Germany's Merz warns against spread of war in Middle East

By Jörn Poltz

MUNICH, March 6 (Reuters) - German Chancellor Friedrich Merz said on Friday Berlin was working with partners to find an approach to end the fighting with Iran as he warned against allowing the country to fall into chaos as the war widens across the Middle East.

Merz said Germany shared the aims of the United States and Israel to stop Tehran's nuclear and missile programme, its threats to Israel and its support for proxy groups and he said the Iranian people had the right to decide their own future.

"However, as the fighting continues and spreads, we also see growing risks," he said in a statement. "An endless war is not in our interest."

He said Germany was working with partners to formulate a common perspective on ending the conflict. "These considerations are ongoing," he said, without giving details.

Merz's comments reflect the unease felt in Europe at the war unleashed by the U.S. and Israeli operation that killed Iran's Supreme Leader Ali Khamenei a week ago and which has since spread into Lebanon with no clear sign of an end in sight.

As American and Israeli jets have continued to pound targets across Iran and Iranian missiles and drones have hit cities in the Gulf and Israel, the economic risks have risen with global air transport in chaos and the Strait of Hormuz, one of the world's key oil shipping lanes, shut down.

Iran has not yet named a successor to Khamenei, who held power for 37 years, and Merz said the collapse of Iranian statehood or proxy conflicts fought on Iranian soil would not be in anyone's interest.

"Such scenarios could have far-reaching consequences for Europe," he said, including uncontrolled migration by Iranians fleeing across the border if the country fell into chaos.

"The Iranian state must remain functional, and public order and basic services must be maintained. The Iranian economy must not collapse," Merz said.

Merz said a political process of dialogue and trust building in the region would have to begin once fighting ends. Iran's nuclear and ballistic missile programmes would have to end and be subject to verification. Iran would have to stop supporting proxy groups and all nuclear material would have to be secured.

If that happened sanctions might be lifted and aid could be provided.