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Friedrich Merz Faces Intensified Challenges as Germany’s New Chancellor

After a difficult path to the chancellorship, Friedrich Merz confronts mounting economic pressures and a surge from the far-right party, complicating his leadership ambitions.

Daniel Schwartz
Published • Updated June 15, 2025 • 3 MIN READ
Friedrich Merz Faces Intensified Challenges as Germany’s New Chancellor
Friedrich Merz, newly appointed German chancellor, attends a ceremony in Berlin on Tuesday with former Chancellor Olaf Scholz observing.

Friedrich Merz’s party secured victory in Germany’s national elections held in late February. Following weeks of coalition talks, Merz finally assumed the chancellorship late Tuesday afternoon, after an initial failed parliamentary vote and a delay of several hours.

During the interim period, many of Merz’s challenges intensified.

Economic forecasts for Germany, which Merz pledged to revitalize, have weakened under the strain of ongoing trade tensions and tariffs imposed by the previous U.S. administration. Diplomatic relations with Washington remain strained.

Meanwhile, the far-right Alternative for Germany (AfD) party, which has gained some tacit support from figures associated with the former U.S. administration, has risen in the polls. Recent surveys suggest the AfD is neck and neck with Merz’s center-right Christian Democrats, with some polls indicating it could have led if elections were held again, despite the party being officially designated as extremist by German intelligence.

The most significant setback came on Tuesday when Merz failed to secure enough votes to be elected chancellor on the first parliamentary ballot. Eighteen members of his coalition withheld support, marking an unprecedented event in modern German politics. Nevertheless, Merz succeeded in winning the chancellorship in a subsequent vote later that day.

Merz now faces two critical tasks: demonstrating to Europe and the international community that Germany is ready to take on a leadership role not seen since the tenure of former Chancellor Angela Merkel, and persuading a domestic audience frustrated with stagnant politics that mainstream parties can deliver meaningful change.

Daniel Schwartz
Daniel Schwartz

Daniel provides policy analysis, scrutinizing legislative impacts and governmental reforms across various sectors.

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