German Chancellor Friedrich Merz has proposed establishing a new European trade organization to potentially replace the World Trade Organization (WTO). Citing the WTO's long-standing inefficiencies, Merz emphasized the need for an alternative framework to support free trade. He has discussed this proposal with French President Emmanuel Macron and British Prime Minister Keir Starmer and aligns with a similar suggestion from EU Commission President Ursula von der Leyen. The aim is to create and standardize dispute resolution mechanisms, providing a robust framework for future trade agreements.
Merz expressed optimism about the imminent completion of a trade agreement with the Mercosur states of South America. Despite some minor outstanding issues, he believes there is a fundamental consensus among the European leaders. He assured that agricultural imports from these countries would not pose significant threats to EU markets, addressing concerns raised, particularly by France, over maintaining EU agricultural standards.
Aside from trade, Merz has remained vocal on international security matters, standing firm on supporting Israeli and U.S. actions against Iran. He rejects labeling these actions as violations of international law, drawing historical parallels to appeasement policies before World War II. Merz emphasizes the necessity of candid discourse on such topics, even if they are unpopular.
Additionally, Merz praised the collaborative efforts with Austria on border control. Both countries are committed to reducing irregular migration and combating smuggler activities, having participated in a meeting with other European states sharing similar concerns. This cooperation underscores a broader commitment to manage migration challenges effectively across Europe.
