AGP Executive Report

G7 Diplomacy in France: US President Trump will join a G7 working session with Ukraine’s Zelensky in Evian, with no scheduled Trump-Zelensky bilateral, while Trump is set to meet French President Macron and other leaders on the sidelines. India-France Tech Push: PM Narendra Modi arrives in Nice and will meet Macron, then jointly inaugurate “Bharat Innovates 2026,” bringing ~120 Indian deep-tech innovators, ~15 higher-education institutions and 500+ investors across 13 sectors. Rail Competition: Velvet, backed by Antin, plans to launch a Paris–Bordeaux high-speed rival in 2028 using Alstom trains, aiming to absorb demand from crowded SNCF services. Protest Pressure Around the Summit: Geneva expects up to 50,000 demonstrators for a No G7 coalition march, after France declined permits near the Evian venue. Business & Markets Watch: Swiss voters vote Sunday on a Brexit-style 10m population cap that could reshape EU labor access and housing pressures. Security & Trade: Turkey reports a major drug seizure at the Greece border worth over €55m, underscoring cross-border trafficking risks.

G7 in France Watch: US President Donald Trump heads to the Evian summit with a packed agenda—economic growth, supply-chain resilience, illegal migration and AI—plus a working session with Ukraine’s Volodymyr Zelensky and separate meetings with Middle East leaders, while a dinner at Versailles with Emmanuel Macron is set for Wednesday. Middle East Energy Security: Trump is expected to push demining plans for the Strait of Hormuz with allies including France and Britain, as mediators say an Iran war framework is close; Pakistan signals possible rapid signing, while Iran stays cautious. US-India Friction: Ahead of the summit, Trump is set to meet Narendra Modi on June 17, amid recent diplomatic fallout after US naval actions killed three Indian sailors and India protested directly at senior level. ECB & Banking: The ECB’s first rate hike since 2023 is projected to add about €147m to Greek bank interest income as lending-deposit spreads widen. UK-French Trade Angle: Optimism is rising that a UK-US trade deal could be signed off within days, potentially before or around the G7. Whistleblowing Trend: France’s rights ombudsman reports a jump in whistleblower complaints in 2025, citing better awareness of protections.

G7 in France: Activists and civil society groups in Paris urged G7 leaders to push for a permanent Gaza ceasefire and keep the two-state solution alive as the “window of opportunity” narrows, with France set to relay the call to leaders meeting in Evian. Markets & oil: European shares jumped as Middle East de-escalation hopes dragged oil lower, lifting sentiment across STOXX 600 and Spain’s IBEX. Defence industry: Rheinmetall warned France could cut funding for the Franco-German tank programme after the FCAS fighter-jet collapse, while Spain’s defence firms formed a united push to move fast on a future fighter plan. France-India innovation: PM Modi heads to France for talks with Macron and the Bharat Innovates event, with deep-tech and startup funding on the agenda. Labour regulation: The ILO adopted the first global deal to protect gig workers on digital platforms, a major step for app-based work protections. Cyber & election integrity: France is stepping up its fight against foreign digital interference ahead of the 2027 election, citing serious threats. Energy & geopolitics: France’s foreign minister urged the US and Iran to sign an agreement and stressed restoring Strait of Hormuz shipping to ease inflation pressures.

G7 in Evian: France’s G7 agenda is sharpening around macroeconomic imbalances, digital security, Ukraine and the Middle East, with EU leaders António Costa and Ursula von der Leyen set to represent the bloc at the summit. Defense & industry: Canada and France will deepen classified intelligence sharing via a new general security of information agreement covering defence, space, AI and aerospace. Markets & IPOs: SpaceX’s record IPO sent shares up 11% on its first day, with Musk becoming the world’s first trillionaire—while investors watch how the AI IPO wave could reshape risk appetite. Energy transition: Airbus, Safran and partners are backing a major sustainable aviation fuel project in France, aimed at scaling lower-carbon fuel supply. Tech & media: Disney+ is expanding European public-service deals, including a new partnership in the Netherlands tied to a French reality format. Security & disinformation: France’s watchdog Viginum accuses BlackCore of meddling in foreign elections, including Scotland, and says the risk is “significant.” Inflation watch: France’s CPI is reported at 2.4% in May.

