BERLIN — German Vice Chancellor Lars Klingbeil has assailed U.S. President Donald Trump for his rhetoric on Greenland and actions in Venezuela, saying the situation is worse than politicians like to admit. The comments lay bare divisions inside Germany’s governing coalition over how to handle Washington as transatlantic tensions mount. They also mark a divergence between Klingbeil’s approach and that of German Chancellor Friedrich Merz, who has taken a far more cautious approach to Trump to avoid a rupture with Washington. “The transatlantic alliance is undergoing much more profound upheaval than we may have been willing to admit until now,” Klingbeil said Wednesday in view of Trump’s assertion that the U.S. needs control over Greenland as well as the U.S. administration’s decision to deploy its military to seize Venezuelan President Nicolás Maduro. “The transatlantic relationship that we have known until now is disintegrating,” he added. Merz, by contrast, has said with regard to Greenland that the U.S. president has legitimate security concerns that NATO should address in order to achieve a “mutually acceptable solution.” And while other EU governments strongly criticized the Trump administration following the capture of Maduro, Merz was more restrained, calling the matter legally “complex.” Behind Klingbeil’s more strident criticism of Trump lies a clear political calculus. The vice chancellor — who also serves as finance minister — is a leader of the center-left Social Democratic Party (SPD), which governs in coalition with Merz’s conservative bloc and has seen its popularity stagnate. Attacking Trump more forcefully may be one way for the party to improve its fortunes. Polls show most Germans strongly oppose Trump’s actions in Venezuela and his rhetoric on Greenland, and views of the U.S. government more generally are at a nadir. | Pool Photo by Shawn Thew via EPA Polls show most Germans strongly oppose Trump’s actions in Venezuela and his rhetoric on Greenland, and views of the U.S. government more generally are at a nadir. Only 15 percent of Germans consider the U.S. to be a trustworthy partner, according to the benchmark ARD Deutschlandtrend survey released last week, a record low. This underscores the political risk for Merz as he seeks to avoid direct confrontation with an American president deeply unpopular with the German electorate. But Merz has calculated that keeping open channels of communication with the U.S. president is far more critical. Klingbeil, on the other hand, is less encumbered by international diplomacy. “The Trump administration has made it clear that it wants to dominate the Western hemisphere,” he said on Wednesday. “One could sit here and say, ‘Yes, what the US has done in Latin America is not pretty. Yes, there are also threats against Mexico, Colombia, and Cuba, but what does that actually have to do with us?’ But then we look at President Trump’s statements today about Greenland. Then we look at what the Trump administration has written in its new national security strategy with regard to Europe. “All the certainties we could rely on in Europe are under pressure,” Klingbeil added.

Donald Trump will be the major draw at this year’s World Economic Forum in Davos, Switzerland, even as the U.S. president’s policies continue to undermine the spirit of global cooperation the elite gathering has championed in the past. “We’re pleased to welcome back President Trump to Davos, and he’s bringing the largest U.S. delegation ever,” WEF chief executive Børge Brende said at a press conference Tuesday. The U.S. president will bring “five secretaries and also other key players,” including a bipartisan delegation from the U.S. Congress, Brende said. The World Economic Forum, which takes place next week in the Alpine ski resort, comes as the world hangs on Trump’s words. Since the start of the month, Trump has captured Venezuelan dictator Nicolás Maduro, threatened to invade Greenland, hinted he could take action in Iran over violent crackdowns on protesters, announced a temporary cap on credit card interest rates that has stoked fears of a credit crunch, and opened a criminal investigation into Jerome Powell, chair of the U.S. Federal Reserve. Brende said the meeting will take place “against the most complex geopolitical backdrop since 1945.” According to the WEF, Trump will be joined by Canadian PM Mark Carney, China’s Vice-Premier He Lifeng, Ukrainian President Volodymyr Zelenskyy and leaders from Israel and Palestine. From Europe, European Commission President Ursula von der Leyen will attend along with leaders from Germany, Spain, Belgium, Finland, Greece, Ireland, the Netherlands, Poland and Serbia. NATO Secretary-General Mark Rutte will also join. The informal grouping of countries supporting Ukraine, known as the “coalition of the willing,” are expected to meet with Trump and Zelenskyy on the sidelines of the WEF to seek U.S. backing for security guarantees for Ukraine, the Financial Times reported. Business leaders, including the head of AI giant Nvidia Jensen Huang and top executives from Microsoft, Meta, Palantir, Anthropic and OpenAI, will join senior leaders from JPMorgan, Goldman Sachs, BlackRock and other major finance players in Davos. International organizations, which have seen their standing and funding rocked by Trump’s administration — including last week’s U.S. withdrawal from dozens of international organizations and the world’s overarching climate change treaty — will also attend. The heads of the United Nations, the World Trade Organization, the World Bank, the International Monetary Fund, the World Health Organization and the Organisation for Economic Co-operation and Development will take part. Celebrities and artists including David Beckham, Yo-Yo Ma, Marina Abramović, Matt Damon and will.i.am will also attend. The theme of the gathering will be “A Spirit of Dialogue.” “We do hope that a spirit of dialogue can also lead to areas where the leaders can find overlaps in interests,” Brende said.

