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EU devises legal loophole to bypass Hungary veto on support for Ukraine

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EU devises legal loophole to bypass Hungary veto on support for Ukraine

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The EU has devised a legal workaround to sidestep Hungary’s veto on buying weapons for Ukraine with the profits generated by Russia’s frozen assets this year, in a move that could also clear the way for the G7 to pay $50bn to Kyiv.

EU chief diplomat Josep Borrell told the Financial Times that since Hungary abstained from an earlier agreement to set aside the proceeds from Russia’s frozen assets, it “should not be part of the decision to use this money”.

He added that the workaround, which on Monday released up to €1.4bn to purchase military equipment for Kyiv, was “as sophisticated as every legal decision, but it flies”.

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Bypassing Budapest this way could also remove a hurdle that could complicate G7 efforts to raise a $50bn loan for Kyiv by December — designed to be paid off by the future proceeds — a decision taken by leaders at a summit in Italy earlier this month.

About €210bn are immobilised in the EU, the bulk of which is in Belgium — and the bloc earlier this year agreed to use the profits generated as of February to buy arms for Ukraine.

Hungary, the EU’s most pro-Russian member state, has long argued against the 27-country bloc collectively providing military support to Ukraine. Budapest is also blocking seven other decisions related to arming Kyiv, worth about €6.6bn.

The legal workaround was not challenged by EU foreign ministers at a meeting in Luxembourg on Monday. It could also be crucial for the G7 deal to work and for the $50bn loan to be issued by the end of the year. Under the G7 plan, the profits generated by Russia’s frozen assets from next year will be spent on paying off the loan.

Hungary’s foreign minister Péter Szijjártó did not strongly object when the details of the legal workaround were presented at the meeting, according to two people briefed on the private discussions.

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That has raised hopes among other ministers that Budapest would not consider its own legal options to block it, the people added.

But some capitals are concerned about the legal basis used for the loophole, officials said, and the potential precedent it could set for other issues where Brussels could circumvent potential vetoes.

Szijjártó told reporters on Monday: “The pro-war hysteria continues . . . Many governments are preparing for a long war, and the commandments ‘we must act faster for Ukraine, we must do more for Ukraine’ have been constant.” 

On blocking seven other decisions related to arming Kyiv, worth about €6.6bn, he said: “Instead of arms shipments, we are advocating a ceasefire.”

Concerns from the US and other G7 partners over Hungary likely blocking an EU decision to keep the Russian assets immobilised indefinitely caused significant delays in the negotiation over the $50bn loan. The legal workaround for the EU use of proceeds is likely to suffice in guaranteeing the payout of the loan, according to officials familiar with the matter.

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However, Hungary could still block EU sanctions under which Russian assets are blocked, a decision that needs to be renewed unanimously every six months by the EU’s 27 countries, officials said.

Borrell said Brussels had offered Hungary a similar deal to the one Nato struck with Prime Minister Viktor Orbán last week — giving Budapest an opt-out from activities supporting Ukraine in exchange for not vetoing other allies assisting Kyiv under the alliance umbrella — but it had been rejected.

“We have offered Hungary: your money will not be used to support Ukraine in any means. Not just lethal, but on anything. Take your money. Put your money out of the box. I don’t want to use your money,” Borrell said.

But Hungary had said no, he added.

“Even if they are offered not to be part of team, and their money will not be used for Ukraine . . . it has not been enough.” The chief diplomat said Budapest’s position “has something to do with the strong links that they have with Russia”.

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A spokesperson for the Hungarian government declined to comment.

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Amazon accused of listing products from independent shops without permission

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Amazon accused of listing products from independent shops without permission

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Amazon has been accused of listing products from independent retailers without their consent, even as the ecommerce giant sues start-up Perplexity over its AI software shopping without permission.

The $2.5tn online retailer has listed some independent shops’ full inventory on its platform without seeking permission, four business owners told the Financial Times, enabling customers to shop through Amazon rather than buy directly.

Two independent retailers told the FT that they had also received orders for products that were either out of stock or were mispriced and mislabelled by Amazon leading to customer complaints.

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“Nobody opted into this,” said Angie Chua, owner of Bobo Design Studio, a stationery store based in Los Angeles.

Tech companies are experimenting with artificial intelligence “agents” that can perform tasks like shopping autonomously based on user instructions.

Amazon has blocked agents from Anthropic, Google, OpenAI and a host of other AI start-ups from its website.

It filed a lawsuit in November against Perplexity, whose Comet browser was making purchases on Amazon on behalf of users, alleging that the company’s actions risked undermining user privacy and violated its terms of service.

In its complaint, Amazon said Perplexity had taken steps “without prior notice to Amazon and without authorisation” and that it degraded a customer shopping experience it had invested in over several decades.

