Merz Warns Iran War Has Cost Europe Over €100 Billion in Higher Energy Prices

German Chancellor Friedrich Merz said on Friday, October 30, that the Iran war has cost Europe more than €100 billion in higher energy prices over the past eight months. He spoke to journalists near the end of a visit to South Korea, the last stop of a five-day Asia trip that also took him to Singapore and Japan, according to DPA.

TASS reported that Merz described the sum as the extra amount European businesses and consumers have paid because of the conflict, and said Germany therefore has a direct economic interest in ending it quickly. The war began on February 28 with U.S. and Israeli strikes on Iran.

Merz Rules Out a Military Solution

“I can only appeal to all parties to the conflict: This conflict cannot be resolved militarily,” Merz said, in the wording of DPA’s English-language report. TASS’s English version renders the remark slightly differently and adds that he said it must be resolved diplomatically, through negotiations. Both are translations of his remarks, so the exact wording may vary.

According to TASS, Merz said the appeal applies to Israel as well, including its current or a future government. DPA reported that he said Germany and its partners are working through multiple channels to coordinate and intensify diplomatic efforts, and TASS said Berlin is ready to help a peace process through its contacts in the Middle East.

Merz did not announce a new initiative or negotiating framework in the reports reviewed by Clash Report.

Where the €100 Billion Figure Comes From

Merz did not explain how he calculated the €100 billion, and the reports do not give a breakdown by country or industry.

A similar number came from the European Commission last month. On September 29, EU Energy Commissioner Dan Jørgensen told reporters in Dublin that the bloc had “surpassed €100 billion that we paid extra for our energy this year, without receiving one extra molecule of gas or oil,” according to a video he posted. AP reported that EU nations had spent more than an extra €100 billion on energy imports since the war began.

The two figures measure different things, an EU import bill and Europe-wide costs to businesses and consumers, and they overlap, so they should not be added together. Clash Report reported on October 29 that Gulf oil exports have surpassed prewar levels while Brent hovers around $110.

Remarks Come as New U.S. Strikes Are Debated

DPA said Merz’s comments followed U.S. media reports that Trump had held a rare in-person meeting with Adm. Brad Cooper, head of U.S. Central Command, who briefed him on military options for Iran on Thursday, according to the Wall Street Journal. Speculation has grown that the United States and Israel could launch fresh strikes after the November 3 midterm elections.

Clash Report also reported that a top U.S. commander briefed Trump on Iran strike options at the White House.