In his policy statement ahead of the European Council meeting in Brussels in mid-June, Federal Chancellor Friedrich Merz made it clear that Germany must embark on a clear path of renewal. Only in this way, he said, can the country become more resilient in economic, technological and security terms. Merz went on to say that Germany is facing profound changes. “We all have a responsibility to help our country move forward.” In this regard, he said, the Federal Government is deliberately focusing on modernisation, strengthening defence capabilities and building a future-proof economy. For the Federal Chancellor, this results in a duty to ensure that Germany is fully prepared to meet the challenges ahead.   

Chancellor Merz also made it clear that Germany’s future is inextricably linked to a strong, sovereign and effective Europe. In a world of growing geopolitical tensions, he said, no European country can stand alone. Only a united Europe can ensure long-term prosperity, stability and security. “Germany can only succeed if Europe succeeds”, said the Federal Chancellor.   

The Federal Chancellor spoke about issues including… 

… the Federal Government’s reform agenda

In his policy statement, Chancellor Merz noted that Germany had long underestimated key risks such as geopolitical tensions, international competition and demographic change. He warned against “turning a blind eye to these realities”. Instead, the country must “reposition itself more effectively across all sectors” – an ambition that the Federal Government is pursuing through a comprehensive programme of reform, ranging from enhanced defence capabilities, tax relief and a realistic energy policy to digitalisation, a technology drive and far‑reaching social and administrative reforms. 

… responsibility and trust

In his speech, Federal Chancellor Merz urged that “time is of the essence”, as jobs continue to be lost and businesses continue to suffer from high costs and red tape. Tasks that have long been put off were, he said, now being tackled with determination, with a view to renewing the country’s foundations so that they “last for many years to come”. Federal Chancellor Friedrich Merz called for a sense of shared responsibility: he said that politics, business and society all need to play their part, share the burden fairly and not stand in the way of reforms. At the same time, he asked for trust in the shared ability to find solutions.   

… security and the economy in Europe 

For the Chancellor, Europe is the essential framework for Germany’s security. In light of new threats, he emphasised in his policy statement that the EU must become more resilient militarily, economically and politically in order to counter challenges such as Russia’s war of aggression. “We can’t do without Europe. With Europe, we have a good chance”, the Federal Chancellor stated.    

At the same time, he sees Europe as the key to economic strength. Open trade, an efficient single market and the reduction of red tape are, he said, crucial to ensuring that European companies can compete successfully on the global stage. Europe is “valued and sought out as a reliable partner” worldwide, and this position must be further strengthened for Germany’s benefit too, according to Merz.  

… Europe as a community of values

For Federal Chancellor Merz, Europe is a shared values-based project that forms the foundation for peace, stability and cohesion on the continent. Freedom, democracy and the rule of law are not, he said, to be taken for granted, but are achievements that must be defended and renewed time and again. In a world where authoritarian regimes are gaining ground and international standards are under pressure, he said that Europe must remain “a force for freedom and prosperity, for peace and democracy”. These values, said the Federal Chancellor, are at the heart of European identity – and, at the same time, are the yardstick by which Europe’s actions, both internally and externally, must be measured.