G7 Watch: France is gearing up for the Évian summit with a packed agenda on geopolitical crises, economic cooperation and AI, while China joins a rare virtual G7 call with Macron to defend free trade and push back on “imbalances.” Trade & Markets: Ahead of the summit, Canada’s PM Mark Carney is expected to keep a lower profile on Trump, as USMCA renewal talks loom and over 70% of Canadian exports go to the US. Energy Transition: France has released details for a major offshore wind tender: 10 GW across 11 projects (5 GW fixed-bottom, 5 GW floating), aiming to scale capacity sharply toward 2035. Pay Equity Law: France circulated an amended draft to implement the EU pay transparency directive after missing the June 7 deadline, with entry into force expected progressively from late 2026 to Jan 1, 2028. Crypto & Finance: Blockrise CEO says “anarchistic neobanks” are the next step for Bitcoin banking, as crypto-native platforms reshape how regulated finance connects to digital assets. Security & Influence: France’s disinformation watchdog Viginum links Israeli firm BlackCore to alleged election meddling beyond France, including New York and Scotland. Aviation & Industry: Airbus says the A320 family has crossed 20,000 cumulative orders, underlining continued narrowbody demand.

EU Foreign Policy Shake-Up: France and Germany are weighing a major overhaul of the EU’s diplomatic service (EEAS), including possible cuts to the powers of High Representative Kaja Kallas, as capitals argue the current setup is “dysfunctional” amid Ukraine, Middle East and China pressures. Defence Industrial Push: UAE’s EDGE launched EDGE Europe from Paris (Chaillot) with a Bordeaux engineering hub, aiming to build European defence capability faster through a partner-driven model. Aerospace After FCAS: After France and Germany scrapped the FCAS fighter-jet project, eight companies are lining up under “Team Gen 6” to develop a new next-gen jet. Press Freedom Clash: Israel denied entry and deported French journalist Alice Froussard, prompting French diplomatic regret and RFI’s protest over press freedom. Business & Tech: NAWAH opened its first North American VACNT composites materials plant in Ohio, with production ramping to 400,000 sq m/year from summer 2026. Energy/Industry: Ukraine and France discussed accelerating radar and Aster-30 missile cooperation to strengthen Ukrainian air defence. Markets & Policy: G7 talks in France via video included China, focused on global economic imbalances. Health/Finance: BeOne Medicines presented long-term Phase 3 CLL/SLL results for BRUKINSA in patients aged 80+ at EHA 2026.

Work & Health: Malakoff Humanis says absenteeism in France’s private sector hit 4.3% in 2025, up 25.5% vs 2019, with long sick leave (60+ days) rising and burnout/depression driving the longest cases. Nature & Land Use: France added 157,000 hectares of protected forest via seven new biological reserves and two expanded ones, mostly in French Guiana, as biodiversity protection faces pressure elsewhere. Carbon Pricing: The EU agreed tighter price controls for its new ETS2 carbon market: if permit prices exceed €45/ton, 40 million permits can be released from a stability reserve (twice a year), with revenues earmarked for bills, EVs and home renovations. Finance Tech: Abbove will power ING Belgium’s new digital wealth planning experience, tailored to ING’s advisory model for personal and private banking clients. Energy Security (G7): Japan plans to push “Look East” style energy-security principles at the G7 in France, focusing on free trade, oil reserves and Strait of Hormuz navigation. Defense Industrial Shift: Germany is moving to build a sixth-generation fighter after FCAS collapse, with Airbus leading a new alliance. Consumer Watchdog: A French consumer body flags risks in car leasing deals (LLD/LOA), including deposit and roadworthiness-test loopholes. Middle East Policy: Israel settlement expansion remains in focus as new funding for 61 settlements is reportedly set for approval, amid coordinated Western sanctions targeting networks tied to West Bank violence.

Carbon Markets Under Scrutiny: A major Senegal mangrove restoration project sold “ghost carbon” credits, with scientists warning much of the claimed CO₂ removal may never have been stored, reigniting doubts about voluntary carbon-market science and credibility. Defense Industrial Shift: After the FCAS fighter-jet collapse, France says it will keep next-gen fighter work through 2040, while Germany pushes a “Team Gen 6” alliance to preserve sixth-generation know-how. Media & Streaming Deal: Disney+ in France will carry live sports from La Chaîne L’Équipe, including World Cup coverage and major events like Le Mans and biathlon. Capital Markets: MK2 opens its capital to the public for the first time via a crowdfunding drive to modernize its Paris cinema complex. Startup Funding: French/Ukraine air-defense drone maker Alta Ares raises €50m to scale AI-guided interceptor production. Telecom/Investing: A Bouygues-led consortium signs to buy SFR from Altice France in a deal worth about €23.4bn. Business & Society: Dutch plans would restrict child influencers under 16 from monetised social media content, treating it like child labour.

