German conservative bloc claims election victory, with Friedrich ...

Centre-right leader Friedrich Merz is on track to be Germany's next chancellor, with his Christian Democratic Union of Germany (CDU) party projected to win the national election.

Formerly in opposition, the conservative CDU/Christian Social Union (CSU) bloc claimed victory in the Sunday election. 

But having won under 30 per cent of the vote, the bloc will need to form a coalition with other parties to form government.

Far-right party Alternative for Germany (AfD) came in second on its best result to date, projected results showed.

Incoming chancellor Mr Merz said he would try to form a government that represented the whole country and was capable of acting internationally.

"Tonight we will celebrate, and from tomorrow we start working … The world out there is not waiting for us," the 69-year-old told supporters.

Mr Merz is heading into what are likely to be lengthy coalition talks without a strong negotiating hand, following a campaign roiled by a series of violent attacks.

While his CDU/CSU emerged as the largest bloc, it scored its second worst post-war result winning just 28.7 per cent of the vote, followed by the AfD with 19.8 per cent.

It remains unclear whether Mr Merz will need one or two partners to form a majority. 

All of the mainstream parties, including the CDU, have ruled out working with the AfD.

Chancellor Olaf Scholz's Social Democrats (SPD) also tumbled to their worst result since World War Two, with 16.4 per cent of the vote share, according to the ZDF projection, while the Greens were on 12.3 per cent and the far left Die Linke party on 8.9 per cent of the vote. 

Incoming chancellor promises leadership

Mr Merz has no previous government experience but has promised to provide greater leadership than Olaf Scholz and to liaise more with key allies, restoring Germany to the heart of Europe.

He also conditionally supports equipping Ukraine with longer-range Taurus missiles and sees Europe as firmly anchored in NATO.

A brash economic liberal who has shifted the conservatives to the right, he is considered the antithesis of former conservative Chancellor Angela Merkel who led Germany for 16 years.

As such coalition negotiations are certain to be tricky, especially after a campaign which exposed sharp divisions over migration and how to deal with the AfD in a country where far-right politics carry a particularly strong stigma due to its Nazi past.

That could leave Mr Scholz in a caretaker role for months, delaying urgently needed policies to revive Europe's largest economy after two consecutive years of contraction.

It would also create a leadership vacuum in the heart of Europe even as it deals with a host of challenges including US President Donald Trump threatening a trade war and attempting to fast-track a ceasefire deal for Ukraine without European involvement.

Germans are more pessimistic about their living standards now than at any time since the financial crisis in 2008.

Attitudes towards migration have also hardened, a profound shift in German public sentiment since its "Refugees Welcome" culture during Europe's migrant crisis in 2015, that the AfD has both driven and harnessed.

Historic far-right gains

Germany's election campaign has been dominated by fierce exchanges over the perception that irregular immigration is out of control, fuelled by a series of attacks in which the suspected perpetrators were of migrant origin.

It has also been overshadowed by the unusually forceful show of solidarity by members of the Trump administration — including Vice President JD Vance and tech billionaire Elon Musk — for the anti-migrant AfD, and broadsides against European leaders.

Behind the rise of Germany's far right

Dante Riedel is part of a growing wave of young people who support a far-right political party in Germany. As the nation prepares to head to the polls it has some Germans worried.

The 12-year-old AfD party took second place for the first time in a national election, according to the exit polls.

"This is a historic result for us," AfD co-leader Alice Weidel said as party supporters waved German flags in celebration.

"We are open to coalition negotiations ..otherwise there will be no change in policy possible in Germany."

Mr Trump hailed the election results in a post to his social media platform Truth Social.

"Much like the USA, the people of Germany got tired of the no common sense agenda, especially on energy and immigration, that has prevailed for so many years," he wrote.

"This is a great day for Germany."

Reuters