BRUSSELS — A coalition of European left parties has launched a call for signatures to force the European Commission to suspend the EU’s association agreement with Israel over Gaza. Despite a U.S.-brokered ceasefire agreement in October, Israel has kept attacking targets in the Gaza Strip with airstrikes, drones and tanks, prompting the pro-Palestinian movement to renew its calls for the EU to take action against Israel. The coalition — led by France’s La France Insoumise, Spain’s Podemos, Portugal’s Bloco de Esquerda, and Nordic left parties — has launched a European Citizens Initiative titled “Justice for Palestine” calling on the EU executive suspend ties with Israel over its “genocide against the Palestinian population, and its ongoing violations of international law and human rights.” If the initiative receives a million signatures from at least seven EU counties — a likely outcome given the popularity of the issue — the Commission will be forced to state which actions, if any, it will take in respond to the initiative. “The EU pretends everything is back to normal, but we will not turn a blind eye to what is happening in Gaza,” said MEP Manon Aubry, the leader of La France Insoumise, adding the “EU is helping to finance genocide” by not suspending trade relations with Israel. More than 100 children have been killed since the ceasefire agreement was signed in March, UNICEF said Tuesday. The Commission already proposed in November to suspend some parts of the association agreement and to sanction some “extremist ministers” in the cabinet of Israeli Prime Minister Benjamin Netanyahu. But parts of the package were never implemented because they required unanimous approval from EU countries. After the ceasefire was reached the Commission proposed withdrawing the measures; the issue has remained frozen ever since. Foreign ministers from numerous EU countries as well as the U.K., Norway, Canada and Japan sharply criticized an Israeli decision to bar 37 international non-governmental organizations from providing aid to Gaza. The humanitarian situation in the besieged territory remains dire, with many living outdoors in winter weather. Four people were killed on Tuesday when a storm caused buildings that had been damaged in the war to collapse, according to local media.

LONDON — Reza Pahlavi was in the United States as a student in 1979 when his father, the last shah of Iran, was toppled in a revolution. He has not set foot inside Iran since, though his monarchist supporters have never stopped believing that one day their “crown prince” will return.  As anti-regime demonstrations fill the streets of more than 100 towns and cities across the country of 90 million people, despite an internet blackout and an increasingly brutal crackdown, that day may just be nearing.   Pahlavi’s name is on the lips of many protesters, who chant that they want the “shah” back. Even his critics — and there are plenty who oppose a return of the monarchy — now concede that Pahlavi may prove to be the only figure with the profile required to oversee a transition.  The global implications of the end of the Islamic Republic and its replacement with a pro-Western democratic government would be profound, touching everything from the Gaza crisis to the wars in Ukraine and Yemen, to the oil market.  Over the course of three interviews in the past 12 months in London, Paris and online, Pahlavi told POLITICO how Iran’s Supreme Leader Ayatollah Ali Khamenei could be overthrown. He set out the steps needed to end half a century of religious dictatorship and outlined his own proposal to lead a transition to secular democracy. Nothing is guaranteed, and even Pahlavi’s team cannot be sure that this current wave of protests will take down the regime, never mind bring him to power. But if it does, the following is an account of Pahlavi’s roadmap for revolution and his blueprint for a democratic future.  POPULAR UPRISING  Pahlavi argues that change needs to be driven from inside Iran, and in his interview with POLITICO last February he made it clear he wanted foreign powers to focus on supporting Iranians to move against their rulers rather than intervening militarily from the outside.  “People are already on the streets with no help. The economic situation is to a point where our currency devaluation, salaries can’t be paid, people can’t even afford a kilo of potatoes, never mind meat,” he said. “We need more and more sustained protests.” Over the past two weeks, the spiraling cost of living and economic mismanagement have indeed helped fuel the protest wave. The biggest rallies in years have filled the streets, despite attempts by the authorities to intimidate opponents through violence and by cutting off communications. Pahlavi has sought to encourage foreign financial support for workers who will disrupt the state by going on strike. He also called for more Starlink internet terminals to be shipped into Iran, in defiance of a ban, to make it harder for the regime to stop dissidents from communicating and coordinating their opposition. Amid the latest internet shutdowns, Starlink has provided the opposition movements with a vital lifeline. As the protests gathered pace last week, Pahlavi stepped up his own stream of social media posts