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EU remains investment-friendly despite current challenges, Merz tells Asia

Germany's Chancellor Friedrich Merz has reassured investors across Asia that the European Union continues to offer attractive opportunities despite recent political and economic turbulence. The comments were made during a strategic visit to the region aimed at broadening Germany's economic and diplomatic partnerships.

LSN Malaysia · 27 October 2026

EU remains investment-friendly despite current challenges, Merz tells Asia

Merz, speaking in Singapore, sought to counter perceptions that instability in Europe might deter foreign investment, emphasizing the bloc's underlying strengths and stability. The reassurance comes at a time when the EU faces various headwinds, from political shifts to economic pressures that have prompted scrutiny from international business communities.

The chancellor's Asian tour represents a deliberate effort by Berlin to expand Germany's commercial and strategic horizons beyond traditional European partnerships. By engaging directly with major markets and investor communities in the region, Merz is signalling Germany's commitment to strengthening ties with fast-growing Asian economies.

The visit underscores a broader shift in German foreign policy toward a more outward-looking approach, particularly as Berlin seeks to navigate complex geopolitical dynamics and diversify its economic relationships. Southeast Asian nations, including Malaysia, represent key markets for German investment and technology transfer, making such high-level diplomatic engagement increasingly significant.

Merz's comments are expected to focus on areas of mutual economic interest, including manufacturing, technology, and green energy initiatives, as Germany positions itself as a reliable long-term partner for Asian businesses and governments.