Eurozone gross domestic product (GDP) fell by 0.1 percent in the third quarter, according to updated figures from Eurostat, the EU statistical office. The broader European Union (EU) economy remained largely stable, with GDP showing a marginal 0.1 percent gain over the same period. The latest data confirm the euro area’s contraction while the EU-wide activity held steady, echoing earlier preliminary estimates and the second forecast that already pegged EU growth near zero.
Overall activity in the euro area started the year with no progress in the first quarter, followed by a modest 0.1 percent rise in the second quarter. Between January and March, the bloc’s economy advanced by 0.2 percent, then flattened at 0 percent from April to June. These patterns highlight a mixed performance across member states, with some nations contributing growth while others faced declines.
Spain stood out as the fastest-growing major economy within the bloc, expanding by 0.3 percent in the third quarter. Although this marked improvement over the second quarter, it remained below the 0.4 percent increase seen in the previous quarter and well below the 0.6 percent rise recorded in the first quarter.
Germany posted negative GDP growth of 0.1 percent in the third quarter, reversing a brief period of stagnation earlier in the year after flat growth in the first quarter and a small expansion in the second.
France also faced a slowdown, recording negative growth in the third quarter at -0.1 percent. That result was two tenths lower than Eurostat’s initial estimate, though the economy had previously risen by 0.6 percent between March and June.
Italy showed the opposite trend, advancing by 0.1 percent after a contraction of 0.4 percent in the second quarter.
Beyond the bloc’s large economies, Ireland posted the steepest decline, down 1.9 percent, followed by Estonia at -1.3 percent. Among non-euro area EU members, Malta and Poland stood out for their progress, with GDP gains of 2.4 percent and 1.5 percent respectively.
Decomposing GDP components reveals that household final consumption rose by 0.3 percent in the euro area and by 0.4 percent in the Twenty-Seven, with government consumption increasing by 0.3 percent in both areas. Employment trends varied by country, with Lithuania and Malta leading with around 1.4 percent growth, followed by Spain at about 1.3 percent. Estonia, the Czech Republic, and Finland experienced the sharpest declines, with drops around 0.9 percent, 0.7 percent, and 0.6 percent respectively.
These dynamics illustrate how regional demand, labor markets, and public expenditure interact to shape quarterly outcomes. The latest Eurostat release aligns with ongoing assessments that the euro area faces a subdued growth environment, while other EU economies show pockets of resilience. Analysts emphasize the heterogeneity across member states and the importance of policy measures aimed at sustaining household incomes, investment, and productive capacity across the Single Market. (Eurostat, latest release; attribution: Eurostat)