The European Union released the European Economic Spring Outlook report on the 21st local time, saying that due to the military strikes by the United States and Israel against Iran, EU energy prices have soared and inflation rates have continued to rise. As a result, the EU and Eurozone economic growth forecasts for 2026 and 2027 have been lowered.

Data map: corner of the European Commission headquarters building 

In a statement issued by the European Commission on the same day, it is expected that the economies of the EU and the euro area will grow by 1.1 and 0.9 respectively in 2026, and the economies of the EU and the euro area will grow by 1.4 and 1.2 respectively in 2027.

In the autumn outlook report on the European economy released in November last year, the above four projected figures were 1.4 per cent, 1.2 per cent, 1.5 per cent and 1.4 per cent respectively.

As a net energy importer, the euro area is highly vulnerable to energy shocks caused by the closure of the Strait of Hormuz. The European Commission's Commissioner for Economic Affairs, Donbrovskis, stated in the report that at a time when the EU is facing geopolitical tensions and a turbulent trade environment, the Middle East conflict has triggered a huge energy shock and further tested the EU economy. It calls on the EU to learn lessons and accelerate the transition to reduce its dependence on imported fossil fuels.