The European Union’s foreign policy chief, Kaja Kallas, suffered another political defeat when member states torpedoed her latest initiative to set up an expert group on European defence, at a time when her diplomatic service is under growing pressure to reform.

On Sunday, the European External Action Service (EEAS) cancelled, at the last minute, the launch of a new high-level group tasked with producing a report on how to boost the EU’s defence capabilities by identifying strategic investment gaps.

Kallas, the EU High Representative for Foreign Affairs and Security Policy, had announced the initiative just days earlier, saying it aimed “to…

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