Prime Minister Merz attended the "Singapore Lecture" series of events on Tuesday (October 27) and delivered a keynote speech. “Let us work together to reach a large trans-regional agreement with the members of the Trans-Pacific Partnership,” he said, referring to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
CPTPP is a free trade agreement launched in 2018, covering 12 countries on five continents on both sides of the Pacific, including Canada, Australia, and Chile, with a population of 600 million. Its predecessor is the Trans-Pacific Partnership (TPP), which was born during the Obama era. The United States withdrew during President Trump’s first term, but other member states continued to advance, forming the CPTPP. On December 15, 2024, the United Kingdom officially joined the CPTPP, becoming the first country in Europe to take this step.
Mertz also called on the EU to integrate bilateral trade agreements signed with Asia-Pacific countries to improve effectiveness. "The EU is currently establishing free trade agreements with countries such as Indonesia, the Philippines, India, Australia and Malaysia. I don't want us to stop there."
Germany is seeking ways to diversify its trading partners and reduce its dependence on China. This is also the main goal of Mertz's trip to Asia. In addition to Singapore, he will also visit Japan and South Korea.
Prime Minister Merz pointed out that the trade agreement reached between the EU and CPTPP also "reflects the reality that supply chains and production chains are intertwined." He said that trade between the two countries accounts for one-third of the global total.
Mertz added that as a long-term goal, the EU should aim to reach a trade agreement with the Association of Southeast Asian Nations (ASEAN). ASEAN has 11 member countries with a total population of approximately 700 million.
Mertz said in his speech that the new era of power politics led by major powers such as the United States and China has also brought opportunities. "We are building a network of partners to connect with countries with which we share common core values and interests. This new era is bringing us closer together than ever before."
Talking about China's role on the global stage, Mertz said that Germany's China policy is consistent with that of the EU and that it has become more and more mature.
He pointed out that Beijing's actions have raised serious concerns on issues such as trade, security and international order. However, he opposed a complete severing of ties with the world's second-largest economy, arguing that doing so would neither make Germany safer nor bring more prosperity.
But he also said Europe and Asia must reduce "unhealthy, one-sided dependence" on supply chains, technology and raw materials. He said remedial measures would be needed if trade competition "is distorted by systemic overcapacity, or restrictions on exports and market access."
He believes that the top priority is to reduce risks by building new and deeper partnerships, ideally with like-minded countries.
Germany and Singapore have long maintained close ties in the fields of business, defense and research. According to German government statistics, there are currently nearly 2,400 German companies operating in Singapore, providing about 45,000 jobs.
The annual bilateral trade volume between the two countries reaches US$13.2 billion. Germany is Singapore's largest trading partner in Europe; Singapore ranks fourth among Germany's Southeast Asian trading partners.
In order to give Merz special courtesy, Singapore named an orchid (Vanda Friedrich Merz) after Merz.
The orchid is the national flower of Singapore. Naming orchid varieties after distinguished guests is a long-standing tradition in Singapore to pay tribute to distinguished guests. Mertz is scheduled to travel to Japan on Wednesday and will later visit South Korea. This is his third trip to Asia since taking office as German Chancellor in 2025. He first visited India, then China, and now Singapore, Japan and South Korea.