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Perplexity in a statement at the time said that the lawsuit was a “bully tactic” aimed at scaring “disruptive companies like Perplexity” from improving customers’ experience.

The recent complaints against Amazon relate to its “Buy for Me” function, launched last April, which lets some customers purchase items that are not listed with Amazon but on other retailers’ sites.

Retailers said Amazon did not seek their permission before sending them orders that were placed on the ecommerce site. They do not receive the user’s email address or other information that might be helpful for generating future sales, several sellers told the FT.

“We consciously avoid Amazon because our business is rooted in community and building a relationship with customers,” Chua said. “I don’t know who these customers are.”

Several of the independent retailers said Amazon’s move had led to poor experiences for customers, or hurt their business.

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Sarah Hitchcock Burzio, the owner of Hitchcock Paper Co. in Virginia, said that Amazon had mislabelled items leading to a surge in orders as customers believed they were receiving more expensive versions of a product at a much lower price.

“There were no guardrails set up so when there were issues there was nobody I could go to,” she said.

Product returns and complaints for the “Buy for Me” function are handled by sellers rather than Amazon, even when errors are produced by the Seattle-based group.

Amazon enables sellers to opt out of the service by contacting the company on a specific email address.

Amazon said: “Shop Direct and Buy for Me are programmes we’re testing that help customers discover brands and products not currently sold in Amazon’s store, while helping businesses reach new customers and drive incremental sales.

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“We have received positive feedback on these programmes. Businesses can opt out at any time.”

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Trump says Venezuela will turn over 30 million to 50 million barrels of oil to US | CNN Business

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Trump says Venezuela will turn over 30 million to 50 million barrels of oil to US | CNN Business

President Donald Trump said Tuesday night that Venezuela will turn over 30 million to 50 million barrels of oil to the United States, to be sold at market value and with the proceeds controlled by the US.

Interim authorities in Venezuela will turn over “sanctioned oil” Trump said on Truth Social.

The US will use the proceeds “to benefit the people of Venezuela and the United States!” he wrote.

Energy Secretary Chris Wright has been directed to “execute this plan, immediately,” and the barrels “will be taken by storage ships, and brought directly to unloading docks in the United States.”

CNN has reached out to the White House for more information.

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A senior administration official, speaking under condition of anonymity, told CNN that the oil has already been produced and put in barrels. The majority of it is currently on boats and will now go to US facilities in the Gulf to be refined.

Although 30 to 50 million barrels of oil sounds like a lot, the United States consumed just over 20 million barrels of oil per day over the past month.

That amount may lower oil prices a bit, but it probably won’t lower Americans’ gas prices that much: Former President Joe Biden released about four to six times as much — 180 million barrels of oil — from the US Strategic Petroleum Reserve in 2022, which lowered gas prices by only between 13 cents and 31 cents a gallon over the course of four months, according to a Treasury Department analysis.

US oil fell about $1 a barrel, or just under 2%, to $56, immediately after Trump made his announcement on Truth Social.

Selling up to 50 million barrels could raise quite a bit of revenue: Venezuelan oil is currently trading at $55 per barrel, so if the United States can find buyers willing to pay market price, it could raise between $1.65 billion and $2.75 billion from the sale.

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Venezuela has built up significant stockpiles of crude over since the United States began its oil embargo late last year. But handing over that much oil to the United States may deplete Venezuela’s own oil reserves.

The oil is almost certainly coming from both its onshore storage and some of the seized tankers that were transporting oil: The country has about 48 million barrels of storage capacity and was nearly full, according to Phil Flynn, senior market analyst at the Price Futures Group. The tankers were transporting about 15 million to 22 million barrels of oil, according to industry estimates.

It’s unclear over what time period Venezuela will hand over the oil to the United States.

The senior administration official said the transfer would happen quickly because Venezuela’s crude is very heavy, which means it can’t be stored for long.

But crude does not go bad if it is not refined in a certain amount of time, said Andrew Lipow, the president of Lipow Oil Associates, in a note. “It has sat underground for hundreds of millions of years. In fact, much of the oil in the Strategic Petroleum Reserve has been around for decades,” he wrote.

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Video: Nvidia Shows Off New A.I. Chip at CES

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Video: Nvidia Shows Off New A.I. Chip at CES

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Nvidia Shows Off New A.I. Chip at CES

At the annual tech conference, CES, Nvidia showed off a new A.I. chip, known as Vera Rubin, which is more efficient and powerful than previous generations of chips.

This is the Vera CPU. This is one CPU. This is groundbreaking work. I would not be surprised if the industry would like us to make this format and this structure an industry standard in the future. Today, we’re announcing Alpamayo, the world’s first thinking, reasoning autonomous vehicle A.I.

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At the annual tech conference, CES, Nvidia showed off a new A.I. chip, known as Vera Rubin, which is more efficient and powerful than previous generations of chips.

By Jiawei Wang

January 6, 2026

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