Why Should We Worry About Becoming Too Dependent On China?

It worked out great with Russia, didn’t it?

Germany’s Continued Illusions About China and Russia – Berlin’s pursuit of economic and political ties with Beijing and Moscow has created dangerous dependencies. A change in strategy would benefit both Germany and the EU

Over the years, these two authoritarian regimes embedded themselves in the German economy and ingratiated themselves with the elites. Such developments prevented the EU from forging a coherent, critical strategy toward both Moscow and Beijing.

Gott Sei Dank

Thank God. The Germans are relieved. For a while there things were starting to look way too positive.

Post-Brexit-wise.

Positive trend in German exports to Britain no cause for optimism – DIHK.

German exports to Britain this year could grow for the first time since 2015, statstics office data showed, but the DIHK business association said the numbers did not mark a turn for the better, especially in light of Britain’s current turbulence.

Country With Army That Uses Broomsticks For Guns Calls For Military Autonomy

They’ll be using their own, domestically produced broomsticks for training in the future, I guess.

German Chancellor Calls for EU Reforms, Military Autonomy – German Chancellor Olaf Scholz Saturday called for reforms of the European Union to make it fit for the admission of new countries as well as more military autonomy of the 27-country bloc.

Speaking at the Congress of the Party of European Socialists in Berlin, Scholz advocated for gradually abolishing the principle of unanimity for decisions in foreign policy, but also in other areas such as tax policy…

Scholz also supports more military autonomy of the EU. He called for coordinated procurement of weapons and equipment, the establishment of an EU rapid reaction force by 2025, and for an EU headquarters for European armed forces.

Do As I Say And Not As I Do

Or, if you prefer, no more German Alleingänge (going it alone)… After this one. Promise.

Tensions flare over the EU’s new irresponsible big spender: Germany – Countries say Berlin has a burden of responsibility not just to pour billions into its own economy — when German mistakes created the crisis.

Ten years ago, when Europe was in the throes of the eurozone crisis, Germany led the drive for austerity. Now the rest of Europe is fuming about Germany’s heavy spending on energy subsidies that they fear could exacerbate the Continent’s politically explosive rich-poor divide. It hardly helps these growing tensions that it was Berlin’s misguided dependence on Russian gas that helped trigger the bloc’s energy crisis in the first place.

Yes, You Can

But you better be polite. The Germans are thinking too much. Again.

Can You Speak To a War Criminal?

Russia has tens of thousands of lives on its conscience in Ukraine, yet calls for diplomatic initiatives are growing louder in the West. In Germany, a growing number in both the governing parties and the opposition would like to see talks with Moscow.

When the German chancellor speaks to Vladimir Putin by phone, the Russian president is always extremely polite. People familiar with the calls say that his voice it rather soft and that the tone is less preachy than in his public appearances. Putin usually speaks a few sentences of German as a greeting before switching to Russian, with an interpreter then jumping in to translate…

“You can’t negotiate with this Putin right now.” Annalena Baerbock, German foreign minister.

German Of The Day: Bröseln

That means to crumble.

Europe’s unity ‘crumbling’ on Russia sanctions, Germany warns – EU struggles to find compromise over plan to impose embargo on buying oil from Moscow.

Europe’s unity on sanctions against Russia is “starting to crumble”, Germany’s economy minister has warned as diplomats highlight continued divisions over a package of sanctions set to be discussed by member states on Monday.

Robert Habeck spoke as EU ambassadors meeting in Brussels on Sunday failed to agree on the bloc’s latest package of sanctions against Moscow, including a plan to stop imports of Russian oil which Hungary has been blocking for weeks.

Diplomats had hoped to agree on measures to put to EU leaders who are due to start a two-day summit on Monday.

“After Russia’s attack on Ukraine, we saw what can happen when Europe stands united. With a view to the summit tomorrow, let’s hope it continues like this. But it is already starting to crumble and crumble again,” Habeck, who is also deputy chancellor, told reporters in Germany on Sunday.

“Es fängt schon wieder an zu bröseln und zu bröckeln.”

Inflation Tax 101

Thanks for the warning, German central bank, one of the main culprits behind the problem you’re warning about.

Germans are suffering large cuts in real pay, Bundesbank report says – Workers in Germany are experiencing large cuts in their purchasing power as modest pay rises fail to keep up with record-high inflation, the country’s central bank said in a report on Monday.

It’s an age-old dirty trick. The EU, the central banks and the German government itself are pursuing policies that magically generate more tax revenue without openly raising taxes. If prices go up 10%, say, the tax receipts increase 10% too. Inflation also reduces government debt (if they borrowed 1000 but only have to pay back 900 in real terms). But thanks for the warning. That’s very considerate of you.

The Name That Shall Not Be Spoken

Or at least classified as a “green investment.”

It starts with a “nu” and ends with a “clear” but you didn’t hear that from me because the Green Brain Police here in Germany demand strict adherence to the ideological tenets of environmental dogma. Or something along those lines.

Germany to reject EU green investment label for nuclear power – Germany will oppose European Union plans to include nuclear energy as a sustainable investment in its “taxonomy” policy for labelling green investments, the government said on Monday.

Brussels is seeking approval from EU countries and European Parliament for its plan to label gas and nuclear as climate-friendly investments, which has split opinion among states who disagree on the fuels’ green credentials.

“The Federal Government has expressed its opposition to the taxonomy rules on nuclear power. This ‘no’ is an important political signal that makes clear: Nuclear energy is not sustainable and should therefore not be part of the taxonomy.”

German Of The Day: Bremser

That means brakeman or somebody who drags his feet and won’t get with the plan.

Germany, a world-class Bremser, has now dropped its opposition to an EU ban on Russian oil because, well, 1) they want to improve their image of being a Bremser and 2) they know that this ban won’t happen anyway because Hungary and Slovakia, being even more dependent upon Russian oil than Germany is (which is saying a lot), are being even bigger Bremser than the German Bremser is and for the ban to take place, all 27 EU countries must agree to it.

Two senior ministers in Chancellor Olaf Scholz’s government on Monday said Germany would be ready to back an immediate European Union ban on Russian oil imports, and that Europe’s biggest economy could weather shortages and price hikes.

Is This The Beginning Of The End?

Or the end of the beginning? Or just the start of the next big ugly mess – once Putin turns the gas off.

Germany: G7 rejects Russia’s demand to pay for gas in rubles – The Group of Seven major economies have agreed to reject Moscow’s demand to pay for Russian natural gas exports in rubles.

Payment in ruble is not acceptable, and we will urge the companies affected not to follow (Russian President Vladimir) Putin’s demand.”