Gross domestic product (GDP) in the euro area grew by 1.5 percent in 2025, while the European Union (EU) economy expanded by 1.6 percent, according to data released on Friday by the EU's statistical office Eurostat.
The figures are based on quarterly seasonally and calendar-adjusted data. Growth momentum moderated toward the end of the year, with seasonally adjusted GDP in both the euro area and the EU rising 0.3 percent quarter-on-quarter in the fourth quarter of 2025.
On a year-on-year basis, GDP expanded by 1.3 percent in the euro area and 1.4 percent in the EU in the fourth quarter.
Among member states with available data for the fourth quarter, Lithuania recorded the strongest quarterly growth at 1.7 percent, followed by Spain and Portugal at 0.8 percent each, while Ireland was the only country to register a contraction, with GDP declining 0.6 percent.
Among the bloc's largest economies, Germany's GDP rose 0.3 percent quarter-on-quarter in the fourth quarter of 2025, while France expanded 0.2 percent and Italy grew 0.3 percent, Eurostat data showed.
ING Chief Economist Bert Colijn said the eurozone outlook remains clouded by multiple headwinds, including global uncertainty and weakening competitiveness, which could make trade a drag on growth this year. He added that structural challenges are being addressed too slowly, weighing on longer-term prospects, but noted that firmer domestic demand and planned investment could still support a modest pickup in growth in the coming quarters.
Markets widely expect the European Central Bank (ECB) to keep interest rates unchanged at 2 percent at its first monetary policy meeting of 2026, amid an uncertain global backdrop and lingering competitiveness concerns in the euro area.
Eurozone economy grows by 1.5 pct in 2025
Eurozone economy grows by 1.5 pct in 2025
The island-wide special customs operations in China's Hainan Free Trade Port (FTP) have boosted trade and industrial development, said an official of the Ministry of Finance on Friday.
Speaking at a press conference in Beijing, Wu Jingfang, deputy head of the Tariff Department of the Ministry of Finance, briefed the reporters on results of the special customs operations in Hainan.
"Imported zero-tariff goods are exempt from import duties, value-added tax, and consumption tax, significantly reducing import costs for businesses and promoting greater liberalization and facilitation of trade in goods. Since the launch of island-wide special customs operations [on Dec. 18 last year], the value of imported zero-tariff goods reached 857 million yuan by January 27, a year-on-year increase of 2.43 times, encompassing various industries including chemicals, mineral product manufacturing, and medical care. Tariff exemptions totaled 129 million yuan, a year-on-year increase of 2 times. Over 10,000 enterprises applied for enjoying benefits from the zero-tariff policy, and more than 5,700 new foreign trade enterprises completed registration in Hainan. Looking ahead, there is still significant potential for further expanding the import of zero-tariff goods," said Wu.
On Dec. 18, 2025, China launched island-wide special customs operations in the Hainan FTP, the world's largest FTP by area, allowing freer entry of overseas goods, expanding zero-tariff coverage, and introducing more business-friendly measures.
Officials describe the special customs system as offering "freer access at the first line," referring to freer trade between Hainan and areas outside China's customs borders, and "regulated access at the second line," which involves applying standard customs controls for goods moving from Hainan to the mainland.
The share of zero-tariff products in the Hainan FTP has been raised from 21 to 74 percent, expanding the list of related items from 1,900 to over 6,600.
Zero-tariff goods processed in Hainan may be sold to the mainland duty-free if their local processing generated an added value of 30 percent or more.
Hainan's special customs operations boost trade, industrial development: official
