Central Banks

Euro Zone Set for Moderate Growth After Resilience in 2025

Newly manufactured vehicles at the Volkswagen headquarters in Wolfsburg, Germany.

Photographer: Liesa Johannssen/Bloomberg

The euro-area economy will maintain its moderate expansion after weathering Donald Trump’s tariff turmoil better than expected, according to the European Commission.

Output will rise 1.3% in 2025, 1.2% in 2026 and 1.4% in 2027, the European Union’s executive arm said Monday in its autumn outlook. That’s an upgrade for this year compared with May’s prediction, and a small downgrade for 2026.