Berliner Boersenzeitung - Berlin-Paris ties under strain as EU faces harsh tests

EUR -
AED 4.033632
AFN 75.554639
ALL 98.772991
AMD 426.769718
ANG 1.987359
AOA 1013.613232
ARS 1071.533469
AUD 1.61591
AWG 1.97671
AZN 1.871252
BAM 1.955661
BBD 2.226442
BDT 131.77065
BGN 1.958794
BHD 0.413671
BIF 3199.173
BMD 1.098172
BND 1.431298
BOB 7.619459
BRL 5.993059
BSD 1.102722
BTN 92.528435
BWP 14.585965
BYN 3.608644
BYR 21524.172736
BZD 2.222642
CAD 1.491263
CDF 3152.852434
CHF 0.941709
CLF 0.036804
CLP 1015.524082
CNY 7.707466
CNH 7.796148
COP 4578.125651
CRC 571.959416
CUC 1.098172
CUP 29.10156
CVE 110.257177
CZK 25.371843
DJF 196.356067
DKK 7.460437
DOP 66.315295
DZD 146.42761
EGP 53.048236
ERN 16.472581
ETB 131.91484
FJD 2.429651
FKP 0.836323
GBP 0.836926
GEL 3.00942
GGP 0.836323
GHS 17.444762
GIP 0.836323
GMD 75.774264
GNF 9520.324478
GTQ 8.532395
GYD 230.693631
HKD 8.528899
HNL 27.419054
HRK 7.466484
HTG 145.389684
HUF 401.715553
IDR 17208.356468
ILS 4.190564
IMP 0.836323
INR 92.279785
IQD 1444.497505
IRR 46238.535747
ISK 148.978448
JEP 0.836323
JMD 174.237637
JOD 0.778059
JPY 163.325686
KES 142.249907
KGS 93.019347
KHR 4475.682425
KMF 493.024776
KPW 988.354248
KRW 1479.095448
KWD 0.336404
KYD 0.918935
KZT 532.542213
LAK 24349.272279
LBP 98745.393447
LKR 323.85702
LRD 212.8149
LSL 19.264533
LTL 3.242617
LVL 0.664274
LYD 5.258627
MAD 10.785735
MDL 19.346627
MGA 5050.641628
MKD 61.615628
MMK 3566.820073
MNT 3731.588673
MOP 8.817974
MRU 43.654902
MUR 51.054436
MVR 16.857357
MWK 1912.064328
MXN 21.180487
MYR 4.635938
MZN 70.177291
NAD 19.264533
NGN 1798.454863
NIO 40.577121
NOK 11.702346
NPR 148.045495
NZD 1.782602
OMR 0.42253
PAB 1.102722
PEN 4.107709
PGK 4.391688
PHP 62.203216
PKR 305.994888
PLN 4.319045
PYG 8595.390108
QAR 4.020515
RON 4.98296
RSD 117.010697
RUB 104.253303
RWF 1493.993993
SAR 4.125701
SBD 9.091451
SCR 15.231501
SDG 660.554542
SEK 11.388488
SGD 1.431581
SHP 0.836323
SLE 25.09027
SLL 23028.113751
SOS 630.155287
SRD 34.266988
STD 22729.944822
SVC 9.648315
SYP 2759.190222
SZL 19.256634
THB 36.545012
TJS 11.743567
TMT 3.854584
TND 3.373161
TOP 2.572033
TRY 37.475675
TTD 7.478469
TWD 35.455625
TZS 3004.786793
UAH 45.397479
UGX 4043.713075
USD 1.098172
UYU 46.116728
UZS 14049.003142
VEF 3978186.045782
VES 40.620775
VND 27201.722381
VUV 130.377195
WST 3.072096
XAF 655.910459
XAG 0.034122
XAU 0.000414
XCD 2.967865
XDR 0.820042
XOF 655.910459
XPF 119.331742
YER 274.876415
ZAR 19.099453
ZMK 9884.870451
ZMW 29.02794
ZWL 353.610961
  • RBGPF

