Published by Global Banking & Finance Review®
Posted on May 15, 2025
2 min readLast updated: January 23, 2026
Add as preferred source on GoogleEuro zone industrial output rose 2.6% in March, surpassing expectations and indicating a potential end to the sector's recession.
FRANKFURT (Reuters) -Industrial production in the 20-nation euro zone rose far more than predicted in March, indicating that the sector's two-year recession may finally be coming to an end, data from Eurostat showed on Thursday.
Output jumped 2.6% on the month, exceeding expectations for a 1.8% rise and the previous month's 1.1% gain, as most industrial sectors expanded quickly. Compared with a year earlier output was up 3.6%, above economists' forecast for 2.5%.
Industry has struggled for years as high energy costs, competition from China and lacklustre domestic demand all cut deep into sales.
The figures are still not likely to convince policymakers that all is well.
A recovery has long been predicted and failed to materialise. Meanwhile, the global trade war that began after the March data was collected is likely to eat into industrial output.
Production of capital goods was up 3.2% on the month, a hopeful sign that investments are solid, while durable consumer goods production was up 3.1%. Energy production was down 0.5% on the month, but much of that was likely due to lower energy prices.
Output in Germany, the bloc's industrial powerhouse, was up 3.1% on the month while Spain expanded by 1%, Italy by 0.1% and France by 0.1%. In a likely distortion of figures, Irish industry expanded by 14%, fuelled largely by activity among big foreign companies based there for tax reasons.
(Reporting by Balazs Koranyi; Editing by Hugh Lawson)
The article discusses the unexpected rise in Euro zone industrial output in March, surpassing forecasts and indicating potential recovery.
Industrial output rose 2.6% in March, exceeding the expected 1.8% rise, with a year-on-year increase of 3.6%.
Germany's output rose by 3.1%, while Ireland saw a 14% expansion due to foreign companies.
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