Germany news: Police say arson attack targeted defense firm

Key Points:

• Over 5,000 medium and long-range combat drones are being mass-produced near Munich for Ukraine, with completion expected by mid-2027; the €300 million order involves German company Auterion providing AI software and Ukrainian partner Airlogix supplying hardware.
• Ahead of the Saxony-Anhalt state election, journalists covering far-right AfD campaign events have faced increased verbal abuse and physical assaults, prompting calls from the German Journalists' Association for better protection and prosecution of attackers.
• Bavarian authorities arrested two Bulgarian citizens after incendiary devices were thrown at a construction site near defense contractors' offices in Munich, amid heightened concerns over politically motivated attacks linked to recent sabotage incidents targeting German infrastructure.
• The UK condemned a recent drone attack on Leipzig/Halle airport, which Germany attributes to Russia, with EU ministers preparing new sanctions; Russia denies involvement amid ongoing tensions and accusations of hybrid warfare in Europe.
• Gasoline prices in Germany hit a record €2.215 per liter due to the war in Iran and the expiration of a fuel tax discount, while economic institutes raised growth forecasts for 2026 and 2027, citing increased fiscal spending and exports despite challenges from energy costs and industrial weaknesses.