Prior to the start of the European Council meeting and US President Joe Biden's visit, Federal Chancellor Scholz delivered a government statement in which he highlighted Germany's strong European and transatlantic relations. Scholz also pledged Germany's support and solidarity to Ukraine and Israel.

In his speech delivered in the Bundestag, he called for a fundamental modernisation of Europe with the goal of remaining internationally competitive. He said that this had to be one of the key points of the new Commission's agenda.

In view of national economic development, the Federal Chancellor suggested a new industrial policy agenda. He plans to invite industrial and business associations and trade unions to the Chancellery before the end of this month to discuss the required measures.

You can see the video of the speech here (German):

Video Regierungserklärung von Bundeskanzler Scholz zum Europäischen Rat

This is what the Federal Chancellor had to say about...

...US President Joe Biden's upcoming visit

Regarding US President Joe Biden's upcoming visit to Germany, the Federal Chancellor said that the close transatlantic partnership with the USA was a key constant of German foreign policy. The USA as a NATO partner in particular represented peace, security and freedom, Scholz pointed out. "America's President Biden also stands for an incredible improvement of cooperation in recent years," he said, adding that this was why he was looking forward to Biden's visit.

...Russia's war of aggression against Ukraine

The Russian attack on Ukraine was the greatest threat to peace and security that Europe had experienced in recent decades, the Federal Chancellor said. He pointed out that this was why Germany would be supporting Ukraine in its defence efforts for as long as necessary. The 50 billion dollar loan granted to Ukraine by the G7 states formed the foundation for supporting the country, also in the years ahead, he said, adding that it was also essential to establish ways towards peace. The Federal Chancellor reaffirmed his willingness to speak to President Putin in this respect, pointing out that a conversation like this would only take place in consultation with Ukraine and the closest partners.

...the latest developments in the Middle East

Federal Chancellor Scholz also recalled Hamas' attack against Israel and stressed Israel's right to defend itself, as well as pointing out that the country could rely on Germany's solidarity. Germany would continue to support Israel by supplying arms and defence equipment, the Federal Chancellor said. He also sympathised with the victims on all sides, stressing that they did not go unnoticed. It was therefore of central importance to the Federal Government, Scholz pointed out, that more humanitarian aid reached Gaza, that the rules of international law were observed and that there continued to be a perspective for a two-state solution.

Further information about Germany's support is available on this page: Germany stands firmly alongside Israel

...competitiveness of the EU

Europe had to be fundamentally modernised to remain competitive, Scholz stated. "We must fight for every job in the industrial sector." It was also essential to further develop the Green Deal to draw up a growth agenda, the Federal Chancellor said, appealing to the European Union to swiftly conclude further trade agreements: "We need a large number of new trade agreements. The MERCOSUR agreement must be realised at long last."

...the German economy

"The economic situation is not what it should be," the Federal Chancellor said. The Germany Pact had helped to speed up a lot of things, such as development of renewables, electricity grids and approval procedures for industrial facilities, he pointed out, adding that the Pharma Package had also encouraged billions' worth of investment. He also reported that based on the growth initiative, legislative proposals were now being presented in the Bundestag on a weekly basis. "Germany is an industrial country," Scholz said. "This is why we must now fight for this basis of our prosperity to be preserved, together with the industrial sector that accounts for millions of jobs."

...the automotive industry and customs

"It must be our goal to build top-quality cars that can compete on the global market, also in the area of electromobility," the Federal Chancellor stated. This could, however, not be achieved with customs but only through fair trading conditions, he added. He continued by saying that he agreed with the automotive industry and other EU member states that it was now important to come to an understanding between China and the European Union.

...energy prices and network charges

The Federal Chancellor announced that he would provide political support for the expansion of renewable energy and the hydrogen network, saying that pragmatic solutions had to be found owing to the fact that the companies involved had to compete. "Around 20 billion are now earmarked in the federal budget every year for replacing the EEG levy to make sure that the levy does not become a burden on citizens, medium-sized companies and large corporations," Scholz said.

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