At the Short End of the Stick
Germany’s Minister of Foreign Affairs cancels his long-scheduled trip to China, because, following all sorts of attacks on Beijing, he was not given the desired meetings. The EU is facing shortages of China-produced rare earths and chips.
BERLIN/BEIJING (Own report) – Germany’s cancelation of Foreign Minister Johann Wadephul’s long-scheduled trip to China dims hopes of a possible halt to the spiral of sanctions between the EU and the People's Republic of China. The EU has recently imposed sanctions on Chinese enterprises on several occasions and is threatening further sanctions. Germany has begun to qualitatively expand its cooperation with Taiwan – to include offers for weapons supplies, normally reserved solely for sovereign countries. Beijing has reacted to the EU’s attacks with stringent restrictions on rare earths exports and has granted Foreign Minister Wadephul only a meeting with his Chinese counterpart, Wang Yi. Wadephul, who had wanted to have various other talks during his visit, has now postponed his trip indefinitely. This also postpones a solution to Brussels and Beijing’s conflicts. It is occurring at a time when the USA hopes to reach a sort of truce in its trade war with China this week. Moreover, in this escalating dispute, the EU – with its industry currently threatened by an acute shortage of rare earths and semiconductors – is likely to find itself at the short end of the stick. Read more
Rehearsing nuclear war
Ending today, this year’s ‘Steadfast Noon’ nuclear war exercise is again with German participation. Discussion continues on a European nuclear umbrella versus Germany’s own nuclear bomb.
VOLKEL/BERLIN (own report) – Fourteen NATO countries, including Germany, are concluding this year’s nuclear war exercise today, Friday. ‘Steadfast Noon’, an exercise held every October, simulates a possible attack on adversaries using US nuclear weapons stored in Europe. German Air Force jets are now being considered as aircraft for carrying or dropping nuclear bombs. The willingness to participate in a nuclear war has been growing across Europe. Two new NATO members, Finland and Sweden, joined in ‘Steadfast Noon’ for the first time, while Denmark for the first time provided a base for the exercise. The German government is currently spending billions on upgrading Büchel air base in the Eifel region to enable the future stationing of US F-35 fighter jets equipped with America’s new B61-12 nuclear bombs. At the same time, there are growing calls for a European nuclear umbrella independent of the United States. The discussion now includes both the idea of a nuclear umbrella provided by France and Germany having its own nuclear capability. Opinion polls indicate that the majority of 18- to 24-year-olds in Germany are in favour of the Bundeswehr acquiring nuclear weapons. Read more
Consequences of the Military Buildup
Economists are criticizing the German and EU focus on the arms industry as economically disadvantageous, pointing out that, in the long run, it can contribute to the country’s decline.
BERLIN/PARIS (own report) – A government’s focus on the arms industry has serious economic disadvantages and can eventually contribute to the country’s decline. This is confirmed by French economist Claude Serfati in an interview with german-foreign-policy.com. Serfati, who is employed at the Institut de recherches economiques et sociales (IRES) in Paris, points out that it is easy to understand that military spending generates less growth and fewer jobs than investment in civilian infrastructure or health care. Whereas the latter would bring benefits for the production of supplementary products or strengthen the work force, weapons have no productive potential at all. Serfati points out that France has been losing ground economically, in spite of – or due to – its traditional focus on weaponry and military technology. The notion that Paris could “in the long run” compensate for its economic lagging behind Germany and remain a “great power” thanks to its military has been proven a fallacy. Berlin is currently pursuing a similar plan in its attempt to overcome its economic crisis. Read more
The Nobel Prize for regime change
The award of the so-called Nobel Peace Prize to María Corina Machado stems from the Nobel Committee’s decision to back the Trump administration’s aggression against Venezuela.
BERLIN/CARACAS (own report) – The latest recipient of the ‘Nobel Peace Prize’, María Corina Machado, has pursued a policy of subversion and violent regime change in her country over many years. It is a policy that has in fact been supported over many years by one of Germany’s party foundations, the Friedrich Naumann Foundation, which is aligned to the free-market FDP. The NGO has greeted the award by saying it is “proud to have collaborated closely with her and her supporters for many years.” This “pride” actually attaches to working with an ultra-right-wing Venezuelan opposition politician who has been involved in several coup attempts in Venezuela and advocates US sanctions that have pushed the population of her own country into desperate poverty. In Europe, she works with the far-right alliance Patriots for Europe (PfE), an EU-wide bloc that includes the French party Rassemblement National (RN) and the Fidesz party of Hungarian Prime Minister Viktor Orbán. A PfE event in September, at which Machado delivered a speech, was held under the anti-migrant theme of “The Reconquista begins”. Machado maintains particularly close contacts with the Trump administration, which is now ramping up its pressure on the Venezuelan government headed by President Nicolás Maduro. The awarding of the Nobel Peace Prize to this individual results from a decision to promote Washington’s aggression against Caracas. Read more
An economic power in decline
With the chemical industry in crisis, another central pillar of the German economy is crumbling. The main causes: abandoning cheap Russian energy and accepting Trump’s imposition of duty-free imports from the US.
