Friedrich Merz, the leader of Germany’s Christian Democratic Union (CDU), has been elected as the country’s new chancellor following a second-round parliamentary vote on May 6, 2025. This latest decision follows an equally major defeat for Merz, after he couldn’t muster enough support for a first-floor vote. The election marks a seismic political shift in leadership for Germany. Few indeed would bet against Merz leading Europe’s largest economy in a different direction.
During the session held at the Bundestag in Berlin, Merz needed to garner at least 316 votes from the 630 members of parliament to secure his position. Second round of voting Merz managed to get 325 votes on the board, therefore confirming his position as chancellor. His election is a watershed moment for the CDU. The party has spent the last four years, under the leadership of party chair Christian Lindner, toiling to restore their relevance in German politics.
Just months before Merz was elected, he had failed to win the required majority in a test vote. This cast doubt on the former mayor’s capacity to helm a safe and just recovery. The second vote passed, illustrating the tremendous turnaround in support from parliamentarians. Recent history — specifically recent political developments — were critical to making this happen.
To do this, the CDU allied with its Bavarian partner, the Christian Social Union (CSU). Combined, they formed a powerful progressive bloc that resulted in the largest share of progressive votes in this year’s federal election. Following weeks of negotiations that began soon after the February election, the two parties formally signed their coalition agreement on Monday. This simple pact both reflects their shared vision for deliberative and inclusive governance and foreshadows Merz’s bold leadership.
Reactions from the market to Merz’s election were immediate. Germany’s German Dax stock market index extended losses but began to recover after the news of his election was announced. Investors see this change in leadership as a potentially important stabilizing factor for Germany’s economic outlook.
If Merz were to become chancellor, it would mark a comeback for the CDU after a time in the wilderness following their unsuccessful 2021 elections campaign. His leadership is predicted to be pro-business, advocating for economic growth and stability in tune with the party’s center-right values. Leadership of this coalition with the CSU will support Merz’s agenda. He will need to confront enormous domestic and international challenges right from the get-go.
Leave a Reply