Published by Global Banking & Finance Review®
Posted on December 15, 2025
2 min readLast updated: January 20, 2026
Add as preferred source on GoogleEuro zone industrial output rose 0.8% in October, driven by German industry. The economy shows resilience, with growth momentum amid easing trade uncertainty.
FRANKFURT, Dec 15 (Reuters) - Euro zone industrial output growth accelerated in October, bolstering views that the bloc is picking up momentum as trade uncertainty is dissipating, the labour market remains tight and consumption is inching up.
Industry expanded by 0.8% on the month after a 0.2% increase in September, in line with expectations, data from the EU's statistics agency Eurostat showed on Monday.
Compared to a year earlier, output growth accelerated to 2.0% in October from 1.2% in September, beating expectations for 1.9% in a Reuters poll of economists.
German industry, expanding by 1.4% on the month, was among the top performers, offsetting a 1.0% drop in Italy and lukewarm growth in France.
The euro zone economy has proven surprisingly resilient this year, and European Central Bank President Christine Lagarde has already said that another upgrade in the growth outlook is coming this week.
Still, expansion is far from spectacular. The bloc is only growing at a rate just above 1%, near its so-called potential, as exports, the main driver of the economy in recent decades, remain weak and the domestic sector is producing nearly all growth.
Industrial exports have struggled for years as surging energy costs have put the bloc at a cost disadvantage just as China was expanding its high-tech industrial base, grabbing market share.
While industry might be bottoming out this year, there is no boom in sight and it is still somewhat unclear how the new U.S. tariff regime will alter global trading patterns.
Nevertheless the bloc appears to be adjusting well, and even if there is no boom underway, the downside risk also appears limited.
"Incoming high-frequency indicators continue to point to positive momentum in activity heading into year-end," Barclays said in a note.
(Reporting by Balazs Koranyi; Editing by Jan Harvey)
Economic growth refers to an increase in the production of goods and services in an economy over a period of time, typically measured as the percentage increase in real GDP.
The European Central Bank (ECB) is the central bank for the euro and administers monetary policy within the Eurozone, aiming to maintain price stability and support economic growth.
Financial markets are platforms where buyers and sellers engage in the trade of assets such as stocks, bonds, currencies, and derivatives, facilitating capital allocation and investment.
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