Eurozone GDP growth revised up to 0.6% in first quarter
[BRUSSELS] The eurozone economy expanded at a significantly faster pace than estimated in the first three months of 2025, official data showed on Friday (Jun 6), thanks to better-than-expected growth in Germany and strong output in Ireland.
The EU's data agency said the 20-country single currency area recorded growth of 0.6 per cent over the January-to-March period from the previous quarter, up from the 0.3 per cent figure published last month.
That figure was itself a downward revision from a first estimate of 0.4 per cent issued in April.
The boost came thanks to the EU's economic powerhouse, Germany, recording 0.4 per cent growth in the first quarter – revised up from 0.2 per cent estimated in May.
The data confirms a pivot back to expansion for Germany after its economy contracted by 0.2 per cent in the final quarter last year.
Meanwhile, Ireland saw a whopping revision in growth to 9.7 per cent in the January-to-March period, Eurostat said, up from the May estimate of 3.2 per cent.
The first quarter growth figure for the 27-country European Union as a whole was also revised to 0.6 per cent, Eurostat said, up from 0.3 per cent estimated last month.
Although the revision will be welcome, US President Donald Trump's volatile trade policy still threatens to hurt economic growth in the single currency area as the EU faces 50-per cent tariffs on steel and aluminium and 25-per cent duties on auto imports.
Brussels and Washington are scrambling to agree a mutually beneficial deal to avoid sweeping US tariffs on a majority of EU goods before Jul 9. AFP
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