UNITED KINGDOM ITALY FORUM Inside Corbyn’s activist army A government on the brink The election from hell British leftists are sharing ideas and strategies Tensions are already escalating between In the UK’s imminent ballot, voters with former Bernie Sanders staffers 5 Rome’s uneasy coalition partners 6 search for the least worst option 18

POLITICO.EU DECEMBER 5-11, 2019

VOLUME 5, NUMBER 40

V MALTA Muscat to go, but not yet Crisis could be major test for Brussels 8 THIERRY BRETON: HIGH-SPEED COMMISSIONER

France’s prominent tech companies and Macron wanted to keep intact the “Europe is at a crossroads: faced man in BY LAURA KAYALI become a European commissioner. sweeping portfolio he had negotiated, with major technological and societal Brussels IN STRASBOURG The Frenchman talked to overseeing the EU’s internal market, challenges, including in terms of POLITICO at his temporary office in industrial and digital policies, defense culture and media,” Breton said. “I wants Thierry Breton was having dinner Strasbourg, just a few hours after the and space — a job so big that the am concerned about the economic to move with his wife when his phone rang. European Parliament voted to approve Elysée was struggling to find qualified situation as well,” he added. “That’s fast — at It was Emmanuel Macron. him and the 25 other members of candidates. also why I said yes.” “I am always called when there Ursula von der Leyen’s top team. Breton, who like Macron served At a time of heightened tensions the risk is a fire,” Breton said, recalling Macron, indeed, needed a fireman. as French economy minister before between the world’s biggest of ruffling the moment when the French His first pick, Sylvie Goulard, going on to head the tech giant Atos, economic powers, Breton’s portfolio feathers president asked him to quit his job had been rejected by the European asked to sleep on it. By morning he as CEO of one of the country’s most Parliament over ethics concerns. had made up his mind. SEE BRETON ON PAGE 14

BEHIND BARS WITH ’S SEPARATISTS ISSN 2406-5250 ISSN

The road to Lledoners jail is a carpet of yellow in Cuixart’s case — for playing a role in the Jordi Cuixart, the jailed ribbons. outlawed referendum on Catalan independence Activists have spray-painted the llaç symbol in October 2017. head of a Catalan NGO, across the tarmac to demand the release of “I haven’t come to prison to fight to leave the continues to advocate for Catalonia’s convicted separatist leaders, seven prison, even though it’s a pain to be here. My ‘self-determination’ from of whom are locked up in this vast complex of priority is the solution of the political situation,” washed-out orange walls and green fences, 70 Cuixart says through a telephone. prison kilometers from . Most of the jailed Catalan leaders are regional Jordi Cuixart, the 44-year-old president politicians who pressed ahead with the vote of Catalan NGO Òmnium Cultural, presses despite a Constitutional Court ban and the BY EDDY WAX a palm on the glass wall dividing prisoners Spanish federal police’s attempts to confiscate IN BARCELONA PROVINCE, from visitors as a greeting. He is one of a ballot boxes and voting slips. dozen separatists sentenced by Spain’s highest ILLUSTRATION BY DAVE MURRAY FOR POLITICO court last month — to nine years in prison SEE CATALONIA ON PAGE 22 News XXXXXXX

Catalonia

CONTINUED FROM PAGE 1

Catalonia’s former Vice President and ex-Foreign Minister Raül Romeva were talking to visitors in adjacent phone boxes. But Cuixart, with his polka-dot shirt, earrings and gray mullet, portrays himself as more a cultural figure than a politician. “We didn’t organize the referendum; we only asked people to participate,” Cuixart says. He was incarcerated for orchestrating a 40,000-strong rally outside the Catalan government’s economy ministry as it was being combed for election material by military police before the referendum, and also for encouraging the referendum itself. PRISON LIFE

