European diplomacy faces crucial week as Ukraine peace talks resume in Berlin

European diplomacy enters a pivotal week with Ukraine peace negotiations stretching into a second day in Berlin and a crucial EU summit looming on Thursday to decide on underwriting a massive loan to Kyiv using frozen Russian central bank assets.

Ukrainian President Volodymyr Zelenskyy resumed talks on Monday with U.S. President Donald Trump’s envoys, Steve Witkoff and Jared Kushner, following five hours of discussions on Sunday where the U.S. side reported “a lot of progress” toward ending Europe’s deadliest conflict since World War Two.

Other European leaders, including European Commission President Ursula von der Leyen, NATO Secretary General Mark Rutte, and heads of government from Britain, Italy, the Netherlands, Poland and Sweden, were expected in the German capital to join related meetings.

Finland’s President Alexander Stubb, deeply involved in the process and meeting Zelenskyy on Monday, struck an optimistic tone, saying the parties were “probably closer to a peace agreement than we have been at any time during these four years.” He noted work on three key documents: a 20-point peace plan framework, security guarantees for Ukraine, and postwar reconstruction.

Ukraine signalled flexibility on Sunday by offering to drop its longstanding NATO membership ambition in exchange for robust Western security guarantees – a major concession aligning with one of Russia’s core demands, though territorial issues remain unresolved.

Kremlin spokesman Dmitry Peskov described Ukraine’s non-NATO status as a “fundamental question” for any settlement and said Moscow awaited a U.S. update post-Berlin.

Zelenskyy, in a post on X, alluded to intense diplomatic efforts without details, while his office confirmed the talks had concluded for the day.

The Berlin discussions coincide with mounting domestic pressure on Zelenskyy. A poll released Monday by the Kyiv International Institute of Sociology showed 75% of Ukrainians deem “completely unacceptable” a Russia-favorable deal involving territorial cessions or army caps without ironclad security guarantees. However, 72% supported freezing the current front lines with some compromises.

Trust in Washington has plummeted to 21% from 41% a year ago, with NATO confidence at 34% down from 43%, underscoring Zelenskyy’s delicate balancing act amid U.S. push for a swift deal.

In Brussels, EU foreign ministers gathered Monday to finalize new sanctions targeting Russia’s shadow fleet of oil tankers, aiming to curb Moscow’s war funding. Danish Foreign Minister Lars Lokke Rasmussen emphasized the priority: “The most important thing for us is now to ensure we can finance Ukraine.”

Thursday’s EU summit in Brussels is set to address a proposed reparations loan – potentially up to 165 billion euros – backed by indefinitely frozen Russian assets worth over 210 billion euros in Europe. Leaders aim to counter perceptions of European weakness amid U.S. criticism on migration, security and tech regulation, while demonstrating unity in supporting Ukraine’s defence.

“We must take a decision to ensure Ukraine is in a position to continue its freedom fight and to show the rest of the world that Europe is a strong player,” Rasmussen said, warning against validating U.S. President Trump’s narrative of European frailty.

With Reuters, edited by g.g.

Caption: German President Frank-Walter Steinmeier (C-R) and Ukrainian President Volodymyr Zelensky (C-L) are seen leaving Bellevue Palace in Berlin, Germany, 15 December 2025. Berlin hosts US and Ukrainian delegations for talks on a proposed peace plan, including a possible ceasefire in Ukraine. EPA/CLEMENS BILAN