German Voters Shift Right in State Elections, Sending Ominous Message to Brussels

German Chancellor Olaf Scholz's center-left coalition suffered a significant defeat in local elections, with the conservative CDU and far-right AfD making gains. This outcome could hinder crucial reforms both in Germany and at the European Union level, as internal divisions within the coalition have already led to compromises on climate transition measures. A weakened German government may struggle to rally other EU member states around compromise proposals, potentially stalling important discussions on energy price reform and rewriting fiscal rules.