BRUSSELS/BERLIN (own report) – Following the automotive and steel industries, the chemical industry – another key economic pillar of the German economy – is in trouble. Reports of crisis and collapse in the sector are becoming increasingly urgent. Business analysts say the output of Germany’s chemical industry shrank by around 5 per cent in the second quarter of 2025. They note that overall production is currently at “the lowest level since 1991”. The industry faces pressures not only from cheap imports from China but, above all, from the EU’s current tariff deal with Washington. The Trump administration has forced the European Union to reduce its tariffs on US imports to zero. US chemical products can now outcompete German-made chemicals. These pressures come on top of the cost impact suffered by the German chemicals sector after losing Russian energy. Having opted out of low-cost pipeline-supplied Russian gas, chemical producers lack a key advantage behind its longstanding competitiveness. Reports of crises are coming from other sectors, too. Indeed, German industrial production overall slumped by as much as 5.6 per cent in August on the previous month. In response, the EU is now resorting to protectionist tariffs against non-US suppliers. Read more
Operational focus: North Atlantic
German Navy receives first US-built P-8A Poseidon maritime patrol and reconnaissance aircraft for use against Russian submarines. But warships and submarines for North Atlantic operations are Europe-made.
BERLIN/LONDON/OSLO (own report) – The German Navy has received the first of the five P-8A Poseidon maritime patrol aircraft ordered from the US. The tech-filled, Boeing-built aircraft is primarily designed for submarine hunting. It will be used to monitor movements in the Baltic Sea and, above all, in the North Atlantic, where it will be tasked with tracking down Russian submarines. North Atlantic operations are considered critical because all units of Russia’s Northern Fleet must cross this sea area to reach the Atlantic from bases on the Kola Peninsula. In a war scenario they could attack supply routes from North America to Europe. The German Navy’s P-8A Poseidon aircraft will be stationed at the British air base in Lossiemouth with its direct access to the North Atlantic. In ordering these aircraft, Germany has opted for a US product instead of the Franco-German MAWS maritime patrol aircraft as originally planned. Berlin’s decision marks a setback for the creation of an independent European defence industry. On the other hand, the submarines and warships to be deployed in the North Atlantic are being made in Europe. There is close cooperation between various defence companies from the United Kingdom, Norway and Germany. Read more
Integrating the extreme right
A leading Berlin think-tank warns of increasing ‘integration’ of the extreme right into ‘the political system of the EU’. Far-right parties are involved in nine of 27 EU governments. Germany’s AfD could reach 30 per cent.
BERLIN/PRAGUE/PARIS (own report) – With the clear victory of another party from the EU-wide grouping Patriots for Europe (PfE) in parliamentary elections in the Czech Republic, the far right has further strengthened its influence in the European Union. Last week’s election saw billionaire Andrej Babiš’s ANO party became the strongest force with 34.5 per cent of the vote. In becoming prime minister, Babiš is able to rely on the support of two other far-right parties: another PfE member party and a party aligned with the Alliance of Sovereign Nations (ESN), to which the AfD also belongs. The leading force within the PfE is Marine Le Pen’s Rassemblement National (RN) in France. The RN has, since last week, provided two of the last six vice-presidents of the French National Assembly – thanks to agreements with the “centrist bloc” on which President Emmanuel Macron relies. Meanwhile, the PfE, the far-right ESN and the equally far-right European Conservatives and Reformists (ECR) are gaining strength and influence in the European Parliament, where they account for more than a quarter of the seats. The Berlin-based German Institute for International and Security Affairs (SWP) analyses this trend as a growing “integration” of the radical right into “the political system of the EU”. For its part, the AfD is achieving new record poll ratings in Germany. Read more
The Drone Crisis (II)
Plans to create a ‘drone wall’ on NATO’s eastern flank will be discussed at the informal EU summit in Copenhagen. German start-ups have long been advocating this, but now face British competition.
BERLIN/BRUSSELS (own report) – Ahead of the informal EU summit in Copenhagen, which begins today, 1 October, plans to build a ‘drone wall’ on NATO’s eastern flank are gaining momentum. Following an announcement to this effect by EU Commission President Ursula von der Leyen in her State of the European Union address, EU Commissioner for Defence Andrius Kubilius said last Friday that interception systems would be given “immediate priority”. German defence start-ups such as Helsing and Quantum Systems have been advocating a ‘drone wall’ commitment for months. The President of the German Council on Foreign Relations (DGAP), former Airbus CEO Thomas Enders, had also called for this initiative in a strategy paper published back in March. Enders adds that the goal here must be to promote European high-tech military equipment that can be built without reliance on US technology. Start-ups like Helsing and Quantum Systems are striving to do just that. They are developing drones in close cooperation with Ukraine, where they are being tested for practical combat suitability in a real war situation. However, German high-tech arms makers are not without competition. Great Britain restated over the weekend its intention of equipping the ‘drone wall’ with its own drones. German Defence Minister Boris Pistorius is now raising objections to the project. Read more





