Eurostat’s estimate of GDP growth in Q2 2025 published in the quarterly National Accounts release was +0.1% in the euro area and +0.2% in the EU, compared to the previous quarter. These are the lowest quarter-on-quarter growth rates that we have seen during the last four quarters, from Q3 2024 to Q2 2025. As usual, GDP changes in the euro area and the EU are influenced by activities of multinational enterprises based in Ireland.
Compared with the same quarter of the previous year, seasonally adjusted GDP increased by +1.5% in the euro area and +1.6% in the EU during the second quarter of 2025, following growth of +1.6% and +1.7% respectively in the previous quarter.
The report compares this picture with the United States, where GDP grew by +0.9% quarter-on-quarter in Q2 2025, recovering from a -0.2% decline in Q1 2025; on a year-on-year basis, GDP expanded by +2.1%, slightly above the +2.0% growth recorded in the previous quarter.
With data now available for all of the EU Member States (albeit only provisional data for 10 of these), the strongest GDP growth in the second quarter of 2025 was recorded in Romania (+1.2%), Croatia (+1.1%), and Denmark (+1.0%), while declines were observed in Finland (-0.4%), Germany (-0.3%), and Italy and Austria (both -0.1%). None of the EU member states are currently in a recession.
Looking back over 4 quarters – effectively an annualized growth rate – only Luxembourg has a smaller economy than it did one year ago (-0.2%), while the Finnish economy has been flat by the same measure. You can get the Eurostat figures from their website at https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Quarterly_national_accounts_-_GDP_and_employment or request it from MTA.