In numbers: The European Union lowers its growth expectations for the euro zone

The European Commission expected that the single currency area, which includes 20 countries, would record growth of 1.2% in 2026, down from previous expectations of 1.4%.

Eurozone growth

The Commission confirmed that Europe’s economy "Very open" still "Exposed to ongoing trade restrictions". But she pointed out that the trade agreements concluded by the United States with its partners, including the European Union, contributed "In reducing some concerns"

The Commission said in a statement "Persistent trade policy uncertainty continues to weigh on economic activity, with tariff and non-tariff restrictions likely to hamper EU growth more than expected."

The Commission expects growth of 1.4% in 2026 for the twenty-seven European Union countries, slightly lower than the 1.5% that was announced in May.

The Commissioner for Economic Affairs, Valdis Dombrovskis, seemed optimistic despite the uncertainty, and Dombrovskis said in a statement. "Even in difficult economic conditions, the European Union economy continued to grow"

Inflation in the Eurozone

The Commission also expects that the inflation rate in the Eurozone will reach 1.9% in 2026, up from previous expectations of 1.7% for next year.

The Commission expects that the inflation rate in the single currency area will reach 2.1% in 2025, approaching the European Central Bank’s target of 2%.

Although the Commission It indicated a slowdown in the rise in food and service prices, but this slowdown "This was offset by a rise in energy price inflation".