Cuixart is well aware he could serve many years behind bars: “This conflict is not going to be wrapped up in two or three years.” He and his wife married in the prison last year and she is allowed to visit him once a month in a private “I haven’t room during a so-called conjugal visit. come to That’s how Camí, the couple’s second son, whose unusual Catalan name prison to means “the path,” came to be born fight to just over two months ago. Cuixart was briefly allowed out to attend the birth. leave the He meditates and teaches fellow inmates how to make prison, even ceramics and write about their though it’s experiences. Chinese dissident artist Ai Weiwei paid him a visit last year. a pain to Each week, he is entitled to eight be here. My phone calls of no longer than eight minutes. His cell is 8 meters squared. priority is While admitting that there are days when he feels down, Cuixart the solution comes across as remarkably upbeat of the and says he was “very fortified” by a recent report from human political rights NGO Amnesty International situation.” condemning his conviction. “Despite the violence of the state, JORDI CUIXART the repression [and] the political prisoners, the independence movement electorally continues in a strong way,” Cuixart insists. government for not coming up with The judges write that Cuixart stood atop a police car. Yet even though Catalan pro- a proposal for Catalonia. He has urged issued social media messages calling “No one spoke of violence on that independence parties scored their Spain’s acting Prime Minister Pedro protesters to the economy ministry day,” he says. “The judges began to strongest-ever general election result Sánchez, who has struck a post- where, after making arrests, the call it a ‘riotous mass of people’ 15 on November 10, they only took 42.6 election governing pact with the military police were forced to take days later. It’s a key word, ‘riotous.’ percent of the vote. Catalonia is a leftist Podemos, to open dialogue refuge inside. Seven police cars were It’s the word the judge needs to prove region divided. with the Catalan government. damaged, police attempting to leave .” Juan, a Colombian taxi driver who UPHEAVAL had objects thrown at them and some The Supreme Court ruled that the has lived in Barcelona for 15 years, could only leave at 7 a.m. the next October 1 referendum “was a riotous is fed up with the violent protests The Supreme Court convicted Cuixart morning. uprising encouraged by the accused that have rocked the city since for sedition, defined in Spanish law Els Jordis, as the pair have come to [Jordi Cuixart] among many other the Supreme Court judgment last as “rising up publicly and riotously be known, “exerted an indisputable people.” month. He says the resulting road to obstruct, by force or outside legal capacity for leadership” during the “I have no regrets whatsoever,” he closures and traffic jams are deterring channels, the application of Spanish protests, the judgment says. said at his trial in June. “Everything tourists, damaging the region’s law.” Cuixart, who has been in prison I did I would do again because I am economy and making him want to The court’s judgment describes how ever since a court order was convinced it is what had to be done.” leave. 10 days before the failed independence issued on October 16, 2017, denies And he repeated the point for “Don’t believe everything you hear referendum, Cuixart and Jordi masterminding the September emphasis: “When I say I’d do it [in the prison],” he warns, swinging Sànchez, the head of another pro- 20 rally, calling it a “spontaneous again, I’m talking about exercising the car into a detour. independence grassroots movement protest” for Catalans’ basic human my human rights ... What I’m fighting From the Spanish government’s who has also been jailed, organized rights, and says he told people to for is the right to self-determination.” perspective, Cuixart’s case is closed. two days of protest in Barcelona. leave through a megaphone as he ACTIVISM Rafael Simancas, secretary-general of the governing Socialist Party Cuixart, who describes himself as a (PSOE) in Congress, says: “Spain is “socio-cultural and political activist,” a country which has the rule of law. is convinced his imprisonment has [The Catalan leaders] received a trial nothing to do with the events that with all the guarantees of a mature night. democracy ... and they have been “They’re not judging the fact that convicted in line with what the court I called a protest but because I am established.” leading a cultural organization,” He continues: “From the Spanish Cuixart says. parliament, we have nothing more An entrepreneur from a small to add. It was a fair trial and he Catalan town who did not go to received a sentence conforming to university, Cuixart has never been an the resolution of this fair trial. elected politician, unlike fellow civil Nobody is above the law and we society leader Jordi Sànchez, who all have to submit to the dictates of won a seat in the regional parliament the courts, Mr. Cuixart and myself after his arrest. The Supreme Court included.” banned Cuixart from public office for In Lledoners jail, Cuixart has nine years nonetheless. demanded a new referendum Cuixart launched his own business and criticized Spain’s Socialist Lledoners Penitentiary Center outside Barcelona. EDDY WAX/POLITICO making packaging machines before December 5, 2019 Page 23 TRUMP’S LATEST TRADE WAR: FRENCH CHAMPAGNE VS. GOOGLE TAXES