and videos, which gain many millions of views, encouraging people onto the streets. He started by calling for demonstrations to begin at 8 p.m. local time, then urged protesters to start earlier and occupy city centers for longer. His supporters say these appeals are helping steer the protest movement. Reza Pahlavi argues that change needs to be driven from inside Iran. | Salvatore Di Nolfi/EPA The security forces have brutally crushed many of these gatherings. The Norway-based Iranian Human Rights group puts the number of dead at 648, while estimating that more than 10,000 people have been arrested. It’s almost impossible to know how widely Pahlavi’s message is permeating nationwide, but footage inside Iran suggests the exiled prince’s words are gaining some traction with demonstrators, with increasing images of the pre-revolutionary Lion and Sun flag appearing at protests, and crowds chanting “javid shah” — the eternal shah. DEFECTORS Understandably, given his family history, Pahlavi has made a study of revolutions and draws on the collapse of the Soviet Union to understand how the Islamic Republic can be overthrown. In Romania and Czechoslovakia, he said, what was required to end Communism was ultimately “maximum defections” among people inside the ruling elites, military and security services who did not want to “go down with the sinking ship.”  “I don’t think there will ever be a successful civil disobedience movement without the tacit collaboration or non-intervention of the military,” he said during an interview last February.  There are multiple layers to Iran’s machinery of repression, including the hated Basij militia, but the most powerful and feared part of its security apparatus is the Islamic Revolutionary Guard Corps. Pahlavi argued that top IRGC commanders who are “lining their pockets” — and would remain loyal to Khamenei — did not represent the bulk of the organization’s operatives, many of whom “can’t pay rent and have to take a second job at the end of their shift.”  “They’re ultimately at some point contemplating their children are in the streets protesting … and resisting the regime. And it’s their children they’re called on to shoot. How long is that tenable?” Pahlavi’s offer to those defecting is that they will be granted an amnesty once the regime has fallen. He argues that most of the people currently working in the government and military will need to remain in their roles to provide stability once Khamenei has been thrown out, in order to avoid hollowing out the administration and creating a vacuum — as happened after the 2003 U.S.-led invasion of Iraq.  Only the hardline officials at the top of the regime in Tehran should expect to face punishment.  In June, Pahlavi announced he and his team were setting up a secure portal for defectors to register their support for overthrowing the regime, offering an amnesty to those who sign up and help support a popular uprising. By July, he told POLITICO, 50,000 apparent regime defectors had used the system.  His team are now wary of making claims regarding the total number of defectors, beyond saying “tens of thousands” have registered. These have to be verified, and any regime trolls or spies rooted out. But Pahlavi’s allies say a large number of new defectors made contact via the portal as the protests gathered pace in recent days.  REGIME CHANGE In his conversations with POLITICO last year, Pahlavi insisted he didn’t want the United States or Israel to get involved directly and drive out the supreme leader and his lieutenants. He always said the regime would be destroyed by a combination of fracturing from within and pressure from popular unrest.  He’s also been critical of the reluctance of European governments to challenge the regime and of their preference to continue diplomatic efforts, which he has described as appeasement. European powers, especially France, Germany and the U.K., have historically had a significant role in managing the West’s relations with Iran, notably in designing the 2015 nuclear deal that sought to limit Tehran’s uranium enrichment program.  But Pahlavi’s allies want more support and vocal condemnation from Europe. U.S. President Donald Trump pulled out of the nuclear deal in his first term and wasted little time on diplomacy in his second. He ordered American military strikes on Iran’s nuclear facilities last year, as part of Israel’s 12-day war, action that many analysts and Pahlavi’s team agree leaves the clerical elite and its vast security apparatus weaker than ever.  U.S. President Donald Trump pulled out of the nuclear deal in his first term and wasted little time on diplomacy in his second. | Pool photo by Bonnie Cash via EPA Pahlavi remains in close contact with members of the Trump administration, as well as other governments including in Germany, France and the U.K. He has met U.S. Secretary of State Marco Rubio several times and said he regards him as “the most astute and understanding” holder of that office when it comes to Iran since the 1979 revolution.  In recent days Trump has escalated his threats to intervene, including potentially through more military action if Iran’s rulers continue their crackdown and kill large numbers of protesters.  