Business activity growth in the Eurozone slowed more than expected at the end of 2025 as manufacturing contraction intensified and the expansion of the dominant services sector slowed, according to a survey. Despite rising US tariffs and increasing global uncertainty, the Eurozone has remained resilient for most of this year. However, the Eurozone's initial composite PMI for December fell from a two-and-a-half-year high of 52.8 in November to a three-month low of 51.9. This figure is lower than the forecast of 52.7, but marks the first time since 2019 that the index has remained above the 50.0 boom/dry line for the whole year. Cyrus de la Rubia, chief economist at Commerzbank Hamburg, said: “The weak performance was mainly due to German industry, and the country's economic decline intensified. On the other hand, the French industry showed signs of a cautious recovery, but the single month's data should not be overstated.” “All in all, the outlook for entering the new year seems rather uncertain.” Manufacturing activity contracted for the second month in a row, and the industry's PMI index fell from 49.6 in November to 49.2 this month, the lowest level since April. The service sector continues to play an important role, but growth in the sector has slowed. The service sector PMI fell to 52.6 from a two-and-a-half-year high of 53.6 in November.

Business activity growth in the Eurozone slowed more than expected at the end of 2025 as manufacturing contraction intensified and the expansion of the dominant services sector slowed, according to a survey. Despite rising US tariffs and increasing global uncertainty, the Eurozone has remained resilient for most of this year. However, the Eurozone's initial composite PMI for December fell from a two-and-a-half-year high of 52.8 in November to a three-month low of 51.9. This figure is lower than the forecast of 52.7, but marks the first time since 2019 that the index has remained above the 50.0 boom/dry line for the whole year. Cyrus de la Rubia, chief economist at Commerzbank Hamburg, said: “The weak performance was mainly due to German industry, and the country's economic decline intensified. On the other hand, the French industry showed signs of a cautious recovery, but the single month's data should not be overstated.” “All in all, the outlook for entering the new year seems rather uncertain.” Manufacturing activity contracted for the second month in a row, and the industry's PMI index fell from 49.6 in November to 49.2 this month, the lowest level since April. The service sector continues to play an important role, but growth in the sector has slowed. The service sector PMI fell to 52.6 from a two-and-a-half-year high of 53.6 in November.