Merz, Macron want more security cooperation

German Chancellor Friedrich Merz said he has spoken to Donald Trump regarding EU regulation of its digital market, saying he told the US president that such regulation is an expression of the bloc's sovereignty, and that questioning this principle was unacceptable

"We are doing this in our own interest and solely for our own interest, and we will certainly not be guided by statements that perhaps consider completely different, perhaps even no, regulation necessary," Merz said.

"We will not accept if anyone, anywhere tries to pressure us," Merz added in a joint press conference with French president Emmanuel Macron.

Earlier this week, Trump  threatened to slap additional tariffs on all countries with digital taxes, legislation or regulations, saying they were designed to harm or discriminate against American technology.

The European Commission responded to the claim, saying it was the sovereign right of the EU and its member states to regulate economic activities.

Germany and France announced plans on Friday to deepen bilateral cooperation on security.

The announcement came after Chancellor Friedrich Merz and President Emmanuel Macron met in the southern French city of Toulon.

The Franco-German security cooperation will include a missile early warning system under an initiative called "Jewel."

The two neighbors also bolstered their commitment to developing the Main Ground Combat System (MGCS) tank project.

In their joint statement, the countries said their deepening security cooperation would also focus on France's nuclear forces. France is the EU's only nuclear-armed member state. 

Germany and France both noted that nuclear deterrence remains a "cornerstone" of NATO's security apparatus.

Their cooperation aims to develop a "common strategic culture" and to further interlink "security and defence objectives and strategies," the two countries said.

The key EU nations also discussed support for Ukraine in its defense against Russia's invasion, pledging more air-defense weapons in the wake of Moscow's recent airstrikes.

"Despite intensive international diplomatic efforts, Russia shows no intention to end its war of aggression against Ukraine," the statement added.

At a press conference in Toulon alongside Macron, Merz said Germany was under "no illusions" that a swift end to the war was imminent.

"We will not abandon Ukraine," the chancellor insisted.

The number of cars in Germany continues to rise, edging closer to the 50-million mark, though electric vehicles still account for only a small share.

As of July 1, 3.7% of all cars registered in the country were fully electric, up from 3.1% a year earlier, the Federal Motor Transport Authority (KBA) said. In new registrations, the share is much higher: in July, 18.4% of newly registered cars were electric.

Volkswagen leads the market with more than 320,000 of the 1.8 million electric cars on German roads. Tesla follows with about 195,000, though the US company has recently struggled with sales in Germany, a downturn observers link to CEO Elon Musk’s political activities. Musk has since withdrawn from US politics.

The total number of cars registered in Germany reached a record 49.5 million, up from 49.4 million the year before. Compact cars remain the largest group with 11.2 million, followed by SUVs at 6.89 million. Including trucks, buses, motorcycles, and tractors, the total number of motor vehicles stood at 61.4 million.

A heavily decomposed, partly skeletonized body has been discovered inside a suitcase in a residential area near the southern city of Stuttgart.

The suitcase was reported near a playground by a stream on the outskirts of Filderstadt-Bonlanden, in the state of Baden-Württemberg.

Municipal workers who responded noticed a strong odor, opened the suitcase, and found the body. A 44-member special commission has been set up by the Esslingen criminal police to investigate.

An autopsy on Friday is expected to provide more information about the victim’s gender, age, cause of death, and time of death.

Police are appealing for witnesses and asking who may have noticed suspicious activity in the Bonlanden residential area in recent weeks, including anyone seen with a suitcase or any unusual vehicles.

Chancellor Friedrich Merz said Germany's growing unemployment underlines the need for reforms to boost growth and employability.

"That will be the focus of the federal government," he said Friday on the sidelines of Franco-German ministerial talks in Toulon.

His comments came after news that the number of unemployed people in Germany has risen above 3 million.

A spokeswoman for Economy Minister Katherina Reiche said stable conditions must be created quickly, citing lower energy prices, securing skilled labor, and cutting bureaucracy as priorities.

Germany's unemployment figure has risen above 3 million for the first time in more than a decade, the Federal Employment Agency (BA) reported Friday.

The number of jobless climbed by 46,000 in August to 3.025 million, the highest since February 2015, when 3.017 million were recorded. The jobless rate edged up 0.1 points to 6.4%.

"Due to the summer break, unemployment has risen above three million," BA chief Andrea Nahles said. Many companies delay new hires until after the holidays, she noted.

Nahles said the labor market remains shaped by the recent economic slump.

"We have reached a low point in the labor market. We are not out yet," she said, adding there are "fragile" signs of stabilization. Short-time work remains elevated but has been easing since the start of the year. A seasonal upswing in September is expected to reduce unemployment, though the three-million mark could be crossed again in winter.

