- Elected chancellor after forming coalition with Social Democrats
- Plans major defense spending increases and strict immigration reforms
- Must navigate Trump-era US relations and EU leadership vacuum
- Decades-long rivalry with Angela Merkel shaped political journey
- Faces criticism over far-right collaboration accusations
Germany enters a new political era as Friedrich Merz assumes the chancellery following intense coalition negotiations. The 69-year-old conservative leader inherits a nation grappling with economic stagnation and geopolitical uncertainty. Merz's first policy announcements emphasized military modernization, pledging to meet NATO spending targets by 2025 through controversial budget reallocations.
The new chancellor's approach to transatlantic relations reveals strategic tensions. While advocating stronger EU defense capabilities, Merz maintains that NATO remains Germany's security cornerstone. This balancing act faces immediate challenges with recent US tariff announcements impacting German automotive exports. Industry analysts suggest Merz's BlackRock experience could prove valuable in managing market turbulence.
Migration policy emerges as a defining issue following recent violence in Bavaria. Merz's proposed border reforms, influenced by incidents like the Aschaffenburg knife attack, would expand deportation powers and limit asylum approvals. Critics argue these measures mirror far-right positions, though Merz denies collaborating with Alternative für Deutschland. The policy debate highlights Germany's growing urban-rural divide, a dynamic Merz understands from representing his Sauerland constituency.
Merz's leadership style contrasts sharply with Merkel's consensus-driven approach. Political biographers note his willingness to provoke debate through bold policy statements, particularly on economic reform. This temperament initially alienated centrist CDU members but resonated with conservative bases frustrated by Merkel-era centrism. The chancellor's first cabinet appointments suggest prioritization of economic expertise over political loyalty.
International observers question whether Merz can unify European responses to global crises. His early diplomatic efforts focus on mediating France's push for EU strategic autonomy and Eastern European demands for stronger Ukraine support. The chancellor's transatlantic networking skills, honed during his corporate career, face their first major test at June's G7 summit.
Domestically, Merz confronts energy transition challenges exacerbated by recent manufacturing declines. His administration proposes fast-tracking modular nuclear reactors despite environmental opposition. This controversial energy plan aligns with Merz's campaign promise to revive German industry through competitive electricity pricing.
Personal narratives continue shaping Merz's political identity. His rural Sauerland roots and pilot hobby contrast with Berlin's political establishment. Supporters frame this as authentic leadership, while opponents criticize perceived elitism. As parliament debates aviation fuel taxes, Merz's personal passions unexpectedly influence climate policy discussions.