On the weekend Pahlavi urged Trump to follow through. “Mr President,” he posted on X Sunday. “Your words of solidarity have given Iranians the strength to fight for freedom,” he said. “Help them liberate themselves and Make Iran Great Again!” THE CARETAKER KING  In June Pahlavi announced he was ready to replace Khamenei’s administration to lead the transition from authoritarianism to democracy.   “Once the regime collapses, we have to have a transitional government as quickly as possible,” he told POLITICO last year. He proposed that a constitutional conference should be held among Iranian representatives to devise a new settlement, to be ratified by the people in a referendum.  The day after that referendum is held, he told POLITICO in February, “that’s the end of my mission in life.”  Asked if he wanted to see a monarchy restored, he said in June: “Democratic options should be on the table. I’m not going to be the one to decide that. My role however is to make sure that no voice is left behind. That all opinions should have the chance to argue their case — it doesn’t matter if they are republicans or monarchists, it doesn’t matter if they’re on the left of center or the right.”  One option he hasn’t apparently excluded might be to restore a permanent monarchy, with a democratically elected government serving in his name.  Pahlavi says he has three clear principles for establishing a new democracy: protecting Iran’s territorial integrity; a secular democratic system that separates religion from the government; and “every principle of human rights incorporated into our laws.” He confirmed to POLITICO that this would include equality and protection against discrimination for all citizens, regardless of their sexual or religious orientation.  COME-BACK CAPITALISM  Over the past year, Pahlavi has been touring Western capitals meeting politicians as well as senior business figures and investors from the world of banking and finance. Iran is a major OPEC oil producer and has the second biggest reserves of natural gas in the world, “which could supply Europe for a long time to come,” he said.  “Iran is the most untapped reserve for foreign investment,” Pahlavi said in February. “If Silicon Valley was to commit for a $100 billion investment, you could imagine what sort of impact that could have. The sky is the limit.”  What he wants to bring about, he says, is a “democratic culture” — even more than any specific laws that stipulate forms of democratic government. He pointed to Iran’s past under the Pahlavi monarchy, saying his grandfather remains a respected figure as a modernizer.  “If it becomes an issue of the family, my grandfather today is the most revered political figure in the architect of modern Iran,” he said in February. “Every chant of the streets of ‘god bless his soul.’ These are the actual slogans people chant on the street as they enter or exit a soccer stadium. Why? Because the intent was patriotic, helping Iran come out of the dark ages. There was no aspect of secular modern institutions from a postal system to a modern army to education which was in the hands of the clerics.”   Pahlavi’s father, the shah, brought in an era of industrialization and economic improvement alongside greater freedom for women, he said. “This is where the Gen Z of Iran is,” he said. “Regardless of whether I play a direct role or not, Iranians are coming out of the tunnel.”  Conversely, many Iranians still associate his father’s regime with out-of-touch elites and the notorious Savak secret police, whose brutality helped fuel the 1979 revolution. NOT SO FAST  Nobody can be sure what happens next in Iran. It may still come down to Trump and perhaps Israel.  Anti-regime demonstrations fill the streets of more than 100 towns and cities across the country of 90 million people. | Neil Hall/EPA Plenty of experts don’t believe the regime is finished, though it is clearly weakened. Even if the protests do result in change, many say it seems more likely that the regime will use a mixture of fear tactics and adaptation to protect itself rather than collapse or be toppled completely.  While reports suggest young people have led the protests and appear to have grown in confidence, recent days have seen a more ferocious regime response, with accounts of hospitals being overwhelmed with shooting victims. The demonstrations could still be snuffed out by a regime with a capacity for violence.  The Iranian opposition remains hugely fragmented, with many leading activists in prison. The substantial diaspora has struggled to find a unity of voice, though Pahlavi tried last year to bring more people on board with his own movement.  Sanam Vakil, an Iran specialist at the Chatham House think tank in London, said Iran should do better than reviving a “failed” monarchy. She added she was unsure how wide Pahlavi’s support really was inside the country. Independent, reliable polling is hard to find and memories of the darker side of the shah’s era run deep. But the exiled prince’s advantage now may be that there is no better option to oversee the collapse of the clerics and map out what comes next. “Pahlavi has name recognition and there is no other clear individual to turn to,” Vakil said. “People are willing to listen to his comments calling on them to go out in the streets.”

