German Chancellor Merz Calls for Global Free Trade Alliance During Asia Trip

German Chancellor Friedrich Merz, on the last leg of his four-day trip to Asia, called for a global network of nations dedicated to free trade under international rules. Speaking in South Korea, Merz highlighted the escalating competition between the United States and China, which he believes is fundamentally altering the global economic landscape. This appeal follows similar statements he made in Singapore and Japan.

Highlights

• Chancellor Merz advocated for a global free trade alliance at the Asia-Pacific Conference of German Business.
• He emphasized that US-China competition, tariffs, and technological decoupling are reshaping the global economy.
• Merz stressed the importance of uniting against unilateralism, autocratic power politics, and violations of international law.
• He warned that politicized supply chains, obstructed access to key technologies, and power-driven raw material races jeopardize growth and prosperity.
• South Korean Prime Minister Han Seong Sook noted that German companies are utilizing Korea as a central hub to expand their presence in the Asia-Pacific region.

Details

Chancellor Friedrich Merz addressed the Asia-Pacific Conference of German Business in Seoul, South Korea, on the final day of his four-day Asian tour. Merz stated, "Competition between the US and China is ramping up. Tariffs, technological decoupling strategies and a tough race for critical raw materials and new technologies are fundamentally changing the rules of our global economy." He added that these conflicts and systemic shifts in power patterns concern everyone, especially economically aspiring partners in the Indo-Pacific, as well as Germany and Europe.

Merz declared, "We are resolutely joining forces against unilateralism, autocratic power politics and violations of international law." He further explained that when supply chains become political pawns, when access to key technologies is obstructed, or when efforts to secure raw materials resemble displays of power rather than fair partnerships, it jeopardizes growth, prosperity, and ultimately the security of entire regions.

Why it matters

The German Chancellor's call underscores the critical importance of international cooperation and rules-based trade amidst rising global tensions and geopolitical competition. His efforts to strengthen economic ties with Asian partners and ensure supply chain security are seen as crucial steps for the future of the global economy.