Friedrich Merz Calls for Swift Action to Boost Germany's Competitiveness Amid Tariffs and Market Slide

Chancellor-in-waiting Friedrich Merz urges immediate measures to enhance Germany's competitiveness amid declining stock markets following U.S. tariffs. He emphasizes the need for tax cuts, reduction in bureaucracy, and lower energy costs during coalition talks. Germany faces tariffs on essential imports, complicating efforts to recover from a recession.

Chancellor-in-waiting Friedrich Merz has sounded an alarm over Germany's sliding stock and bond markets, calling for urgent measures to bolster the country's competitiveness. These remarks come in the wake of U.S. President Donald Trump's sweeping tariffs announcement that has rattled global markets.

According to Merz, the deteriorating situation on international equity and bond markets necessitates immediate actions to restore Germany's competitive edge. Highlighting this issue as pivotal during coalition negotiations with the Social Democrats, Merz underscored the need for tax cuts, reduced bureaucracy, and lower energy prices.

The tariff impositions threaten to complicate Germany's economic landscape further, with the country, alongside other EU nations, facing a 25% tariff on steel, aluminum, and cars. As tariffs exacerbate the economic strain, pressures mount on the prospective coalition government to navigate through the recession.

(With inputs from agencies.)