Meta named former Trump adviser Dina Powell McCormick to serve as president and vice chair Monday, further cementing the company’s growing ties to Republicans and President Donald Trump’s White House. In addition to a long career on Wall Street, Powell McCormick served as Trump’s deputy national security adviser during his first term. She was also a member of the George W. Bush administration. She first joined Meta’s board last April, part of a broader play by the social media and artificial intelligence giant to hire Republicans following Trump’s election. In a statement, Meta CEO Mark Zuckerberg praised Powell McCormick’s “experience at the highest levels of global finance, combined with her deep relationships around the world, [which] makes her uniquely suited to help Meta manage this next phase of growth.” Rightward trend: Powell McCormick’s time in global finance — she spent 16 years as a partner at Goldman Sachs and was most recently a top executive at banking company BDT & MSD Partners — could be a major asset to Meta as it raises hundreds of billions of dollars to build out data centers and other AI-related infrastructure. But her GOP pedigree and proximity to Trump likely played a significant role in her hiring as well. Since Trump’s election, Meta has worked to curry favor with Republicans in the White House and on Capitol Hill. The company elevated former GOP official Joel Kaplan to serve as global affairs lead last January, simultaneously tapping Kevin Martin, a former Republican chair of the Federal Communications Commission, as his No. 2. Under pressure from Republicans, last year Meta also rolled back many of its former rules related to content moderation. In 2024, the company apologized to congressional Republicans — specifically Rep. Jim Jordan (R-Ohio), chair of the House Judiciary Committee — for removing content that contained disinformation about the Covid-19 pandemic. A Meta spokesperson declined to comment when asked whether Powell McCormick’s ties to Trump and Republicans played a role in her hiring. Trump thumbs up: In a Truth Social post Monday, Trump congratulated Powell McCormick and said Zuckerberg made a “great choice.” The president called her “a fantastic, and very talented, person, who served the Trump Administration with strength and distinction!”

LONDON — Britain’s former finance minister Nadhim Zahawi joined Reform UK Monday, becoming the highest-profile Conservative to defect to Nigel Farage’s right-wing populist party. The ex-chancellor — unveiled as the surprise guest at a press conference in London — joins a growing list of allies of former Prime Minister Boris Johnson to have jumped ship, alongside the former MPs Nadine Dorries, Andrea Jenkyns, Jake Berry and Ross Thomson. The Iraqi-born multimillionaire founder of YouGov, a leading polling firm, said he had rejected a “comfortable retirement” away from the headlines to aid Reform’s “glorious revolution.” Farage’s party is leading U.K. opinion polling ahead of the 2029 general election. Zahawi told journalists he worried that Britain “could tip over into civil unrest.” He added: “I think the country is facing a national emergency on the economy, on our open borders.” Farage’s newest recruit was sacked as the chair of the Conservative Party in 2023 after an investigation found he had not been sufficiently transparent about his private dealings with Britain’s tax authority. After leaving frontline politics, Zahawi — who has extensive business relationships in the Middle East — sought backers for an unsuccessful bid to buy the Daily Telegraph newspaper. Reports at the time suggested that he was acting as a middleman between parties including the United Arab Emirates. Zahawi said Monday of his sacking: “And at some stage HMRC decided that I need to pay more tax on that business, which I did …the mistake I made was not to be specific about the settlement in my declarations to the Cabinet Office.” The two men have sparred in public life for years. In a 2015 tweet — which was deleted Monday — Zahawi called comments by Farage “offensive and racist” and said he would be “frightened” to live in a country run by him after Farage said it was “ludicrous” that employers could not choose British workers over Polish ones. Zahawi told LBC radio at the time: “It’s a remark that [Nazi minister Joseph] Goebbels would be proud of.” In 2022 Farage said Zahawi’s elevation to chancellor showed “all he’s interested in is climbing that greasy pole.” Sitting beside Farage Monday, Zahawi denied that his move was careerist, or that he thought Farage was racist: “If I thought this man sitting next to me in any way had an issue with people of my colour or my background who have come to this country, who have integrated, assimilated, are proud of this country, worked hard in this country, paid millions of pounds in taxes in this country, invested in the country, I wouldn’t be sitting next to him.” Zahawi was also the U.K. vaccines minister during the Covid-19 