image text translation
Eurozone growth gap to widen with
US, as Brussels cuts forecasts
Germany’s economic struggles weigh down region
as US continues to outpace Europe
The figures highlight mounting gloom over the EU’s economic prospects
as it falls further behind the US
Bloomberg
in
Save
Paola Tamma in Brussels and Valentina
101
Rome in London
NOVEMBER 15 2024
The 2025 growth rate estimate projected in May 2024 was recently lowered further. From 1.4 to 1.3%.
image text translation
The Eurozone economy is set to fall further
behind the US the European Commission
said on
Friday as it downgraded its 2025
growth forecast for the region to 1.3 per cent.
The downgrade compares with the
commission’s previous 2025 Eurozone
growth forecast in
of1.4 per cent and
highlights mounting gloom over the region’s
prospects as it falls further behind the US.
May
The European Commission
If things continue like this, the already widening gap with the United States will deepen.
It is said.
image text translation
The US GDP growth forecast for 2025
remains at 2.1%, with a modest increase
to 2.2%
expected in 2026. Similarly China’s
growth forecast for 2025 remains at
4.6%.
5
days ago
A
https:llwWw.azernewsaz
region
The European Commission maintains its
growth forecasts for US; China and the world
The European Commission predicts that the United States will grow by 2.1% in 2025 and 2.2% in 2026.
He said he would do it.
image text translation
15 NOVEMBER 2024
Economy
forecast for
Germany
The latest macroeconomic forecast for
Germany:
Economic activity in Germany is expected to decline
by 0.7%in 2024. High uncertainty has been weighing
on
consumption and investment and the trade
outlook has worsened as global demand for
industrial goods weakened Going forward domestic
demandis setto pick up, driven by increases in real
wages. This is expected to support a recovery in GDP
growth to 0.7% in 2025 and 1.39 in 2026. The
government deficit is projected to decrease and the
government debt ratio to stabilize around 63% of
GDP
Indicators
GDP growth (%, yoy)
2024
0,7
2025
0,7
[Germany with negative growth in 2024]
The biggest reason why this happened was
The sluggishness of France, Europe’s largest economy, and especially Germany.
image text translation
Germany’s
Manufacturing
Sector Imperiled
China Shock
Autbor: julius Probst; PbD
20Sep24
The German car
manufacturing sector has
weakened considerably
There are many factors recently
at
play and the china
shock is one of them:
by
Germany leads the European economy
Foreign countries, especially the world’s largest manufacturing country,
Because of being overtaken by China.
image text translation
Reuters
News
=
ECB fears Trump tariff effect on
growth more than on inflation
BY Reuters
November 18, 2024 7:23 AM MST. Updated 2
ago
Aa
My
days
furthermore
The US, the world’s largest economy and market, is expected to face a difficult road ahead due to tariffs imposed by Trump, who will soon take office.
image text translation
Estimates for Eurozone growth in
2025 have been downgraded
Growth projections (%)
Latest forecast
Forecast made in
Germany
France
–
Italy
Spain
Eurozone
0.5
1.0
1.5
2.0
May
[
By 2025, Spain’s growth rate will enter the 2% range while Germany and France’s growth rates will fall to the 0% range.
]
However, in the midst of all this, there is one country whose growth rate has actually increased, and that is Spain.
image text translation
Particularly noteworthyis the growthin
expenditure by tourists from North
America with increases of 86.6% in July
and 89.9% in August. Expenditure by Latin
American tourists also show significant
growth with increases of 62.59 and 66.0%
in the same month:
Oct 17, 2024
https:llwWw.caixabankresearch.com
Spain’s tourism sector breaks all records in
summer 2024
CaixaBank Research
Spanish tourism growth in North America increased by 86.6% in July and 89.9% in August.
rich Americans
Great weather, exotic food, and excellent food culture.
Going on a tour to Spain
image text translation
2. GDP per Capitain Europe and United States (Thousands
of US dollars)
90
Luro area
Luropean Union
80
United States
70
60
50
40
30
20
10
79/7
76
81
86
91
96
2001
06
77
16
21
24
The US GDP per capita is approaching $90,000 and the European Union is hovering around $40,000.
It is said that without Spain, the current decline in European growth would have been even greater.
image text translation
1. Real GDP in Europe
(Index 2078
100)
130
125
2019-29
0.69less
of which
120
growth per
0.7% 2019-24
year for
0.5% 2025-29
175
Lurope
170
105
100
2000-19 average
95
Actual and projection
90
2018
79
20
21
22
23
24
25
26
27
28
29
The IMF announced that the European economic growth rate over the past five years was 0.7% lower than the average growth rate from 2000 to 2019.
In fact, not only the European Commission but also international organizations
image text translation
ALFRED KAMMER
DIRECTOR EUROPEAN DEPAPTMENT IMF
European incomes are
falling behind.
IMF Europe Director: European incomes are falling behind
The IMF also lowered the Eurozone’s 2025 growth rate for the reasons mentioned above.
image text translation
EUROPE TECH
USA TECH
2005
2008
2099
2094
2097
2020
2023
European productivity has remained flat
In particular, the main reason cited by the IMF is that Europe’s productivity is lagging in the IT industry.
3 line summary:
1. In the latest statistics released by the European Union, the European growth rate for 2025 was further lowered due to the poor situation in Germany and France, Europe’s largest economies.
2. In particular, Germany is losing out on manufacturing competition with China, but in a more pessimistic situation due to Trump’s tariffs, Spain’s growth rate is actually increasing due to demand from overseas tourists from the United States and other countries.
3. As a result, the gap is widening, with GDP per capita in the $40,000 range in Europe and close to $90,000 in the U.S., and the IMF also lowers its forecast for Europe, predicting that the gap will deepen further.