The euro area economy expanded by 0.3% in Q4 2025, confirming earlier estimates and matching the pace recorded in the previous three months. The data underscore the bloc’s resilience amid easing inflation and lower interest rates, despite headwinds from US trade tariffs on EU imports. Among the region’s largest economies, Spain delivered the strongest performance, with output rising 0.8%, supported by solid household consumption and fixed investment. The Netherlands followed with a 0.5% expansion, largely driven by exports. Germany and Italy each posted growth of 0.3%, while France lagged behind with a 0.2% increase. On an annual basis, Eurozone GDP grew by 1.3%, slightly easing from 1.4% in Q3. For the full year 2025, the GDP expanded by 1.5%, accelerating from 0.9% in 2024. Looking ahead, both the European Commission and the ECB expect growth to moderate to around 1.2% in 2026 amid persistent geopolitical tensions and trade policy uncertainty, before edging higher to 1.4% in 2027.