pandemic — but deflected what he called “stupid” questions about Aseem Malhotra, an adviser to U.S. Health Secretary Robert F. Kennedy Jr., who linked the vaccines to cancer in Britain’s royal family while on stage at Reform’s conference in September. He said he began talks with Nigel Farage after Nick Candy, the former Tory donor and property tycoon, was recruited as Reform’s treasurer in December 2024, but only let his Tory membership lapse in December 2025. | Tolga Akmen/EPA He declined to answer directly whether he had sought assurances from Farage about Reform’s policy on vaccines. Instead, he said: “I would not be sitting here, nor would Nigel be sitting next to me, if we didn’t agree that we did the right thing for the nation to get the vaccine program to the success that it achieved.” Farage praised “centuries” of British work on vaccines but defended the platform given to Malhotra on free speech grounds. Zahawi said he defected because he had come to the conclusion that the Conservative Party was a “defunct brand” that could no longer form the next government. He insisted he had been given “no promises, at all” about what role he would play — but did not rule out becoming a Reform MP or peer. He said he began talks with Farage after Nick Candy, the former Tory donor and property tycoon, was recruited as Reform’s treasurer in December 2024, but only let his Tory membership lapse in December 2025. Labour Party Chair Anna Turley said the defection showed that “Reform UK has no shame. Nadhim Zahawi is a discredited and disgraced politician who will be forever tied to the Tories’ shameful record of failure in government.” The Lib Dem MP for Zahawi’s old seat of Stratford-upon-Avon, Manuela Perteghella, added: “Reform is becoming a retirement home for disgraced former Conservative ministers.” Farage insisted Reform was not the “Conservative Party 2.0,” but said but “our weakness is we lack frontline experience” from people who have run governments.  He said Zahawi’s role will be outlined in the coming weeks, but added that Zahawi had raised a “huge amount of money” for the Conservative Party. “We’re hoping he’ll do much the same for us,” Farage grinned.

BERLIN — The center-left premier of the eastern German state of Brandenburg dissolved his coalition with the populist left Alliance for Social Justice and Economic Reason (BSW) on Tuesday after just over a year in office. Despite the collapse, the Social Democratic premier, Dietmar Woidke, said he intends to stay on as leader of a minority government, illustrating the fragile political conditions in Germany’s eastern states, where the far-right Alternative for Germany (AfD) is particularly strong. “The governmental chaos in Brandenburg can only have one logical consequence: immediate new elections!” one of the leaders of the AfD, Alice Weidel, said in a post on X. Her party is currently polling at 35 percent in Brandenburg, the state that surrounds Berlin, far ahead of all other parties. The coalition collapse came as two lawmakers and the finance minister left the BSW parliamentary group over policy disagreements. That caused the coalition, which had only a two-vote surplus, to lose its majority in the state parliament.   “This breakdown means that the basis for cooperation in a coalition no longer exists,” Woidke told reporters on Tuesday. The workings within government had become “overshadowed by constant disputes within the BSW,” he added. The BSW was founded in 2024 by Sahra Wagenknecht, a longtime icon of hard-left politics in Germany. The party merges elements of hard-left and hard-right politics — an ideology Wagenknecht has dubbed “left conservatism.” Wagenknecht stepped down as the party’s leader at the end of last year, but remains an influential figure. She had come under increasing criticism for tailoring the party too much to her own persona, which also led to a name change — it was originally called the Sahra Wagenknecht Alliance. In line with this criticism, the departure of members of parliament from the BSW in Brandenburg was largely due to individual politicians disagreeing with Wagenknecht on policy issues such as the reform of the state’s public broadcasters, while the party leadership did not allow them to take a different path. Woidke said he planned to hold coalition talks with the center-right Christian Democratic Union (CDU) in the future, with whom his Social Democrats would now have a majority. But for the time being, Woidke plans to govern Brandenburg in a minority government. Minority governments are relatively uncommon in Germany, but might become more frequent in the coming years as the increasing strength of the far right and far left has fractured the political landscape. In upcoming elections this year in other eastern states, namely Saxony-Anhalt and Mecklenburg-Vorpommern, the AfD aims to break through Germany’s so-called firewall that has been in place since the end of World War II to prevent a far-right party from coming to power again.

