The three shocks that shook the world in 2025 and sank European ambition

Economist and former Greek minister Yanis Varoufakis argues that the year 2025 marked the final collapse of the post-Cold War global order, exposing Europe's strategic weakness. According to him, three major developments changed the global balance and left the European Union at a disadvantage.

The first blow was the end of the war in Ukraine in favor of Russia. Varoufakis estimates that the EU and NATO took a contradictory stance: they promised victory for Kiev, but without the necessary funding. The war was used as a means of economic stimulation through the military industry, but without a real strategy for peace. With the approach of an imposed agreement, Europe lost both its economic pretext and geopolitical influence.

The second blow is related to the US-China trade war, where, according to Varoufakis, China emerged victorious. Beijing used its dominance over rare metals and invested heavily in technological autarky, neutralizing Western embargoes. Meanwhile, Europe was doubly hit: excluded from the Chinese market and deprived of the industrial benefits that the US offered its companies.

The third blow was the tariff agreement between the US and the EU, reached under pressure from Donald Trump. Tariffs on European exports to the US were significantly increased, while the EU committed to massive investments in American industry. Varoufakis calls this an “unprecedented capital flight” and a capitulation that formalizes Europe’s economic dependence.

According to Varoufakis, these three blows created a new G2 world order, dominated by Washington and Beijing, while Europe and the United Kingdom remain without a clear role. His conclusion is clear: in an era of existential confrontation, strategic dependence equates to a loss of global influence and relevance.

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