Germany to send ‘clear signal’ of ‘strong, effective government’ under new coalition, Merz says
Opening the press conference in Berlin, Merz says the coalition has “a strong plan” as a result of negotiations, which will send “a clear signal” to both Germans and European partners that Germany is getting a “strong and effective government.”
Key events
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Investments, migration, security among early priorities, Merz says
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Germany to send ‘clear signal’ of ‘strong, effective government’ under new coalition, Merz says
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EU adopts trade countermeasures against US
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German coalition press conference gets under way
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King Charles to address Italian parliament soon
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German coalition announcement expected shortly
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Hungary to oppose EU retaliatory measures on US
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China retaliates against US tariffs – business live
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‘Half the place would be blown to bits’: the Irish villages under threat from Trump’s tariffs
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EU pharmaceuticals warn of ‘risk of exodus’ as result of Trump’s threats on tariffs
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Estonia signs into law rules banning non-EU citizens from local elections
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German coalition deal reportedly agreed, with press conference this afternoon
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UK to seek improved trade with EU in response to Trump’s tariffs, Russia’s war against Ukraine
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Tariffs will hit working, middle classes hardest, Spain’s Sánchez warns
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Italy halves 2025 growth forecast over tariff fears
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AfD gains in polls as Germany faces dire economic news and political limbo – snap analysis
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Far-right Alternative für Deutschland tops federal poll in Germany for first time
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Romania ‘has not received any official information’ on US plans to withdraw troops, defence ministry says
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Morning opening: Tariffs? Doing very well, thank you.
Investments, migration, security among early priorities, Merz says
Presenting the outline of the agreement reached – the detail is written on 146 pages of the deal – Merz talks about his focus on bringing more investment with changes to corporate and energy taxes and incentives seeking to boost the economy.
He then moves on to migration policy, promising “a new course” with a number of stricter policies aimed to “end irregular migration” by stricter border controls, tightening of asylum rules and push to repatriate those illegally in Germany.
He also says the new government will suspend family reunification rules, and increase the number of countries classified as safe. He also hints at changes to citizenship rules to slow them down, with the earliest possible naturalisation after five years.
Turning to security, he lists proposed new policies, including on data retention, and says he will create a new Federal Security Council, based in the chancellor’s office, to manage national crises.
He also promises higher spending on defence and security, and hints at a proposal to strengthen military service on a voluntary basis.
The task of modernising the state and leading on digital services for citizens will be given to a new digital ministry, he says, amid a broader push to reduce the federal administration.
Merz confirms that the negotiated text will now be submitted for approval by both parties.
He says the agreed text is the result of “intensive consultations and negotiations,” as he thanks the negotiating teams for their work.
He says that he would have preferred to adopt changes to Germany’s constitution only after forming the government, but that was not an option with changes to the parliamentary arithmetics.
Turning to the geopolitical context in which the negotiations took place, he notes that the Russian aggression on Ukraine continues with Putin “showing no willingness to end the war,” but also acknowledges “new turbulence” triggered by the US administration’s decisions on tariffs.
He says that this makes it even more important for Germany to have a government “capable of solving the problems we face” and assuming a strong role in Europe
Germany to send ‘clear signal’ of ‘strong, effective government’ under new coalition, Merz says
Opening the press conference in Berlin, Merz says the coalition has “a strong plan” as a result of negotiations, which will send “a clear signal” to both Germans and European partners that Germany is getting a “strong and effective government.”
EU adopts trade countermeasures against US
Meanwhile in Brussels, the European Commission has confirmed it secured the necessary support to impose trade countermeasures against the US, retaliating for its steel and aluminium tariffs.
The commission’s statement says that “the EU considers US tariffs unjustified and damaging, causing economic harm to both sides, as well as the global economy.”
“The EU has stated its clear preference to find negotiated outcomes with the US, which would be balanced and mutually beneficial,” it added.
But it adds that the countermeasures will soon enter into force, once final checks are conmpleted, with duties set to be collected from Tuesday, 15 April.
“These countermeasures can be suspended at any time, should the US agree to a fair and balanced negotiated outcome,” it added.
German coalition press conference gets under way
The German press conference gets under way, with presumed next chancellor Friedrich Merz kicking us off.
The coalition agreement document focuses on the parties’ aim to take “responsibility for Germany,” according to the document’s cover published by a Politico reporter on social media.
King Charles to address Italian parliament soon
By the way, if some of you prefer to watch the British King Charles’s address to the Italian parliament instead, you can follow it here:
German coalition announcement expected shortly
Lecterns are now ready and out in Berlin as we wait for the leaders of CDU/CSU and SPD to tell us more about their coalition agreement to form the next German government.
I will bring you all the latest lines here.
Hungary to oppose EU retaliatory measures on US
Hungarian foreign minister Péter Szijjártó said Hungary would oppose the European Commission’s proposal to impose retaliatory tariffs on the US, warning that “escalation is not the answer.”
“Such measures would cause further damage to European economy and citizens by raising prices. The only way forward is negotiations, not retaliation,” Szijjártó argued.
But unlike with some other policies, Hungary’s opposition will not have no impact on the proposal here as there is no need for unanimity among the member states when it comes to trade decisions.
The package is still expected to be passed this afternoon.
China retaliates against US tariffs – business live
European leaders will be watching with interest – or more accurately, with growing horror – the escalating trade war between the US and China, after the Chinese ministry of finance said it will impose 84% tariffs on US goods from Thursday, up from the 34% previously announced, according to Reuters.
The move – and later comments by senior US officials suggesting that “everything is on the table,” including removing Chinese stocks from US exchanges – prompted all sorts of falls in the markets, and you can follow them live on our business blog here:
‘Half the place would be blown to bits’: the Irish villages under threat from Trump’s tariffs
Lisa O’Carroll
And here’s more from Lisa on the potential impact of Trump’s tariffs in Ireland –
Just across the bay from the historic town of Cobh, the last port of call for the Titanic in 1912 on her ill-fated maiden voyage, lies the source of some of the world’s biggest life-savers and givers.
Sildenafil, the active ingredient in Viagra, medicinal compounds for the treatment of cancer, rheumatoid arthritis, psoriasis, Crohn’s and Parkinson’s disease, all are manufactured within two miles of the deep port of Ringaskiddy in County Cork.
After more than 50 years, however, it is all under threat after Donald Trump accused Ireland of stealing America’s pharmaceutical industry and vowed to “force” US companies, jobs and taxes to return home.
This has concentrated the minds of local politicians, who have called on the European Commission president, Ursula von der Leyen, to visit the area. She met pharmaceutical companies in Brussels on Tuesday to hear that tariffs could “expedite” a shift to the US.
“If Pfizer and the others closed … the collateral damage would be huge,” said John Twomey, something of a local historian and treasurer of the local Gaelic Athletic Association in Shanbally, a tiny village a two-minute drive from Pfizer’s entrance.
“Half the place would be blown to bits, all the workers, the subcontractors, from the guys supplying the toilet rolls, to the farms supplying meat for the canteens.”
