Reviving the German Economy: Balancing Economic, Social, and Defense Priorities
Germany is facing fundamental challenges to its economic and social model and is seeking a new course. The German post-war model was hugely successful, leading to economic strength and prosperity over many decades, but now it is steadily faltering. The previously latent fear of deindustrialization is becoming more concrete, particularly due to the weakening of a key sector: the automotive industry.
How smaller EU states are reshaping Europe’s power structure
Changing economic and trans-Atlantic conditions have led to power restructuring in the 27-nation European Union, opening doors for more negotiating power for many smaller central and former Eastern European nations such as Hungary.
Germany re-arms: what does it mean for Europe?
Paris sees risks for its industry and the continent’s sovereignty in Berlin’s rapid defence build-up. Chancellor Friedrich Merz’s defence spending push has raised concerns about locking in procurement choices and giving German industry an advantage over its neighbours.
Entry into force of the EU-Mercosur agreement: last act of an endless drama for Germany?
At the World Economic Forum in Davos on January 20, 2026, Ursula von der Leyen, the President of the European Commission, stated that "geopolitical shocks can and must serve as opportunity for Europe".
Germany Maintains Its Single Electricity Price Zone: Implications
In December 2025, Germany refused to split its bidding zone despite recommendations from ENTSO-E, in order to preserve its federal unity, market liquidity, and the competitiveness of its industry, at the cost of persistent North-South imbalances.
Germany and France now publicly display their disagreements over Macron's proposals
Friedrich Merz's government has criticized the idea of a joint European loan and the push for European preference in goods purchases advocated by Emmanuel Macron. These disagreements come on top of tensions over the Mercosur trade deal and how to use frozen Russian assets.
Macron-Merz: Power Behind the Scenes
French German relations have been very close for decades as key partners in driving forward European integration within the EU. Can the current leaders President Emmanuel Macron and Chancellor Friedrich Merz reforge the relationship and build a Europe fit for the challenges of our times and the future? This documentary follows the two men across Europe and the world and observes their common goals as well as their differences.
German-Indian Relations: a Partnership based on values or on interests?
In recent years, virtually no other Asian country has seen such a rise in prominence in German foreign policy as India.
The 2026 State Elections in Baden-Württemberg: First Test For Chancellor Merz's Federal Government?
The state election in Baden-Wuerttemberg in March 2026 will be the first major test of public opinion for Chancellor Friedrich Merz's federal government. At the same time, Baden-Wuerttemberg is one of the federal states that—as an important location for the German automotive industry and its suppliers—is particularly affected by the transformation policy driven by climate change and the international conflict constellation.
Bundeswehr: From Zeitenwende (historic turning point) to Epochenbruch (epochal shift)
The Zeitenwende (historic turning point) announced by Olaf Scholz on February 27, 2022, is shifting into high gear. Financially supported by the March 2025 reform of Germany’s “debt break” and backed by a broad political and societal consensus to strengthen and modernize the Bundeswehr, Germany's military capabilities are set to rapidly increase over the coming years. Expected to assume a central role in the defense of the European continent in the context of changing transatlantic relations, Berlin’s military-political position on the continent is being radically transformed.
The 2026 State Elections in Baden-Württemberg: First Test For Chancellor Merz's Federal Government?
The state election in Baden-Wuerttemberg in March 2026 will be the first major test of public opinion for Chancellor Friedrich Merz's federal government. At the same time, Baden-Wuerttemberg is one of the federal states that—as an important location for the German automotive industry and its suppliers—is particularly affected by the transformation policy driven by climate change and the international conflict constellation.
Bundeswehr: From Zeitenwende (historic turning point) to Epochenbruch (epochal shift)
The Zeitenwende (historic turning point) announced by Olaf Scholz on February 27, 2022, is shifting into high gear. Financially supported by the March 2025 reform of Germany’s “debt break” and backed by a broad political and societal consensus to strengthen and modernize the Bundeswehr, Germany's military capabilities are set to rapidly increase over the coming years. Expected to assume a central role in the defense of the European continent in the context of changing transatlantic relations, Berlin’s military-political position on the continent is being radically transformed.
Merz’ European Policy-making: The End of the ‘German Vote’?
Friedrich Merz’s European ambition is to turn Germany, long seen as hesitant into a leading actor within the European Union (EU). To that end, he has pledged to end the “German vote,” a phenomenon that epitomizes the paradox of a country both indispensable and frequently absent from European decision-making.
Securing critical raw material (CRM) value chains – a prerequisite for Europe’s technological resilience
At the heart of economic security, technological resilience is a backbone of the European Union’s (EU) competitiveness. The EU’s energy and digital transitions depend on critical raw materials (CRM).