Germany has advised its nationals to leave Iran and avoid travel there, warning of possible retaliation after Berlin joined Britain and France in triggering the reimposition of UN sanctions on Tehran’s nuclear program.

"As Iranian government representatives have repeatedly threatened with consequences in this case, it cannot be ruled out that German interests and nationals will be affected by countermeasures in Iran," the Foreign Ministry said Thursday.

The ministry added that the German Embassy in Tehran is currently able to provide only limited consular assistance.

Britain, France and Germany launched a 30-day process on Thursday to reimpose sanctions, a move expected to heighten tensions two months after Israel and the United States bombed Iran.

Western nations have accused the Iranian leadership for years of so-called "hostage diplomacy" — the arrest of Western citizens to secure concessions in exchange for their release. 

The average retirement age in Germany climbed to 64.7 years in 2024, according to the annual report of the German pension insurance agency DRV.

The increase is largely due to the gradual rise in the statutory retirement age to 67 by 2031. In 2000, people retired on average at 62.3 years.

Debates over raising the limit further to 70 resurface regularly given demographic pressures, but the current coalition agreement between the conservative CDU/CSU bloc and center-left Social Democrats rules out any change.

Instead, the government plans to introduce an "active pension" with which those who continue working beyond the statutory retirement age could earn up to €2,000 ($2333) a month tax-free.

Three out of four hospitals in Germany ran at a loss last year, with nearly 90% of public facilities in the red, according to a survey by Munich-based consultancy Roland Berger. The results mark a sharp increase from previous years.

"The number of hospitals posting negative results is getting larger, and the number generating profits is getting smaller," said Peter Magunia, healthcare expert at Roland Berger.

The firm surveyed 850 hospital executives and managers for its annual study. In 2023, nearly half of facilities were still operating profitably.

Losses have become severe in some cases.

"The deficits are partly very, very high, over €100 million ($116.6 million) at individual hospitals," Magunia said. "Even strong public providers are reaching their limits."

According to the study, many hospitals expect conditions to worsen in the short term before improving in the longer run — though that does not necessarily mean a return to profitability.

EU defense and foreign affairs ministers are meeting in Copenhagen to discuss military aid for Ukraine and the worsening situation in Gaza.

The talks follow Russia’s heaviest airstrikes since July, which killed more than a dozen people and injured at least 48. Defence ministers will focus on bolstering EU military support for Kyiv and strengthening cooperation with Ukraine's defence industry, as US arms deliveries become more restricted.

Chancellor Friedrich Merz has pledged that Germany will remain one of Ukraine’s most reliable supporters, while Foreign Minister Johann Wadephul has said Moscow must face consequences for its attacks on civilians.

Saturday’s foreign affairs session will consider new EU measures against Russia, including on its "shadow fleet" used to skirt energy restrictions, and on €210 billion ($245 billion) in frozen Russian central bank assets. Ministers will also weigh possible long-term security guarantees for Ukraine.

Ukraine, Iceland, Norway and the UK have also been invited to join the discussions, which will also touch upon the situation in Gaza as meetings extend to Saturday.

Chancellor Friedrich Merz and French President Emmanuel Macron will co-chair a Franco-German ministerial council on Friday in Toulon, with economic and security policy at the center of talks.

The gathering, the first since Germany's government change earlier this year, will bring together 10 ministers from each country. Ahead of it, Merz and Macron met Thursday evening at the French leader's summer residence, Fort de Bregancon.

After sometimes difficult relations with former Chancellor Olaf Scholz, Macron said the renewed partnership could drive Europe forward.

"I believe that the Franco-German tandem is now perfectly coordinated to create a stronger Europe in the areas of economy, trade and currency," he said.

Merz stressed the importance of the two countries’ partnership, calling it an "axis" within the EU.

"Germany and France play a central role in this European Union, on this European continent," he said.

The Franco-German Ministerial Council, created in 2003 as part of the Elysee Treaty's 40th-anniversary renewal, brings German and French cabinets together. It aligns policies on the EU, defense, economy, and foreign affairs.

The meeting this time takes place against the backdrop of a political crisis in France, where Prime Minister Francois Bayrou is expected to face a confidence vote on September 8 that could topple his government.

Guten Tag from the DW newsroom in Bonn.

You join us as ministers from the European Union’s top two economies meet in the south of France.

The gathering takes place after French President Emmanuel Macron hosted German Chancellor Friedrich Merz, both stressing the importance of the "Franco-German tandem."

Meanwhile, Germany’s defense and foreign affairs ministers are in Copenhagen for two days of talks with EU and other counterparts.

Stay with us as we cover all things Germany in this blog throughout the day.