German chancellor Olaf Scholz says Putin ‘will not win’ Ukraine war

German chancellor Olaf Scholz said today that Russian president Vladamir Putin has failed to meet all his strategic goals in his invasion of Ukraine and will not win the war or dictate the terms of any peace agreement.

The only leader of a Group of Seven (G7) nation to attend the World Economic Forum (WEF) in Davos this year also used the last major speech of the gathering to defend globalisation at a time of increasing protectionism and war.

“A major nuclear power is behaving as if it has the right to redraw boarders,” Mr Scholz said. “Putin wants to return to a world order in which strength dictates what is right, and in which freedom, determination and sovereignty are not for everyone.”

Mr Scholz added: “We cannot allow Putin to win this war. It is a matter of making it clear to Putin that there will be no dictated peace. Ukraine will not accept that – and neither will we.”

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The Russian president is only likely to seriously negotiate when he accepts that his war cannot be won, Mr Scholz said, adding that this is why continued western support for Ukraine is essential.

Mr Scholz, who was sworn in as German chancellor last December after Angela Merkel’s four terms at the helm, was heavily criticised at the outset of the war for his hesitancy to send weapons to Ukraine or to agree to calls from the US and Ukraine for a ban on imports of Russian gas and oil as part of international sanctions against the Kremlin.

However, Germany agreed in late April to send heavy weapons to Ukraine in a major U-turn. The country is part of an EU-wide effort to embargo Russian oil, which is currently being vetoed by Hungary, and is working at pace to reduce its reliance on Russian gas, even if an outright ban is not on the table. The war entered its fourth month this week.

“For the first time, Germany is supplying weapons to a war zone, including heavy weapons,” he said, adding that his government has committed €100 billion to enhance Germany’s defensive capabilities.

He reiterated, however, that Germany “will do nothing that could make Nato a part of the war”, highlighting that this would lead to a direct conflict between nuclear powers.

The German leader said that Mr Putin’s plan to capture all of Ukraine is “further away today than it was at the beginning” of its invasion on February 24th as Ukraine put up an impressive defence and is “emphasising its European future”. He said that the brutality of the war had “welded Ukrainians together” and prompted Sweden and Finland to apply to join Nato.

Mr Putin also “underestimated the unity and vigour” of allies in countering his aggression against his western neighbour with waves of sanctions against Russian entities and supports for Ukraine.

Mr Scholz also used his speech to offer a defence of globalisation, noting that the last 30 years of increased international capital, trade flows and co-operation had contributed to declines in poverty and infant mortality around the planet.

However, he noted that globalisation has also had losers as it disrupted labour markets in industrialised nations as manufacturing moved to lower-cost countries and contributed to the financial crisis. He said that there must be a more “sustainable” form of globalisation in future that uses natural resources carefully. He highlighted climate change, the UN development agenda aimed at ending hunger and poverty globally by 2030, and healthcare as three key areas where international co-operation are needed.

“We are experiencing a watershed. History is at a turning point. However, we are not at the mercy of history,” he said. “If someone else wants to lead us back to a world of imperialism and war, then count us out.”