EU economy is growing – level 2
05-05-2025 07:00
The eurozone economy started this year better than many people thought. For years, there was little growth. People saved money, and companies didn’t spend because prices were high.
In the first three months, the eurozone economy grew by 0.4%. This was better than expected. Most of the growth came from Ireland. Ireland grew fast because big companies work there for tax reasons. Germany, France, and Italy grew more slowly. Things looked better until US President Donald Trump started a trade war. Some experts think it will hurt the world economy.
When things changed, big companies like Volkswagen and Mercedes-Benz said new trade taxes could hurt their business. They said they might not earn much money or spend more on new things.
Difficult words: growth (when something grows), trade war (when two or more countries fight economically), economy (the system of money and business in a country).
You can watch the original video in the Level 3 section.
Which country accounted for most of the eurozone’s 0.4% growth in the first three months, and why did its economy expand so quickly?
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