Fresh threats from White House escalate tensions on the world stage

BY DOUG PALMER AND MARK SCOTT U.S. President First France went after Google and Donald Amazon with a fresh set of taxes. Trump has a On Monday, U.S. President Donald complicated Trump threatened to retaliate relationship against two beloved French exports: with Big Tech. Champagne and cheese. This latest global trade dispute SHAWN THEW/EPA pits Trump against a long-standing ally, months after France approved a platforms, although evidence is and its binding dispute settlement “digital services tax” aimed at making lacking and the companies deny it. system. But Trump has revived major U.S.-based tech companies Trump’s most acrimonious use of the 1974 law, even though it like Google, Apple, Facebook and tech relationship is with Amazon appears to be at odds with WTO rules Amazon fork over more revenue. and its CEO, Jeff Bezos, whom he against unilaterally raising tariffs. The issue had been on the has repeatedly bashed on Twitter. (The administration is separately backburner since August, after The president’s criticism is often undercutting the WTO’s ability to Trump and French President related to coverage in the Bezos- settle disputes.) Emmanuel Macron agreed to a 90- owned Washington Post. He also When countries impose day truce while they tried to reach has attacked Amazon for not paying retaliation, including in those cases a long-term agreement on how tech state and local taxes, even though it approved by the WTO, they try to hit companies should be taxed. That has in recent years. products that will maximize pressure deadline passed last week without Trump champions some tech on their rivals to change policy. That’s a deal. innovation, however, given its what Trump is doing by targeting On Monday, the Office of the potential to grow the economy: The French sparkling wine and cheese, U.S. Trade Representative released U.S. is a leader in robotics, driverless while simultaneously giving a boost results of an investigation that cars and artificial intelligence. to domestic companies. determined that France’s tax unfairly Trump has defended the tech WHY SHOULDN’T TECH COMPANIES discriminates against big U.S. tech industry on the international stage, PAY THEIR FAIR SHARE IN EUROPE? companies. most prominently by going after China If another solution isn’t worked for theft of American intellectual The Trump administration says the out, tech companies could pay property. He also has lashed out at tax is structured to punish large U.S. hundreds of millions of more dollars European regulators’ antitrust and tax companies that are major players and in taxes and U.S. consumers would investigations of big tech companies, spare French firms doing similar work have have to pay double for Dom though his administration has on a much smaller scale. French Pérignon, Le Creuset cookware and launched similar probes. policymakers fueled the perception Roquefort cheese. His message seems to be: “We can with references to the new levy as a U.S officials also indicated they beat up on our own tech firms, but “GAFA” tax — short for Google, Apple, could investigate other European foreigners keep your hands off.” Facebook and Amazon. countries contemplating digital The U.S. also worries a number of WHAT DO CHAMPAGNE AND tax plans, putting them in cross- CHEESE TARIFFS HAVE TO DO WITH other countries, in search of new tax hairs of future tariff action if they FACEBOOK AND GOOGLE? revenue, could follow France’s lead. being elected as Òmnium’s president There were follow through. They also said they Even close trade allies like Canada by its members in 2015. violent clashes are prepared to counter Europe’s Trump’s chief trade official, Robert have said they want to impose similar He describes the jailing of two between police broader regulatory clampdown on Lighthizer, is threatening France taxes. Some of the most successful heads of private organizations as and protesters American tech firms. with 100 percent tariffs on up to $2.4 U.S. companies could soon face a web “something without comparison in in Barcelona, The latest salvo threatened to billion worth of French products — of discriminatory taxes around the Western Europe.” on the day that further strain relations with France including Champagne, cheeses, world, giving domestic competitors in Cuixart, who still nominally at least the separatist and other European countries during handbags, soaps and fine dinnerware. each of those markets an advantage. pulls the strings