The former East Germany still votes virtually as a separate country — and increasingly for a party that has been linked to neo-Nazis.

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Uniper is seeking talks with Germany's new government over Berlin's plans to exit the 22 billion euro ($23 billion) utility, which is preparing for a return to the stock market after being nationalised during Europe's energy crisis.

Germany’s political system is set up to exclude extremists. Yet the country is waking up to a new political reality that has lurched to the right with the once outcast Alternative for Germany (AfD) party now firmly established in German politics.

“That feeds into this whole far-right populist narrative that the mainstream parties are abandoning those areas,” Lueders said. Far-right parties, which tend to position themselves as populists standing up for ordinary people against a corrupt or co-opted elite, are well placed to appeal to people who have lost faith in the status quo.

Friedrich Merz has vowed to prioritize European unity and the continent's security as it grapples with the new Trump administration and Russia's war on Ukraine​.

Friedrich Merz's CDU party emerged as the largest party in Germany's parliament, the Bundestag, earning 28.6% of the vote.