(L-R) Bavaria's State Premier and leader of the conservative Christian Social Union (CSU) Markus Soeder and German Chancellor Friedrich Merz (CDU), address a press conference, on July 2, 2026 in the garden of the Chancellery in Berlin, one day after their coalition committee consultations on a major package of reforms. Germany's ruling coalition has agreed on sweeping reforms, Chancellor Friedrich Merz said, a breakthrough aimed at reviving the struggling economy and countering the rise of the far right. (Photo by Tobias SCHWARZ / AFP via Getty Images)