Reduces growth expectations in the EU Euro Zone, under the influence of export rates | The economy
Euro Zone Economy must In which and next year will grow slowly than in the InedAs Trump government tariffs affect exportsHowever Inflation slows rapidlyAccording to economists from the European Union.
In the financial perspectives report released on Monday, the EU and EU executive arm and EU warned that the new growth in tariffs would cause greater damage to the black economy, but to increase the cost of defense and investment in Germany to increase the cost of defense and investment efforts in Germany.
The Commission has now estimated that the euro’s gross domestic product is 0.9% and 1.4% in 2026, gaining strength of over 0.4% in 2024. Before, the estimates in 2025 were 1.3% and the next year was 1.6%.
“The uncertainty motivated by the unimaginable US commercial policy does not lose the short term and weighs heavily on global perspectives,” said the Commission’s Director General of Economic and Financial Affairs, Marten Verva.
New estimates are expected to be at 10%on many EU imports, instead of the highest level announced by President Donald Trump on April 2, and then suspended for 90 days. 25% of rates are applied to cars, steel and aluminum, excluding CE shades and microprocessors.
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The Commission has reduced its growth estimate to 0.7%for EU exports this year. In November, when the previous report was released, exports were expected to increase by 2.2% in 2025.
As a result of the slow growth, the commission hopes that the eurozone inflation rate will be cooled faster than the previous one, from 2.1% to 1.7% in 2026, less than 2% target of European Central Bank (ECB). The previous projection next year is 1.9%.
*With information from Dow Jones Newswires