Healthcare Strike: Staff at Louis-Constant Fleming Hospital in Marigot began a strike June 5 over poor working conditions, material shortages and unstable management, including repeated director changes. EV Charging Rollout: France targets 30,000 EV chargers on autoroutes and RN roads by 2035, with most at service areas and 8,000 reserved for lorries, requiring coordination across ministries. Sanctions & Diplomacy: France banned Israeli Finance Minister Bezalel Smotrich from entering the country and joined coordinated sanctions targeting people and groups linked to West Bank settler violence. World Cup Business Buzz: Messi-themed plush “goats” are booming in China ahead of the tournament, showing how fan merchandise is driving demand even as consumption stays sluggish. Tech & Robotics Glitz: Cannes spotlighted AGIBOT X2, a humanoid robot mixing fashion, sports and tech demos as brands chase new AI showpieces. Logistics Outlook: A European logistics event framed warehouses as critical infrastructure for ecommerce and essential goods delivery, with investors focused on long-term fundamentals. Energy Security: Macron is convening a global videoconference with China ahead of the G7, aiming to broaden economic dialogue beyond Western circles.

Cybersecurity: France’s state messaging app Tchap was breached; ANSSI says an account was identified and blocked, but investigators are still checking what was taken, and users were reminded that public chatrooms aren’t encrypted. Semiconductors & Industry: France is backing “Tessalia,” a €250m advanced chip packaging plant in Le Barp led by Foxconn with Thales and Radiall, aiming to strengthen Europe’s semiconductor resilience. Sanctions & Foreign Policy: France joined a coordinated push by the UK, Canada, Australia, Norway and New Zealand with new sanctions targeting West Bank settler violence; France also banned Israeli Finance Minister Bezalel Smotrich from entering, alongside entry bans for other figures. Public Policy & Daily Life: A France rail digest flags the end of cardboard tickets on Île-de-France trains, plus upcoming tax correction options and travel disruption risks. Business & Mobility: Orange’s planned SFR acquisition deal (€24bn) keeps reshaping France’s telecom market. Sports & Economy: With World Cup hype rising, France’s FCAS fighter-jet project collapse also underlines how defense industrial disputes can hit broader European cooperation.

Defence Shake-Up: France and Germany have agreed to end the Future Combat Air System (FCAS) joint fighter jet after Airbus and Dassault failed to align on leadership and work-sharing, though they plan to keep parts of the programme as a broader “combat cloud” network. G7 & Trade Tensions: South Korea’s President Lee Jae-myung is in Europe for talks ahead of the G7 in Évian, with economic security and peace on the Korean Peninsula on the agenda, while EU leaders prepare supply-chain diversification measures that could further inflame trade tensions with China. Corporate & Logistics: Geodis opened its first port hub in Le Havre, bundling sea, air, rail and contract logistics to streamline import-export flows. Consumer & Retail: A French online returns dispute highlights the need to check return costs and addresses before ordering. Tech & Business: Nintendo faces a major French fine over faulty Switch Joy-Con controllers, while Capcom confirmed Resident Evil Veronica is due in 2027. Healthcare Regulation: A French medical ban case shows how weak cross-border sharing can allow a struck-off doctor to keep practising abroad.

Telecom Deal: Bouygues-led consortium (Bouygues Telecom, Orange and iliad) has finally agreed to buy Altice France’s SFR for €20.35bn, reshaping the French mobile market from four operators to three, with closing targeted for H2 2027 pending regulators. Consumer Protection: France’s DGCCRF fined Nintendo €35m over Switch Joy-Con drift, accusing the firm of misleading consumers by staying silent before offering free repairs. Sports & Business: FIFA and Belgium’s FA have settled Lassana Diarra’s €65m transfer dispute, after a CJEU ruling forced FIFA to amend transfer rules. Port Enforcement: In Le Havre, nearly 38,000 counterfeit trainers seized in 2011 were finally destroyed after a 15-year court fight. Defense & Industry: France and Germany are scrapping their joint Future Combat Air System fighter jet plan after company disagreements, while France also signals higher UAV spending tied to rearmament. Energy & Food Security: The G7 is assessing fertilizer supply risk after Hormuz-related disruptions, with nitrogen prices up sharply in France. Aviation Connectivity: Wizz Air will equip its fleet with Starlink satellite internet from 2027. Regulation Watch: Ofcom warns social platforms to prepare for World Cup spikes in online abuse.

