The euro area recorded a trade surplus of €1.0 billion in goods with the rest of the world in January 2025, marking a sharp decline from €10.6 billion in January 2024, according to Eurostat's latest estimates.
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Exports from the euro area rose to €232.6 billion, reflecting a 3.0% increase from January 2024 (€225.9 billion). However, imports surged by 7.6% to €231.5 billion, up from €215.3 billion in the same period last year. The increase in imports outpaced export growth, leading to the significant reduction in the trade surplus.
Compared with December 2024, the euro area trade surplus declined markedly from €15.4 billion to €1.0 billion. The downturn was primarily driven by a weaker trade balance in key product categories.
'Machinery and vehicles saw the largest decline, with the trade balance falling from €16.5 billion in December 2024 to €7.4 billion in January 2025. Additionally, other manufactured goods shifted from a surplus of €1.2 billion to a deficit of €4.6 billion over the same period,' Eurostat reported.
Annual trade performance
For the full year 2024, the euro area reported a €173.8 billion surplus, significantly higher than €57.4 billion in 2023. Annual exports grew modestly by 0.5%, reaching €2,863.1 billion, while imports declined by 3.6% to €2,689.2 billion. However, intra-euro area trade dropped 2.9%, totalling €2,567.2 billion.
European Union trade balance turns negative
In contrast to the euro area, the European Union (EU) recorded a trade deficit of €5.4 billion in January 2025, a stark reversal from the €6.7 billion surplus in January 2024.
The EU's extra-EU exports climbed to €208.7 billion, an increase of 4.4% compared to January 2024 (€199.8 billion). Meanwhile, imports rose sharply by 10.9%, reaching €214.1 billion from €193.1 billion in the previous year.
Similar to the euro area, the EU's trade balance deteriorated from €15.9 billion in December 2024 to a deficit of €5.4 billion in January 2025. This was largely due to the decline in machinery and vehicle trade, which fell from €19.1 billion to €9.0 billion, and the shift in other manufactured goods from a €1.7 billion surplus to a €7.8 billion deficit.
For the year 2024, the EU posted a €147.0 billion surplus, compared to €34.4 billion in 2023. Extra-EU exports grew by 1.1% to €2,584.2 billion, while imports declined by 3.4% to €2,437.1 billion. However, intra-EU trade fell 2.2% to €4,025.1 billion.
- Key trade trends
The United States remained the EU's top export partner, with exports rising 16.0% to €46.7 billion. - China continued to be the EU's largest import source, with imports surging 19.2% to €44.8 billion, widening the trade deficit to €30.1 billion.
- The UK, Switzerland, and Turkey remained significant trading partners, with mixed trade balances.
Table: Eurostat.
Outlook
Eurostat's report underscores shifting trade dynamics, with rising imports outpacing exports across both the euro area and the broader EU. The trends indicate ongoing economic pressures, particularly in key manufacturing sectors, which could shape trade policies in the coming months.
More information:
Eurostat
www.ec.europa.eu