Eurozone Q3 Growth at 0.4%... "Outlook Remains Gloomy"

The gross domestic product (GDP) of the 20 euro-using countries (Eurozone) increased by 0.4% in the third quarter compared to the previous quarter, the European Union (EU) statistical agency Eurostat announced on the 30th (local time). This exceeded the market-forecasted growth rate of 0.2%.

By country, Germany, the largest economy in the Eurozone, grew by 0.2% quarter-on-quarter, contrary to expectations of a contraction. Spain and France also recorded economic growth rates of 0.8% and 0.4%, respectively.

However, analyses indicate that the European manufacturing sector continues to struggle, and household consumption stagnation means the recovery is still below expectations.

The Eurozone's third-quarter GDP growth rate was 0.9% year-on-year, but major foreign media explained that this is lower than the annual 1% level, which economists typically consider as potential or natural growth without stimulus measures.

The outlook for the fourth quarter does not seem bright either. Former President Donald Trump stated that he would raise tariffs on imports if re-elected. If the United States pursues protectionism, Europe could also face trade disputes or a contraction in trade activities. Starting from this day, the EU has decided to impose tariffs of up to 45.3% on Chinese electric vehicles, raising the possibility of future trade frictions with China.

This content was produced with the assistance of AI translation services.