Telecom Deal: Orange, Bouygues Telecom and iliad signed an MoU to buy SFR from Altice France, a major consolidation move aimed at boosting investment in France’s digital networks. AI & Finance: Amundi and other French financial groups are reshuffling sustainability leadership, while hyperscalers keep tapping international bond markets to fund massive AI infrastructure build-outs. Geopolitics & Defence: France, the UK and Germany pushed for an “urgent need” to scale up defensive weapons and deep-strike capabilities after Russia’s Oreshnik missile attacks, with G7 coordination in the spotlight. Sanctions Pressure: France is working with European partners on coordinated national sanctions against “violent” and “extremist” West Bank settler groups after EU unanimity stalled. Hospitality VAT Politics: UK hospitality leaders backed Andy Burnham’s push to cut VAT on pubs and restaurants—an idea that keeps resurfacing across Europe as businesses plead for relief. Tech Regulation: The EU moved to curb US cloud dominance for sensitive government work, adding new sovereignty risk checks that hit Amazon, Microsoft and Google Cloud. Business & Sport: FIFA World Cup fever is already driving bookings and retail demand, while French players’ image-rights tensions with Betclic add noise to the build-up.

Telecom Deal: Bouygues Telecom, Free and Orange agreed a €20.4bn joint bid for Altice’s SFR, aiming to split assets and cut the market from four to three operators—regulators now face the big question of whether consolidation will hurt competition or boost fibre/5G investment. Public Finance & Pensions: An Ifop poll finds nearly half of French people think pension cuts are unavoidable to reduce public debt, with growing debate over retirees’ living standards as budget pressure mounts. Middle East Sanctions: France says more sanctions on Israeli settlers could follow in the coming days as EU consensus stalls; Ireland also imposed travel bans on Ben-Gvir and Smotrich, while the UK readies measures to deter involvement in a proposed West Bank settlement plan. Global Economy Watch: The Middle East conflict is nearing 100 days, and OECD-linked forecasts warn weaker growth, higher inflation and supply-chain damage are spreading beyond the region. Crypto Tax Move: Greece is drafting a 15% flat tax on crypto capital gains with a €500 exemption, positioning itself as a clearer, more investor-friendly hub. Sports Business: Mbappé and Cherki are reportedly upset with the FFF over image-rights use in a Betclic betting ad, raising another headache for football’s commercial partnerships.

Telecom Deal Watch: Bouygues Telecom, Orange and Free-iliad have signed an MoU to buy Altice France’s SFR in a €20.35bn deal (incl. debt), with a breakup that would cut France’s mobile operators from four to three—now headed for regulatory scrutiny and a likely 2027 close. Geopolitics & Sanctions: France is coordinating with allies on national sanctions (asset freezes and travel bans) against individuals linked to West Bank violence, after EU unanimity stalled. Energy Security: Azerbaijan’s SOCAR is positioning itself as a gas “buffer” around Israel, expanding stakes and LNG flows to keep supply steady when Israeli exports pause. AI at Work: A BCG study finds AI use is surging among office workers, but many firms struggle to turn saved time into measurable productivity gains. Crypto Policy Debate: A new Europe-wide petition calls for banning bitcoin use and possession over energy and climate concerns. Security Threats: Reports highlight growing hostile-state recruitment of teenagers for spying and sabotage across Europe. Africa Investment Push: Macron unveiled a €23bn Africa partnership plan spanning energy, agriculture, digital and industry.

Energy & Geopolitics: Russian LNG imports into Europe are still rising, with exports up 11.5% year-on-year in the first five months of 2026 and deliveries to Europe up 16.7%, even as the EU prepares tighter phase-out rules by 2027—France, Belgium and Spain remain among the biggest buyers. Consumer & Industry Investment: Ferrero confirms €60m in upgrades in France, including work at its Villers-Écalles site and a €30m push for Nutella Cookies capacity in Nieppe (Hauts-de-France), supporting thousands of jobs. Real Estate: France’s DPE energy ratings are increasingly shaping property decisions, with buyers factoring in energy costs as rental rules tighten for the worst-rated homes. Corporate Finance: Ecobank resumes dividends for the first time since 2022, approving a $40m payout after record 2025 profits and improved efficiency. Tech & Finance: SpaceX’s planned Nasdaq IPO targets a $1.77tn valuation, with Morgan Stanley projecting $3.4tn revenue by 2040 and a major Google cloud deal ahead of listing. Policy & Compliance: Schengen countries including Germany, France and others respond to claims of bot-driven visa appointment black markets, with Germany pointing to a waiting-list system. Business & Society: A French association has revived a 17km heritage railway line in Charente as a tourist attraction, betting on local tourism demand.