Reconciling competitiveness and demographic change: a Franco-German imperative
France and Germany are facing parallel demographic shifts that could reshape the future of their economies and their social models. These shifts reflect broader European patterns but are magnified by the central role both nations play in EU governance and competitiveness.
Imaginary and Reality of the Franco-German border: a Laboratory for Europe of tomorrow
In Europe, the question of borders is a central issue. According to the European Parliament, border regions cover around 40% of the European Union (EU) territory, concentrate 30% of its population and produce nearly a third of its gross domestic product.
A Franco-German “Reset”? The Ambitions of the Franco-German Council of Ministers. Challenges of Joint Leadership in Europe
As a Catholic from the Rhineland, Friedrich Merz is heir to the CDU’s Franco-German policy, from Konrad Adenauer to Helmut Kohl and Wolfgang Schäuble. While Franco-German rhetoric and reflexes are deeply ingrained in him, their results must nevertheless be put into perspective.
Social Policies in Germany. Assessment of the “Traffic Light” Coalition and Prospects for the New Government
Notes du Cerfa, No. 188, Ifri, July 2025 — The defeat of the “traffic light” governing coalition in the snap parliamentary elections of February 2025 calls for an initial – necessarily selective – assessment of the social policies implemented during its term.
The “Huawei Saga” in Europe Revisited: German Lessons for the Rollout of 6G
While the European Union attempted to coordinate a collective response through its 5G Toolbox in Europe’s 5G infrastructure, member states diverged significantly in balancing political, economic, and technological considerations. Germany, despite its economic ties to China and status as Europe’s largest telecom market, only reached a tentative agreement in July 2024—one that appears largely symbolic.
The Franco-German Brigade and the Revival of European Defense
One thing has been clear since Donald Trump's return to the White House: the very existence of the European unification project is threatened. Unless it develops a sovereign defense policy to counter the war in Ukraine and the weakening of American security guarantees, the European Union will continue to see its internal cohesion and external attractiveness wane.
Can France and Germany’s new love-fest survive their lingering differences?
Paris and Berlin have been at loggerheads for years, but things are at last looking up.
Europe’s wake-up call
Internal disagreements are just as serious a problem as external pressure from the US and Russia
Germany and France agree Ukraine may strike Russian Military Targets
German Chancellor Olaf Scholz said Germany would not prohibit Ukrainian attacks on Russian military targets, saying Ukraine "is allowed to defend itself."
'Depth of Franco-German bond': Macron to meet German president in rare state visit
French President Emmanuel Macron will visit his German counterpart Frank-Walter Steinmeier in Berlin on Sunday in what is seen as the highest level of diplomatic courtesy gestures.
How Macron and Scholz broke the Franco-German alliance at the heart of the EU
Breakdown of continental partnership is a threat to Europe – and could be catastrophic for Ukraine. It was meant to be a patching up of the notoriously fraught Macron-Scholz relationship, a “reset”, to borrow Hillary Clinton’s expression.
Macron and Scholz Meet to Patch up Their Fraying Ties
Allies fret that Franco-German animosity is undermining western unity over Ukraine. Emmanuel Macron will arrive in Berlin on Friday for talks designed to repair a fractured Franco-German relationship marred by caustic public spats and mutual recriminations over the war in Ukraine.
The Nuclear Dispute Driving a Wedge Between France and Germany
The two nations have opposing ideas about atomic energy, threatening the EU’s transition away from fossil fuels.
France, Germany play safe during China Premier Li's European trip
HAMBURG, Germany -- Chinese Premier Li Qiang avoided public clashes on a high-profile visit to Germany and France this week, in what analysts see as a sign of the European nations' reluctance to alienate Beijing.
In the middle of the race, the Franco-German motor seems to be breaking down
Faced with the risk of losing investments in the technologies of the future, due to subsidies that its global competitors are pumping into their economies, the European Union is forced to rethink its industrial policy.
The United States and Europe risk entering into a subsidy war, each trying to support the competitiveness of their economies… their market economies… with public money. Meanwhile, member states expect from Brussels solutions that will allow them to remain relevant in a world where interventionism is the order of the day.
At the Sorbonne, Macron and Scholz pass the remedial oral
From the cupola of the great amphitheater of the Sorbonne, the five large medallions in monochrome representing the sciences, letters, law, medicine and theology will judge the event. Sunday January 22, in the morning, in one of the oldest universities on the continent (founded in 1253), the German Chancellor Olaf Scholz must meet Emmanuel Macron, where the French President made his great speech on Europe in 2017.
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Ifri, a foundation recognized as being of public utility, relies largely on private donors – companies and individuals – to guarantee its sustainability and intellectual independence. Through their funding, donors help maintain the Institute's position among the world's leading think tanks. By benefiting from an internationally recognized network and expertise, donors refine their understanding of geopolitical risk and its consequences on global politics and the economy. In 2026, Ifri partners with over 90 French and international companies and organizations.
