German Chancellor's Party Suffers Historic State Election Defeat

German Chancellor Friedrich Merz said he plans to stay in office after his party's losses in two state elections on Sunday and again doubled down on the government’s plans for potentially painful reforms to Europe’s biggest economy. Exit polls by public broadcaster ARD on Sunday night indicated that Metz's center-right Christian Democratic Union (CDU) came in with just 5% in Mecklenburg-Western Pomerania -- the lowest result ever since World War II for the party in any state. 

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