EU still searching for unanimity on Ukraine

All but one European leader at March's EU Council summit agreed to continue with Brussels' "peace through strength" strategy for Ukraine, promising continued and new military support while welcoming a U.S.-Ukraine initiative for a 30-day ceasefire.

Hungary's Prime Minister Viktor Orban, reflecting Budapest's long-term stance against military support for Ukraine, did not add his signature to the joint statement, which was supported by the other 26 European Union member states.

Earlier in the week Hungary's European Affairs Minister Janos Boka explained why, saying Budapest believes the text — which refers to "Russia's war of aggression" and encourages putting Ukraine "in the strongest possible position" – is not compatible with Budapest's view of the future of European security.

But all other EU members supported the text, which also calls for further sanctions and strengthening the enforcement of existing measures.

Russia has so far rejected calls for an immediate, unconditional 30-day ceasefire. And Ukraine accuses it of breaking a verbal agreement to stop mutual attacks on energy infrastructure.

As well as strengthening Ukraine's security, which EU leaders believe also helps protect the rest of Europe, a new way to fund defense purchases is taking shape in Brussels.

Two routes to defense purchases

EU Commission President Ursula von der Leyen told reporters after the leaders' summit on Thursday there are two routes member states can take to use more money for defense purchases.

One, called the SAFE programme, will provide an EU-wide loan worth around $160 billion to member states who want to buy equipment that fills key gaps in European security. That includes air and missile defense, drone production and artillery.

But they will only be allowed to spend this money to buy equipment made by companies within the EU, or partners like Ukraine, in an attempt to boost the bloc's defense industry and help increase European growth.

The other scheme loosens EU restrictions that prevent states borrowing too much money, which will free hundreds of billions of euros extra exclusively for defense investment.

But the suggestion of EU foreign policy chief Kaja Kallas – to send up to an extra $40 billion to Ukraine for urgently-needed artillery shells – has seemingly faded out. Italy and France in particular are against a new cash injection in military funding for Ukraine, despite Volodymyr Zelenskyy's request on Thursday for urgent additional help to the tune of $5 billion.

European Union leaders also discussed how best to avoid an escalating trade war with the United States.

U.S. President Donald Trump threatened EU wine and spirits with a 200 percent tariff if the EU sanctions certain American products, worrying countries including France that they will be particularly hard hit in any trade war.

As a result, Brussels is delaying its first set of U.S. retaliatory tariffs for an extra two weeks to give breathing room for negotiations and allow for internal discussions within the single market about how best to respond.