Translation. Region: Russian Federation –
Source: People's Republic of China in Russian – People's Republic of China in Russian –
An important disclaimer is at the bottom of this article.
Source: People's Republic of China – State Council News
Brussels, November 18 (Xinhua) — Driven by a sharp increase in exports in anticipation of higher U.S. tariffs, the European Union's economy maintained growth and will continue to expand at a moderate pace in the near future, according to the European Commission's autumn economic outlook report to 2025, published on Monday.
EU GDP is expected to grow by 1.4 percent in 2025, while the eurozone's growth rate is expected to be 1.3 percent. Economic growth in 2026 is projected at 1.4 percent for the EU and 1.2 percent for the eurozone, slightly below May expectations.
Analysts believe that overall inflation in the eurozone will decline from 2.4 percent in 2024 to 2.1 percent this year. Inflation in the EU is expected to decline from 2.6 percent in 2024 to 2.2 percent in 2027, remaining slightly above the eurozone level.
According to the forecast, due to increased defense spending, the EU budget deficit will increase from 3.1 percent of GDP in 2024 to 3.4 percent in 2027. The debt-to-GDP ratio in the EU will increase from 84.5 percent in 2024 to 85 percent in 2027, and in the eurozone from about 88 percent to 90.4 percent.
The report notes that trade barriers have reached historic highs worldwide, with the EU currently facing higher average tariffs on exports to the US than forecast in the spring. Continued trade policy uncertainty continues to weigh on economic activity, with tariffs and other restrictions potentially constraining EU economic growth more than expected. Any escalation of geopolitical tensions could exacerbate supply shocks, the report notes.
"Given the challenging external environment, the EU must take decisive action to stimulate domestic growth. This means accelerating our work to boost competitiveness, including by simplifying regulations, creating the Single Market, and fostering innovation," said EU Commissioner for the Economy Valdis Dombrovskis. –0–
Please note: This information is raw content obtained directly from the source. It represents an accurate account of the source's assertions and does not necessarily reflect the position of MIL-OSI or its clients.