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Welcome to JustAnswer!As your European Law expert, I am reviewing your question and will try to find a good answer for you.
Thank you for your question. The answers are:
1. Unfortunately, the time spent in Luxembourg is not counted towards Permanent Residence or the time needed for citizenship in Germany.
2. The normal time for acquiring citizenship in Germany is 8 years' of residence. However, this can be shortened in the following circumstances:
Exceptions to the normal residence requirements include:
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Dr I L Vlad