Summary

France and Germany, the EU’s key powerhouses, are in political disarray at a critical time.

French Prime Minister Michel Barnier resigned after his government was toppled in a no-confidence vote, leaving the divided National Assembly struggling to form a new government.

Meanwhile, Germany’s coalition government dissolved, with elections set for February and no new government expected until June.

This turmoil, with looming economic contraction in both countries, threatens EU stability as Trump returns to the White House, potentially reigniting trade disputes and reducing U.S. support for Ukraine.