In a speech during the annual gathering of the World Economic Forum in Davos, Switzerland, German Chancellor Friedrich Merz criticized the EU and stated that it had stifled its own competitiveness through excessive regulation and bureaucracy.

In his address to world leaders, Merz called for urgent reforms to restore Europe’s economic power amid a rapidly changing :censored:6:cdd6bbaa89: order.

“Both Germany and Europe have squandered incredible growth potential in recent years by delaying reforms and needlessly and excessively restricting entrepreneurial freedoms and personal responsibility. We are going to change that now,” said Merz.

According to Merz, security and predictability must come before excessive regulation and misplaced perfectionism.

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“We must significantly reduce bureaucracy in Europe. The single market was originally created to become the world’s most competitive economic area, but instead we have become world champions in over-regulation. That has to end.”

To reverse the trend, Merz proposed concrete measures such as an emergency brake for bureaucracy and a modernized EU budget that puts competitiveness at its core. The proposals are in line with ongoing efforts from Merz and allies, such as Italy’s Prime Minister Giorgia Meloni, to push for deregulation.

Merz stressed that “Europe has gotten the message, Germany has gotten the message.”

New World Order

Merz also mentioned transatlantic relations and urged Europeans not to prematurely abandon the American partnership despite recent tensions. He described the current international landscape as a “new era of great power politics” built on power, strength, and—when necessary—force.

He argued that Europe must respond by strengthening its security, competitiveness, and unity—three pillars he considers crucial.

“The old world order is collapsing at a breathtaking pace.”

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