German-Dutch Dialogue in The Hague
Europe in Transition – Opportunities and Challenges

From left to right: Ambassador Dr Nikolaus Meyer-Landrut, Aldo Lodder, Dr René Cuperus, and Markus Ferber, MEP and Chairman of the Hanns Seidel Foundation

HSS

On 3 June 2025, the four-party governing coalition in the Netherlands collapsed after right-wing populist Geert Wilders withdrew his ministers over a dispute concerning asylum and migration policy. Prime Minister Dick Schoof resigned but will remain in office in a caretaker capacity until new elections are held in the autumn. Experts expect that a new government coalition will be formed without Wilders' Freedom Party (PVV).

On the same day, the HSS Brussels Office and the German Embassy in The Hague hosted a panel discussion on strengthening European competitiveness and expectations for the new German government. Distinguished experts and politicians took part as panel speakers, including Ambassador Dr Nikolaus Meyer-Landrut, HSS Chairman and CSU economic expert Markus Ferber, MEP, Dutch political scientist Dr René Cuperus, and Aldo Lodder from the German-Dutch Chamber of Commerce as moderator.

Germany: New Government, New Dynamics?

From the new federal government in Berlin, the Netherlands expects above all one thing: stability and reliability. 

MEP Markus Ferber sees the swift conclusion of the coalition agreement as a "clear signal" that Germany is taking global challenges seriously. Rapid action is needed, especially in light of international tensions. Overcoming economic stagnation is a top priority in the coalition agreement – a goal that aims to strengthen not only Germany but Europe as a whole. At the same time, Ferber warns of risks such as demographic change, bureaucratic burdens and the threat of deindustrialisation. Medium-sized enterprises, the so-called "hidden champions", are particularly affected by excessive regulation. He draws a clear lesson from the collapse of the previous “traffic light” coalition: successful governance requires clear structures and a willingness to compromise – "both nationally and across Europe".

The Netherlands: Alarming Signals from the West

Dutch political scientist René Cuperus sharply criticised the political instability in his country. Especially in the run-up to the NATO summit, the collapse of the last government was, in his words, "shameful". In contrast, he observes a noticeable "change of mood" in Germany and regards Friedrich Merz as a new figure of hope. The Dutch example serves as a warning to other EU member states: populist experiments could seriously endanger political stability. Cuperus points out that social divides today run less along traditional left-right lines, and more between urban and rural areas, between academics and non-academics, and between the lower and upper middle classes.

René Cuperus insists:

"These divides must be overcome to ensure Europe remains strong and democratic."

Ferber adds that regions with low unemployment are less vulnerable to radical parties. However, in eastern Germany, there is less economic momentum and a “system-critical” attitude that often arises without an objective basis. To strengthen this part of Germany, inequalities and the resulting social sentiments must be addressed.

Markus Ferber, MEP (left) with Ambassador Dr Nikolaus Meyer-Landrut.

Competitiveness and Industrial Transformation

The era in which the automotive industry dominated Europe's economy is over. Europe must keep pace in the 21st century, Cuperus warns. Geopolitical shifts demand investment in future technologies – yet political and bureaucratic structures often hinder swift action. The new German government must therefore show leadership and create frameworks that enable quick and efficient decision-making. European society, he argues, has also become too complacent, placing too much emphasis on a "good life" or prioritising data privacy over openness to technology and innovation. “This must change urgently in today’s globally competitive world.”

Ferber calls for a “coalition of the willing” to deepen integration in selected policy areas. The internal market remained fragmented, and its full potential untapped. Without the member states’ willingness to transfer competences, this fragmentation will persist. The Benelux countries could serve as role models in this regard. Germany has strong defence technologies and is making substantial investments, but better coordination could significantly increase efficiency. Infrastructure investments in Germany would benefit all of Europe – but bureaucratic hurdles must not be allowed to hinder progress.

Acceptance and Citizen Engagement in the EU

"The EU and its achievements must be made more visible and connected with its citizens," René Cuperus urged the panel.

The decline of traditional parties makes reforms more difficult, as weak parties and politicians shy away from unpopular decisions. Ambassador Dr Nikolaus Meyer-Landrut notes that private businesses, too, are often quick to criticise EU regulations, but rarely communicate their benefits. A more positive portrayal of European integration was therefore essential. Ferber calls on member states to take ownership of their decisions instead of blaming Brussels for unpopular rules. Only by sharing responsibility can the EU regain public support.

Conclusion

Europe is at a crossroads: major challenges are met with new opportunities. Expectations are high for the new German federal government and the EU Commission to deliver crucial momentum that will equip Europe for the 21st century. At the same time, all member states must assume responsibility – particularly in protecting democracy and the rule of law. Only then can Europe remain strong and competitive in the future.