Berlin, Germany – German Chancellor Friedrich Merz has confirmed that his country has sufficient oil and gas supplies, despite the challenges facing global markets due to geopolitical tensions and supply chain disruptions.
Stability of local supplies
Merz explained during an open meeting with citizens in northern Germany that the majority of Europe’s energy imports do not pass through the Strait of Hormuz. He pointed out that supply sources are diverse. This diversity, therefore, gives Germany a relative margin of safety in the face of any sudden disruptions.
He added that the current situation does not indicate an immediate shortage in German markets. He emphasized that the government is closely monitoring developments in global energy markets to avoid any negative repercussions domestically.
Impact of global markets
Conversely, the advisor warned that global supply shortages remain a significant factor influencing prices within Europe. This impact occurs even when domestic supplies are readily available. He emphasized the close interdependence of the markets.
He pointed out that any tensions in energy production or transit regions, particularly in the Middle East, are quickly reflected in global prices. Therefore, political and diplomatic action is required alongside economic efforts.
Diplomatic moves to reduce tension
Mertz emphasized that his government is undertaking intensive diplomatic efforts to contribute to securing freedom of navigation and opening vital waterways, most notably the Strait of Hormuz. This is due to the importance of these steps in stabilizing global markets.
He affirmed that these actions are part of broader efforts to strengthen European energy security and reduce dependence on geographical bottlenecks. This will support price stability and limit volatility in the coming period.
