Germany’s economy minister, Katherina Reiche, stated that the country needs to seek new partners due to changing global relations and worsening ties with the United States, which are leading to painful import tariffs.
She indicated that while traditional alliances are important, it is also essential to explore partnerships with regions such as South America, India, the Middle East, Canada, Australia, and parts of Asia, including Malaysia.
She highlighted the uncertainty regarding the United States’ future role in global economics, especially after tariffs were imposed against key allies. Reiche noted that establishing new economic alliances is crucial for Germany’s economy, which relies on debt-funded investments in defense and infrastructure, projecting a GDP growth of only 1% to 1.5%.
The German government is expected to lower its growth forecast for 2026 to 1.0%.
With information from Reuters
