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Friedrich Merz, leader of Germany’s conservative Christian Democratic Union and its Bavarian sister party, the Christian Social Union, is set to become Germany’s next chancellor following a decisive election win on Sunday.

The outcome marks a turning point for European politics, as Merz has made clear his intention to reduce reliance on the United States and chart a more assertive European course.

“I am communicating closely with a lot of prime ministers, and heads of EU states,” he said, “and for me it is an absolute priority to strengthen Europe as quickly as possible, so that we achieve independence from the US, step by step,” he said.

Highlighting the urgency of this change, he added, “I never thought that I would ever need to say something like that, on television, but after the latest statements made by Donald Trump last week, it is clear, that the Americans—at any case these Americans, this administration—mostly don’t care about the fate of Europe one way or another.”

Merz also condemned the influence of prominent figures in the US who, in his view, have not acted in Europe’s best interests, specifically criticizing what he described as Elon Musk’s “election interference.” He added that these actions were “no less drastic, dramatic, and ultimately no less brazen than the intervention we have seen from Moscow.”

Domestic agenda

Beyond foreign policy, Merz campaigned on a wide-ranging domestic platform that promises to streamline regulations, lower taxes, and empower German industry. The CDU’s plans to cut red tape and create a “Startup Protection Zone” signal that innovation will be at the heart of Germany’s economic future. Merz also proposes a Digital Ministry to foster artificial intelligence and cloud applications.

On finance, the CDU aims to reduce corporate tax rates from an average of 29.9% to a maximum of 25%.

Reflecting many conservative impulses, Merz’s party advocates stricter border controls, faster asylum procedures, and the deportation of individuals who lack legal residency status. The CDU proposes that asylum applications be processed in safe third countries outside the EU. Naturalization policies introduced by the outgoing government would also be reversed.

The CDU program on domestic security also promises harsher punishments, expedited court proceedings, and heightened surveillance at high-risk sites. Merz has also called for shutting down mosques that promote hatred or anti-Semitism, while insisting on stronger measures against both right-wing and left-wing extremist movements.

Merz also wants to expand housing availability by simplifying construction regulations and incentivizing social housing development. He promises mandatory preschool language tests for German proficiency, aims to increase student financial aid, and proposes bigger tax benefits for families and children.

Foreign and global policies

A prominent slogan of Merz’s campaign—“Yes to Cars”—captures the CDU’s approach to climate issues, aiming to lift proposed EU bans on combustion engines and remove existing emission caps for car manufacturers. While the CDU pledges to expand electric vehicle infrastructure, it also wants to halt laws phasing out oil and gas heating in homes.

The new government is set to reaffirm Germany’s commitment to NATO, meeting and potentially exceeding the alliance’s target of spending 2% of GDP on defense. Merz has floated the idea of reintroducing mandatory military service and has also shown openness to financing a European missile defense system.

Merz’s repeated call for Europe to distance itself from overdependence on the US does not preclude collaboration on key issues. The CDU still sees strong transatlantic ties as a cornerstone of its foreign policy, but Merz’s critical assessment of recent American leadership suggests he will press for more balanced cooperation.

On China, Merz remains outspoken, advocating reduced reliance on Chinese imports and technology. Germany’s support for Ukraine appears set to continue, with Merz endorsing humanitarian, diplomatic, and military assistance.


Information for this story was found via Reuters and the sources mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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