Latest news with #Klingbeil
Yahoo
5 hours ago
- Business
- Yahoo
German finance minister wants quick results from state investments
Germany's Finance Minister Lars Klingbeil wants to see results from the planned billion-euro investments in infrastructure before the end of this year. "I think this is also very important in the fight against right-wing populism, to show people that the country is modernising, that something is happening and that life is becoming easier thanks to investments in infrastructure," said the Vice-Chancellor at the Hamburg Sustainability Conference (HSC). "My goal is for people to see that something is happening this year." He also appealed to German businesses, "now is the time to invest." At the same time, he called on Europe to speed up political decisions, saying there is too much bureaucracy and too little politics. He pointed out that the presidential election in Poland did not turn out well for Europe, and that 2027's presidential election in France is approaching. "No one knows what will happen then," he said. He expressed confidence in the outcome of the trade dispute with the United States. Germany and Europe's clear message to the United States is "We want a common path and are looking for a common solution." With regard to China, Klingbeil said that Germany should definitely cooperate with Beijing, but at the same time the clear message is that if Taiwan is attacked, everything will change. Klingbeil said that Germany would remain a reliable partner in development financing, "especially now that other important donor countries are reducing their support." Germany is on track to become the world's largest donor of official development assistance, he added.
Qatar Tribune
27-05-2025
- Business
- Qatar Tribune
Germany earmarks $125 billion for 2025 to revive sluggish economy
Agencies The German government is earmarking some 110 billion euros ($125 billion) in public investments this year to revive the nation's sluggish economy, the country's new finance minister, Lars Klingbeil, said on Tuesday. 'We want there to be tangible changes for people who work hard and who rightly expect our country to function better,' said Klingbeil, who also serves as vice chancellor in Chancellor Friedrich Merz's new government. The Finance Ministry said investments are to increase by almost 50% in 2025, compared to the previous year, the report by the Deutsche Presse-Agentur (dpa) said. The investments are to come from Germany's core budget, as well as a 500-billion-euro package that was passed in March. 'At the same time, we will implement comprehensive structural reforms and continue to strictly consolidate the budget,' Klingbeil said in an emailed statement to Reuters. Germany's new coalition government plans a surge in public spending targeting defense and infrastructure, hoping to close gaps in long-neglected areas of investment while hauling the economy out of a two-year downturn. 'My top priority is to put Germany on a growth path now. This is how we boost the economy and secure jobs,' said landmark 500-billion-euro package was rushed through the German parliament following February's parliamentary elections by the incoming coalition partners – Merz's Christian Democrats (CDU), the Bavaria-only Christian Social Union (CSU) and Klingbeil's center-left Social Democratic Party (SPD). It allowed the new administration to circumvent strict rules on borrowing and deficit spending to invest in defense, infrastructure and climate protection measures. The package required votes from the Greens, who secured a promise for 100 billion euros of the pot to be transferred to the government's Climate and Transformation Fund, dedicated to climate spending. However, the Greens – now in the opposition – have warned that the government could use the special fund to plug budgetary holes and finance expensive giveaways promised during the election campaign. On Tuesday, Klingbeil announced comprehensive structural reforms to cut budgetary spending. The government is currently preparing a draft of the 2025 budget, which the cabinet is due to approve on June 25. The announcement by the finance minister comes as a new projection by the German Chamber of Commerce and Industry (DIHK) on Tuesday showed the German economy is expected to contract by 0.3% this year, shrinking for a third consecutive year. The risk of recession persists, the DIHK said, but following a promising first quarter, its projection was more optimistic than the previously forecast 0.5% contraction published in February. Economic growth in the first quarter was significantly stronger than expected due to export and industry frontloading ahead of U.S. tariffs. Germany had been expected to be badly affected by tariffs due to its export-oriented economy. The U.S. was Germany's biggest trading partner in 2024, with two-way goods trade totaling 253 billion euros. The DIHK forecasts German exports to decline by 2.5% in 2025, also contracting for a third consecutive year. A DIHK survey, conducted among 23,000 companies from all sectors and regions, showed that 29% of them see exports falling over the next 12 months, while only 19% expect exports to rise. The German economy continues to struggle with pessimistic business sentiment, standing at 94.9 in the latest survey. Values under 100 mean that there are more pessimists than optimists. 'Businesses are still waiting for signals of progress,' DIHK managing director Helena Melnikov said, calling for urgent political action.
Yahoo
26-05-2025
- Politics
- Yahoo
Germany plans to put more pressure on Israel over Gaza, minister says
German Finance Minister Lars Klingbeil said on Monday that Berlin plans to put more political pressure on Israel as it intensifies military operations in Gaza. Klingbeil, who leads the Social Democrats, the junior party in Germany's governing coalition, made the statement after meeting European Commission Vice President Stéphane Séjourné. "It has also been agreed within the coalition that we will do this, and that is the right thing to do," Klingbeil said, adding he could support what Chancellor Friedrich Merz had said earlier. "As the Federal Republic of Germany, we must also make it clear among friends, given the historical responsibility we bear towards Israel, what is no longer acceptable." This point has been reached, he said. Klingbeil added that further steps would be discussed jointly within the government. When asked about one party's demands for an embargo on arms for Israel, he declined to comment. Merz earlier emphasized Germany's partnership with Israel, but warned that "the Israeli government must not do anything that its best friends are no longer prepared to accept."