    -1.8700

    58.93

    -3.17%

  • SCS

    0.3500

    12.97

    +2.7%

  • BCC

    0.6100

    138.9

    +0.44%

  • NGG

    -0.4700

    66.5

    -0.71%

  • RIO

    -0.1300

    69.7

    -0.19%

  • CMSC

    -0.0400

    24.7

    -0.16%

  • JRI

    -0.0200

    13.28

    -0.15%

  • BCE

    -0.1300

    33.71

    -0.39%

  • CMSD

    -0.0770

    24.813

    -0.31%

  • RELX

    -0.3200

    46.29

    -0.69%

  • GSK

    0.4500

    38.82

    +1.16%

  • VOD

    -0.0300

    9.66

    -0.31%

  • RYCEF

    0.0000

    6.98

    0%

  • AZN

    -0.4600

    77.47

    -0.59%

  • BTI

    0.1800

    35.29

    +0.51%

  • BP

    0.4200

    32.88

    +1.28%

Berlin-Paris ties under strain as EU faces harsh tests
Berlin-Paris ties under strain as EU faces harsh tests / Photo: John MACDOUGALL - AFP

Berlin-Paris ties under strain as EU faces harsh tests

Signs are growing that the crucial partnership between Germany and France is stumbling, experts say, just as Russia's invasion of Ukraine and soaring energy costs place extreme stress on the EU.

Text size:

Amid disagreements over energy, foreign policy, arms procurement and more, a joint cabinet meeting has been pushed back to January, while a parliamentary gathering of French, German and Polish MPs was cancelled at the weekend.

There have always been "difficult moments" in the relationship, said France's former ambassador to China, Britain and Russia, Sylvie Bermann.

"But we're clearly in a period of crisis, and the Franco-German relationship seems more strained than ever," she said.

It did not help that the Ukraine war erupted when German Chancellor Olaf Scholz had barely taken office, with insiders saying French President Emmanuel Macron's relationship with him is nothing like as warm as with former chancellor Angela Merkel, with whom he exchanged text messages daily.

Scholz and Macron are set to meet one-on-one in Paris on Wednesday following last week's gathering of European leaders.

"There's a necessary learning process" as Germany's three-party governing coalition finds its feet, said Alexandre Robinet-Borgomano, a German politics expert at French think-tank Institut Montaigne.

"In future, the German government will have to build compromises with more dialogue, more connection with its European partners," he added.

- Energy dust-up -

The Berlin-Paris axis has been the foundation of EU compromise for decades, and the bloc's two biggest and wealthiest countries are still more critical since Britain's departure.

Europe's economic heavyweight Germany has sowed discord with plans for a national 200-billion-euro ($197-billion) energy subsidy, rather than an EU-wide agreement to cap prices.

"I don't think it's good for Germany or for Europe if it isolates itself," Macron said last week of the plans, which smaller countries fear could drive up prices for them.

Ironically, the complaints from France and elsewhere come as Germany appears to be caving to long-standing demands, analyst Robinet-Borgomano said.

France has spent 10 years "firstly rebuking (Germany) for not spending enough on defence, for not having a strategic or geopolitical vision, and second rebuking it for staying stuck in austerity policy and spending no money", he pointed out.

That's "exactly what we're complaining about today", Robinet-Borgomano added.

Berlin "is investing more to stimulate growth and domestic demand, it's taking on a leadership role and is building European defence" with massive new spending following Russia's assault on Ukraine.

The energy subsidy dust-up was brushed under the carpet with an agreement for an energy price "roadmap" at last week's EU summit.

France has also snubbed Germany's pleas to build a new overland gas pipeline -- known as MidCat -- from import terminals in Spain and Portugal to European networks.

Instead, Macron last week announced an undersea pipeline from Barcelona to Marseille, with no timetable for completion or details of its funding.

- War means business -

Meanwhile in defence -- a field where France and Germany have striven to display unity -- differences have also been forced to the surface.

Paris has stayed out of a Germany-led plan for an anti-missile shield stretching across much of Europe, which has so far brought 14 countries including Britain, Belgium and the Netherlands on board.

One Macron adviser said France fears a "restart of the arms race in Europe", and will stick to its own air defence systems.

Analyst Robinet-Borgomano suggested that Paris was in fact annoyed that the shield would use US- and Israeli-made equipment rather than a French-Italian alternative.

France "ought to have pushed for interoperability between systems to ensure European sovereignty, we can see that it's about competing for leadership in European defence", he said.

A still thornier issue is a plan to develop a German-French-Spanish next-generation fighter jet known as the Future Combat Air System (FCAS).

Contracts for the next phase of development on the plane, supposed to replace existing fleets of French Rafales and German and Spanish Eurofighters by 2040, have not yet been signed.

"There's political agreement, but it's jammed at the level of the companies," one senior French official said.

French manufacturer Dassault "is afraid of losing its market position" if forced to work with competitor Airbus, they added.

(H.Schneide--BBZ)