of the organization leaders were this week’s NATO meeting in London, He also said the U.S. could impose Additionally, the United States from Lledoners jail, says he dedicates sentenced to which Trump attended. With tensions fees or restrictions on French says France and others considering 80 percent of his time to culture. time in jail. rising, here’s what you need to know services firms, such as banking and a digital services tax are intruding “We have more cultural activity than about the tussle: engineering companies, operating in into an area where the U.S. has taxing political.” PAU BARRENA/AFP the United States. The final tally of rights, but they don’t. VIA GETTY IMAGES WHY WOULD THE FRENCH START A But Òmnium has a rich political any retaliation is expected to reflect TAX WAR WITH TECH COMPANIES? HOW DOES THIS END? history. It was founded and then the estimated harm of the new digital banned in the 1960s as dictator Some European countries have been services tax on U.S. companies. Discussions are taking place. Francisco Franco clamped down on moaning for years about missed tax Lighthizer is giving importers an In October, the Organization Catalan identity and language. The revenue from tech giants, many of opportunity to argue that certain for Economic Cooperation and organization gives prizes for scientific which have hundreds of millions items should be excluded from the Development, a group of mostly rich and literary achievements in Catalan of users across the region but pay duties. On the flip side, domestic nations, announced it would create a and is mostly funded by its 180,000 almost nothing into national coffers. manufacturers or farmers can push global set of rules to divvy up some members. Broader digital tax proposals at the for other products to be slapped with of the profits created by the world’s He says the organization is European Union went nowhere, so tariffs. tech giants. necessary partly because the individual countries pushed ahead Once a public comment period is The hope is for an initial agreement Cervantes Institute, the cultural arm on their own. all done, Lighthizer will issue a final in early 2020 about how individual of the Spanish foreign ministry, fails France got there first: Lawmakers list of goods and services subject to countries can impose their own tax to consider Catalan culture as part of earlier this year passed a 3 percent onerous tariffs, fees or restrictions. rules. Finance ministers representing Spain’s cultural richness. digital services tax on any tech The measures stick until Trump is the Group of 20 nations discussed in Cuixart’s determination not to company with global revenues of satisfied France has addressed U.S. recent weeks the proposals that will let imprisonment get in the way more than €750 million, of which at concerns, either by modifying the tax require unanimous support. of normal life might be key to his least €25 million comes from French or killing it. Even the French and Americans buoyant mood. users. Countries including Spain, have shown a willingness to work with CAN TRUMP BEAT THE FRENCH? “Spirituality is a reality in jail,” Austria and the United Kingdom each other, despite the ongoing threat he says. “The travel is not so much have proposed similar rules, hoping Trump is imposing the taxes using of potential economic sanctions. outside, but inside yourself,” he adds, to pocket a slice of the billions that a provision known as “Section 301,” But with roughly six weeks to looking up through a high window at some of Silicon Valley’s biggest names which Congress approved in 1974 as go before the OECD’s self-imposed a sliver of sky. generate each year. part of broader trade legislation. It deadline to reach a worldwide “I’m not going to renounce allows the administration to retaliate agreement, any renewed tension WHY IS TRUMP STICKING UP FOR happiness, I’m trying to live to the BIG TECH COMPANIES? against foreign trade moves that hurt between the U.S. and France could fullest with what I can.” U.S. companies. throw the yearslong negotiations into The telephone line abruptly cuts It’s complicated. He has repeatedly The U.S. stopped using it after jeopardy. off. “I’ll see you on the other side,” he accused Twitter, Facebook and the nations agreed in the mid-1990s says with a smile, his voice muffled Google of censoring and suppressing to create a global overseer of trade Steven Overly and Aaron Lorenzo by the glass. conservative speech on their — the World Trade Organization — contributed reporting.