Al Etihad
26-05-2025
- Business
- Al Etihad
Trump extends 50% EU tariffs deadline until July 9
26 May 2025 08:21 Morristown (AFP)US President Donald Trump said on Sunday that he would pause his threatened 50% tariffs on the European Union until July 9, after a "very nice call" with EU chief Ursula von der had threatened on Friday to invoke the steep tariffs as soon as June 1, saying talks with the European Union over his previous levies were "going nowhere."Von der Leyen "just called me... and she asked for an extension on the June 1 date, and she said she wants to get down to serious negotiation," Trump told reporters before boarding Air Force One in Morristown, New Jersey."And I agreed to do that," he der Leyen had earlier said on X that she held a "good call" with Trump, but that "to reach a good deal, we would need the time until July 9.""Europe is ready to advance talks swiftly and decisively," said the president of the European Commission, which conducts trade policy for the 27-nation and Washington have been negotiating in a bid to avert an all-out transatlantic trade war, and had agreed to suspend tariff action on both sides until Trump's threat on Friday dramatically raised the US leader said Friday he was "not looking for a deal" with the EU, repeating his oft-stated view that the bloc was created to "take advantage" of the United Finance Minister Lars Klingbeil separately on Sunday called for "serious negotiations" with Washington, saying he had spoken with his US counterpart Scott Bessent about the matter."We don't need any further provocations, but serious negotiations," Klingbeil, who is also Germany's vice chancellor, told Bild newspaper."The US tariffs endanger the US economy just as much as the German and European economy," Klingbeil has hit the bloc with three sets of tariffs: 25 percent on steel and aluminium and on automobiles, followed by a 20-percent "reciprocal" levy on all imports -- which has been suspended pending talks, though a baseline 10 percent remains in EU's trade chief Maros Sefcovic, who held talks with his US counterparts on Friday, responded to Trump's latest outburst by saying the bloc was "committed to securing a deal" but that trade ties should be based on "mutual respect, not threats".Brussels has announced plans to hit US goods worth nearly 100 billion euros ($113 billion) with tariffs if negotiations fail to produce a US trade deficit in goods with the European Union was $236 billion in 2024. But when taking account of services, where American firms are dominant, the European Commission calculates that the US trade deficit stood at 50 billion euros ($57 billion).
The Sun
26-05-2025
- Business
- The Sun
EU chief vows to advance trade talks after ‘good' Trump call
BRUSSELS: EU chief Ursula von der Leyen said Sunday she held a 'good call' with President Donald Trump following his threat of 50-percent tariffs on the bloc, vowing to move 'swiftly' to reach a trade deal with Washington. 'The EU and US share the world's most consequential and close trade relationship,' the president of the European Commission, which conducts trade policy for the 27-nation bloc, posted on X. 'Europe is ready to advance talks swiftly and decisively,' she wrote, adding: 'To reach a good deal, we would need the time until July 9.' Brussels and the United States have been negotiating in a bid to avert an all-out transatlantic trade war, and had agreed to suspend tariff action on both sides until July. But Trump dramatically upped the stakes on Friday, complaining that talks with the 27-nation EU were 'going nowhere' and threatening a 50-percent tariff on all EU imports to the United States starting June 1. The US leader said Friday he was 'not looking for a deal' with the EU, repeating his oft-stated view that the bloc was created to 'take advantage' of the United States. German Finance Minister Lars Klingbeil separately on Sunday called for 'serious negotiations' with Washington, saying he had spoken with his US counterpart Scott Bessent about the matter. 'We don't need any further provocations, but serious negotiations,' Klingbeil, who is also Germany's vice chancellor, told Bild newspaper. 'The US tariffs endanger the US economy just as much as the German and European economy,' Klingbeil warned. Trump has hit the bloc with three sets of tariffs: 25 percent on steel and aluminium and on automobiles, followed by a 20-percent 'reciprocal' levy on all imports -- which has been suspended pending talks, though a baseline 10 percent remains in force. The EU's trade chief Maros Sefcovic, who held talks with his US counterparts on Friday, responded to Trump's latest outburst by saying the bloc was 'committed to securing a deal' but that trade ties should be based on 'mutual respect, not threats'. Brussels has announced plans to hit US goods worth nearly 100 billion euros ($113 billion) with tariffs if negotiations fail to produce to deal. The US trade deficit in goods with the European Union was $236 billion in 2024. But when taking account of services, where American firms are dominant, the European Commission calculates that the US trade deficit stood at 50 billion euros (57 billion dollars).
