“Our two countries are close partners in the European Union.” This was a point stressed by Federal Chancellor Friedrich Merz at a joint press conference with Spanish Prime Minister Pedro Sánchez in Madrid. The deepening of the single market and increase in competitiveness, as well as European security were central themes of the meeting. The situation in the Middle East was also discussed.

The most important points in brief:

• Two strong business locations: “We want to remain industrial manufacturing locations”, emphasised Chancellor Merz. Germany and Spain have interdependent industries and are close partners in research and development as well as in the energy sector. The development of a joint hydrogen infrastructure is also of paramount importance for both countries, said the Chancellor. Both shared a strong interest in the rapid adoption of the MERCOSUR--Mercado Común del Sur agreement with South American countries.
• A secure Europe: The Federal Chancellor said that the very close German-Spanish cooperation in the defence industry was to be continued. The new EU defence initiatives must now be resolutely implemented. “We must ensure that the European defence industry is competitive,” said the Chancellor. There was also agreement on further support for Ukraine.
• Concern about the humanitarian situation in Gaza: Germany and Spain are concerned about the ongoing ground offensive by the Israeli armed forces against Gaza City. They also share the fear that steps will be taken to annex the West Bank, which could make a two-state solution even more difficult, according to the Chancellor. “We are really committed to ensuring that a two-state solution remains possible in this region.”

Read the transcript of the press conference here: