Today in Germany: A roundup of the latest news on Wednesday

Wednesday's top story: German cabinet set to approve health reforms and budget plans

Germany’s governing coalition is facing mounting strain as it attempts to press ahead with major policy decisions amid sinking poll ratings and growing internal dissent.

Less than a year into the term, relations between the CDU and SPD are described in Berlin as toxic, with the far‑right AfD leading national polls and the SPD languishing around 13 percent. Prominent CDU figures are openly questioning whether the government will last a full term.

Against this backdrop, the cabinet is nonetheless expected to approve a sweeping healthcare reform on Wednesday put forward by Health Minister Nina Warken. The package aims to deliver €16.3 billion in savings – more than the projected deficit in statutory health insurance – by raising the contribution assessment ceiling and introducing a tax on sugary drinks.

READ ALSO: How Germany's public health insurance shake-up will affect families

Planned cuts to sick pay have reportedly been dropped, but the burden is still expected to fall disproportionately on contributors and patients needing dental treatment.

Also on Wednesday, cabinet attention will turn to the 2027 federal budget, where Finance Minister Lars is expected to attempt to close a €34‑billion funding gap through new levies on plastic, alcohol, tobacco and cryptocurrencies.

Germany opens rare earth magnet recycling plant

A plant to recycle and produce rare earth magnets opened in Germany on Tuesday, as Europe seeks to reduce its dependence on China for minerals key to industries from car-making to renewable energy.

The new plant -- in the southwest city of Pforzheim and operated by German start-up HyProMag -- is among several such projects being launched in Europe.

The facility, which aims to produce 750 tonnes of magnets a year by 2028, is "an important step towards strengthening Europe's secure and sustainable supply of critical raw materials," said the company in a statement.

The plant's construction was partly funded by the EU as well as the German government.

Rare earth magnets are used in many products, from electric vehicles to wind turbines and consumer electronics.

Current European Union demand totals about 20,000 tons a year.

China, which dominates the rare earths industry, last year dramatically ramped up export curbs on the materials, sending shockwaves through global supply chains.

READ ALSO: 'China shock' - Germany struggles as key market turns business rival

German bid to rescue 'Timmy' the whale passes key hurdle

German rescuers on Tuesday hauled a stranded humpback whale into a special boat due to carry it to deeper waters, in the latest attempt to free the cetacean whose ordeal has captured hearts in Germany for weeks.

The latest rescue effort -- financed by two entrepreneurs -- involves transporting the sea mammal in a barge, which has a water-filled hold and is usually used to carry other boats, from Germany's Baltic Sea coast to deeper waters.

READ ALSO: 'Free Timmy!' - How a beached whale has gripped and divided Germany

Starting earlier Tuesday, rescuers attached straps to the whale and heaved the creature down a channel that had been specially dug in the sand to allow it to reach the barge, close to the island of Poel.

After some distance, the whale, with rescuers swimming alongside it, sped up and then swam into the barge, sparking cheers of delight from the rescue team and others watching from the shore.

"I can't even say how happy I am," Karin Walter-Mommert, one of the entrepreneurs financing the rescue bid, told the Bild daily.

"You could see that the whale fought and wanted to live. Knowing he's now in the barge is simply wonderful and shows that the fight for Timmy was worth it."

The plan is now for the barge to be transported to the North Sea, and hopefully for the whale to be released if it is strong enough.

German birth rate falls to lowest level since 1946

Germany’s birth rate has fallen to its lowest level since the second World War, underscoring the growing demographic challenges facing the country.

Official figures from the statistics office Destatis show that around 654,300 children were born in 2025, a decline of 3.4 percent compared with the previous year. This marks the fourth consecutive annual drop in births.

At the same time, deaths far outstripped births. Around 1.01 million people died last year, leaving a “birth deficit” of roughly 352,000 – the largest recorded in the post‑war period.

Destatis attributes the trend primarily to two factors: the relatively small cohort born in the 1990s now reaching typical child‑bearing age, and a steady fall in the fertility rate since 2022.

READ ALSO: Why Germany’s rapidly aging population affects everyone in the country

The figures come as Germany’s population continues to age rapidly. In 2024, about 19 million people – roughly 23 percent of the population – were aged 65 or over, up from 15 percent in 1991.

The demographic shift is intensifying pressure on pension and welfare systems. A government pensions commission is due to present reform proposals by the end of June, after Chancellor Friedrich Merz sparked controversy by describing the state pension as only a “basic provision” – comments later walked back amid strong criticism.

Germany tests ‘invisible’ river turbines to deliver power after dark

Germany is testing a new kind of renewable power plant on the Middle Rhine that can generate electricity even when the sun has set and the wind drops.

Near the town of Sankt Goar, engineers have begun deploying what officials describe as the world’s first fully approved “swarm power plant” using river currents rather than dams.

The project consists of up to 124 small hydrokinetic turbines, known as Energyfish, which sit beneath the water’s surface and draw energy from the constant flow of the Rhine.

Unlike conventional hydropower, the system does not involve building a barrier or reservoir, helping to limit visual and environmental impact.

READ ALSO: German 'green village' rides out Mideast energy storm

Three turbines are already operating, with gradual expansion planned. Each unit can produce up to six kilowatts, and officials estimate that 100 turbines could generate around 1.5 gigawatt-hours of electricity per year – enough to supply roughly 400 to 500 households.

Supporters say the steady output could help plug gaps left when solar and wind generation fall. Environmental effects, particularly on fish, are being closely studied by researchers, while the state government sees the project as a potential model for low-impact, round-the-clock renewable energy.

With reporting by AFP, DPA and Paul Krantz.