German Chancellor Friedrich Merz and French President Emmanuel Macron have agreed to strengthen Franco-German defence cooperation while calling for closer dialogue with China over trade imbalances and industrial overcapacity.

Meeting during a joint cabinet session, the two leaders outlined plans to enhance European security, including missile defence, long-range strike capabilities and closer cooperation on nuclear deterrence within the NATO framework. 

They also said Europe should respond to competitive pressures linked to Chinese industrial subsidies and currency policies while avoiding a trade conflict.

Key developments

  • Germany will participate in a French nuclear exercise for the first time.
  • France will continue to fund its own nuclear deterrent independently.
  • The Future Combat Air System (FCAS) will continue through development of its cloud-based systems despite changes to the fighter aircraft programme.
  • Both leaders pledged stronger oversight of future joint defence projects.

ℹ️       Reuters

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German Chancellor Friedrich Merz and French President Emmanuel Macron shake hands after a press conference at Schloss Augustusburg in Bruehl, Germany, July 17, 2026. REUTERS/Thilo Schmuelgen
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Merz and Macron strengthen Franco-German defence partnership
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