May’s €7.8B deficit marks the largest monthly shortfall since April 2023, missing forecasts and reversing a €15B surplus from a year ago.
The Euro Area posted a €7.8B trade deficit in May 2026, the widest since April 2023, as exports slumped and imports held firm. The print fell short of the €1.6B deficit expected by markets and contrasted sharply with a €15B surplus recorded in May 2025.
Analysts pointed to weaker industrial demand in key trading partners and elevated energy import costs as primary drivers. The deficit also reflects a broader slowdown in global trade flows, with Eurozone manufacturers facing persistent headwinds from higher input prices and softer external demand.
Markets showed limited reaction, as the data reinforced expectations of subdued growth in the bloc’s second quarter. The euro remained steady against the dollar, trading near session lows.