US EditionEuro zone economy ekes out better-than-expected 0.1% growth in second quarter
- According to Eurostat's Wednesday report, the economy of the 20 euro-using countries expanded marginally by 0.1% in the April to June period of 2025, despite contractions in both Germany and Italy.
- The economy's growth slowed following a relatively strong expansion in the first quarter, which had been boosted by companies accelerating shipments ahead of the introduction of a 15% tariff on European goods enacted in early April under the new EU-US trade agreement.
- Spain and France showed stronger performances with growth of 0.7% and 0.3% respectively, offsetting the eurozone's largest economies' declines which reflect tariff impacts and weak domestic demand.
- Economist Franziska Palmas noted that Germany is expected to face significant challenges this year due to increased tariff pressures, with economic expansion remaining subdued until fiscal measures introduced by Chancellor Friedrich Merz stimulate growth beginning in 2026.
- The slower growth suggests the 15% US tariff may reduce EU GDP by about 0.2%, raising concerns about near-term eurozone economic resilience and influencing European Central Bank policy decisions.
78 Articles
78 Articles
Euro Area Growth Stalls at 0.1 Percent as US Economy Surges 3 Percent In 2nd Quarter
The euro area’s economy barely grew in the second quarter of 2025, underscoring weak momentum across the 20‑nation bloc, while the United States posted a sharp rebound over the same period. Eurostat said on July 30 that seasonally adjusted GDP in the eurozone rose by 0.1 percent from the previous quarter, while output in the wider 27‑member European Union (EU) gained 0.2 percent. Both readings marked a steep slowdown from the first quarter, when…
Eurozone economy expands in Q2 but tariff impact looms
BRUSSELS, Belgium — The eurozone economy unexpectedly expanded in the second quarter of 2025, official data showed Wednesday, despite international trade tensions clouding the global outlook. The EU’s official data agency said the 20-country single currency area recorded growth of 0.1 percent over the same period last year — slightly better than the flat performance
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After the US–EU trade deal, it is impossible to ignore the striking similarities between late Qing‑era China and Europe’s current predicament. The period marking the downfall of the Qing dynasty is known as China’s Century of Humiliation—a process that, in many respects, is already well underway in today’s Europe. Yet our humiliation must not be allowed to last a century.
In the eurozone, the economy grew surprisingly, but only by 0.1 percent compared to the previous quarter. This was reported by Eurostat on Wednesday after an initial estimate. Economists originally expected a stagnation. Compared to the same quarter of the previous year, the economy grew by 1.4 percent between April and June. Growth in the first quarter of 2025 was 1.5 percent year-on-year. The strongest growth was recorded in Spain (0.7 percent…
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