German economy: EU Commission expects economic standstill for 2025

In its autumn forecast, the Commission had predicted growth of 0.7 percent for Germany in 2025. For the euro area, the economic outlook was revised from 1.5 percent growth to 0.9 percent.

The Commission cited the impact of increased US tariffs and the uncertainty created by the "recent abrupt changes in US trade policy" as reasons for the weaker outlook. For 2026, the Commission nevertheless forecast growth of 1.5 percent for the EU and 1.4 percent for the euro area.