American oil companies have long hoped to recover the assets that Venezuela’s authoritarian regime ripped from them decades ago. Now the Trump administration is offering to help them achieve that aim — with one major condition. Administration officials have told oil executives in recent weeks that if they want compensation for their rigs, pipelines and other seized property, then they must be prepared to go back into Venezuela now and invest heavily in reviving its shattered petroleum industry, two people familiar with the administration’s outreach told POLITICO on Saturday. The outlook for Venezuela’s shattered oil infrastructure is one of the major questions following the U.S. military action that captured leader Nicolás Maduro. But people in the industry said the administration’s message has left them still leery about the difficulty of rebuilding decayed oil fields in a country where it’s not even clear who will lead the country for the foreseeable future. “They’re saying, ‘you gotta go in if you want to play and get reimbursed,’” said one industry official familiar with the conversations. The offer has been on the table for the last 10 days, the person said. “But the infrastructure currently there is so dilapidated that no one at these companies can adequately assess what is needed to make it operable.” President Donald Trump suggested in a televised address Saturday morning that he fully expects U.S. oil companies to pour big money into Venezuela. “We’re going to have our very large United States oil companies, the biggest anywhere in the world, go in, spend billions of dollars, fix the badly broken infrastructure, the oil infrastructure and start making money for the country,” Trump said as he celebrated Maduro’s capture. DECAYED INFRASTRUCTURE It’s been five decades since the Venezuelan government first nationalized the oil industry and nearly 20 years since former President Hugo Chávez expanded the asset seizures. The country has some of the largest oil reserves in the world, but its petroleum infrastructure has decayed amid years of mismanagement and meager investment. Initial thoughts among U.S. oil industry officials and market analysts who spoke to POLITICO regarding a post-Maduro Venezuela focused more on questions than answers. The administration has so far not laid out what its long-term plan looks like, or even if it has one, said Bob McNally, a former national security and energy adviser to President George W. Bush who now leads the energy and geopolitics consulting firm Rapidan Energy Group. “It’s not clear there’s been a specific plan beyond the principal decision that in a post-Maduro, Trump-compliant regime that the U.S. companies — energy and others — will be at the top of the list” to reenter the country, McNally said. He added: “What the regime looks like, what the plans are for getting there, that has not been fully fleshed out yet.” A central concern for U.S. industry executives is whether the administration can guarantee the safety of the employees and equipment that companies would need to send to Venezuela, how the companies would be paid, whether oil prices will rise enough to make Venezuelan crude profitable and the status of Venezuela’s membership in the OPEC oil exporters cartel. U.S. benchmark oil prices were at $57 a barrel, the lowest since the end of the pandemic, as of the market’s close on Friday. The White House did not immediately reply to questions about its plan for the oil industry, but Trump said during Saturday’s appearance at his Mar-a-Lago estate in Florida that he expected oil companies to put up the initial investments. “We’re going to rebuild the oil infrastructure, which requires billions of dollars that will be paid for by the oil companies directly,” Trump said. “They will be reimbursed for what they’re doing, but it’s going to be paid, and we’re going to get the oil flowing.” However, the administration’s outreach to U.S. oil company executives remains “at its best in the infancy stage,” said one industry executive familiar with the discussions, who was granted anonymity to describe conversations with the president’s team. “In preparation for regime change, there had been engagement. But it’s been sporadic and relatively flatly received by the industry,” this person said. “It feels very much a shoot-ready-aim exercise.” ‘WHOLESALE REMAKING’ Venezuela’s oil output has fallen to less than a third of the 3.5 million barrels per day that it produced in the 1970s, and the infrastructure that is used to tap into its 300 billion barrels of reserves has deteriorated in the past two decades. “Will the U.S. be able to attract U.S. oilfield services to go to Venezuela?” the executive asked. “Maybe. It would have to involve the services companies being able to contract directly with the U.S. government.” Talks with administration officials over the past several days also involved the fate of the state oil company, which is known as PdVSA, this person added. “PdVSA will not be denationalized in some way and broken,” this person said. “Definitely it’s going to be wholesale remaking of PdVSA leadership, but at least at this point, there is no plan for denationalization or auctioning it off. It’s in the best position to keep production flowing.” Chevron, the sole major oil company still working in Venezuela under a special license from the U.S. government, said in a statement Saturday that it “remains focused on the safety and wellbeing of our employees, as well as the integrity of our assets. “We continue to operate in full compliance with all relevant laws and regulations,” Chevron spokesperson Bill Turenne said in a