording of a 2024 phone call between Hungarian Foreign Minister Péter Szijjártó and his Russian counterpart, Sergey Lavrov, in which Szijjártó offered to lobby to remove a Russian oligarch’s sister from EU sanctions at Lavrov’s request.

"I am calling at the request of Alisher, and he just asked me to remind you that you were doing something about his sister," Lavrov told Szijjártó, referring to Russian oligarch Alisher Usmanov and his sister Gulbahor Ismailova. 

The Hungarian minister responds by saying that "together with the Slovaks, we are submitting a proposal to the European Union to delist her." 

Asked about the investigation in a press conference in Kyiv on Tuesday, the EU’s foreign policy chief, Kaja Kallas said: “European ministers should work for Europe not for Russia.”

Speaking beside Kallas, Ukraine’s Foreign Minister Andrii Sybiha‎ called for a “proper reaction” from the EU.

Our correspondent Sándor Zsiros writes that the scandal has emerged as Hungary prepares for parliamentary elections on 12 April, with foreign interference and the government’s close ties to Moscow among the key campaign issues.

Szijjártó has defended his actions, arguing that speaking with Russian officials before and after such meetings is part of routine diplomatic practice.

Sándor has more on the allegations.