statement. Evanan Romero, a Houston-based oil consultant involved in the effort to bring U.S. oil producers back to Venezuela, said in a text message that Saturday’s events laid the groundwork for American oil companies to return “very soon.” Romero is part of a roughly 400-person committee, mostly made up of former employees of the Venezuelan state oil company Petróleos de Venezuela, that formed about a year ago to strategize about how to revive the country’s oil industry under a new government. The committee, which is not directly affiliated with opposition leader María Corina Machado’s camp, is debating the role any new government should have in the oil sector. Some members favor keeping the industry under the control of the government while others contend that international oil majors would return only under a free market system, Romero said. ‘ABOVE-GROUND RISK’ Ultimately, the “orderliness” in any transition will determine U.S. investment and reentry in Venezuela, said Carrie Filipetti, who was deputy assistant secretary for Cuba and Venezuela and the deputy special representative for Venezuela at the State Department in Trump’s first administration. “If you were to see a disorderly transition, obviously I think that would make it very challenging for American companies to enter Venezuela,” said Filipetti, who is now executive director of nonpartisan foreign policy group The Vandenberg Coalition. “It’s not just about getting rid of Maduro. It’s also about making sure that the legitimate opposition comes into power. ” Richard Goldberg, who led the White House’s National Energy Dominance Council until August, said the Trump administration could offer financial incentives to coax companies back into Venezuela. That could include the Export-Import Bank and the U.S. International Development Finance Corp., whose remit Congress expanded in December, underwriting investments to account for political and security risks. Promoting U.S. investment in Venezuela would keep China — a major consumer of Venezuela’s oil — out of the nation and cut off the flow of the discounted crude that China buys from Venezuela’s ghost fleets of tankers that skirt U.S. sanctions. “There’s an incentive for the Americans to get there first and to ensure it’s American companies at the forefront, and not anybody else’s,” said Goldberg. It’s unclear how much the Trump administration could accelerate investment in Venezuela, said Landon Derentz, an energy analyst at the Atlantic Council who worked in the Obama, Trump and Biden administrations. Many consider Venezuela a longer-term play given current low prices of $50 per barrel oil and the huge capital investments needed to modernize the infrastructure, Derentz said. But as U.S. shale oil regions that have made the country the world’s leading oil producer peter out over time, he said, it would become increasingly economical to export Venezuelan heavy crude to the Gulf Coast refineries built specifically to process it. “Venezuela would be a crown jewel if the above-ground risk is removed. I have companies saying let’s see where this lands,” said Derentz, who served in Trump’s National Security Council during his first term. “I don’t see anything that gives me the sense that this is a ripe opportunity.”

LONDON — The U.K. government has increased the threshold at which farmers and businesses pay inheritance tax following significant pushback. The Agricultural and Business Property Reliefs threshold — where 100 percent rate relief is capped — will be increased to £2.5 million when it is introduced from next April, which is a large hike from the original £1 million level proposed by Chancellor Rachel Reeves in her 2024 autumn budget. Reeves’ original plan sparked intense backlash and protests from British farmers. 50 percent relief will apply to qualifying assets above that level, and spouses or civil partners will be able to pass on up to £5 million of agricultural and business assets tax-free, on top of existing nil‑rate bands, following the government U-turn.  The government said on Tuesday that it changed tack after listening to concerns from the farming community and businesses about the reforms. “We have listened closely to farmers across the country, and we are making changes today to protect more ordinary family farms,” said Environment Secretary Emma Reynolds.  The government estimates only 185 farming estates will now fall into scope, down from 375, and 1,100 estates overall will pay more inheritance tax in 2026-27, down from an initial figure of 2,000.

LONDON — Chancellor Rachel Reeves will make a statement responding to new assessments of the U.K.’s finances on March 3, the U.K. Treasury said on Monday. In a statement, the Treasury said it had asked the U.K.’s independent fiscal watchdog, the Office for Budget Responsibility (OBR), to prepare an economic and fiscal forecast for that date. However, it said the forecast will “not make an assessment of the government’s performance against the fiscal mandate and will instead provide an interim update on the economy and public finances.” “This approach gives families and businesses the stability and certainty they need and supports the government’s growth mission,” it said. The Labour government has previously said it intends to only hold one “major fiscal event” per year. However, a worsening financial outlook forced the chancellor into announcing significant tax and spending changes at last year’s spring statement. At the most recent government-wide budget in November, Reeves increased taxes by a further £22 billion per year. She refused to rule out further tax increases in an interview last week.