Spain’s economy picked up pace in the second quarter of 2025, thanks largely to a boost in exports, even amid trade uncertainty triggered by increasing US tariffs, according to preliminary figures released on Tuesday.
The country’s gross domestic product (GDP) expanded by 0.7% between April and June compared to the previous quarter, the National Statistics Institute (INE) reported.
This marks a slight acceleration from the 0.6% growth recorded in the first quarter.
The quarterly growth also exceeded the Bank of Spain’s expectations, which had projected a more modest expansion of between 0.5% and 0.6%. ALSO READ: Bank of Spain downgrades country’s GDP growth due to US tariffs uncertainty.
‘Spain maintains its momentum and is solidifying its position among the strongest advanced economies,’ wrote Economy Minister Carlos Cuerpo on social media platform X.
Spain continues to outperform many of its European counterparts, having posted 3.2% growth in 2024, well above the European Union average of just 1%.
The latest figures show that exports were the main contributor to the improved performance, rising 1.1% from the previous quarter, despite ongoing trade frictions linked to new US tariff measures.
In addition to the export surge, INE noted that business investment climbed 2.1%, while consumer spending increased by 0.8%.
For the full year, the Spanish government expects GDP to grow by 2.6%, closely aligned with the International Monetary Fund’s April forecast of 2.5%, which was revised upward despite rising global trade concerns.
On Sunday, the US and EU reached an agreement establishing a base tariff of 15% on European exports to the United States. ALSO READ: Spanish PM supports new EU-US trade deal, but ‘without any enthusiasm’.
Cuerpo had commented in June that the impact of US tariffs on Spain would be limited, pointing out that only about 5% of the country’s exports are destined for the US market.
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Es un día para estar contentos: la economía española sigue dando buenas noticias. Crecemos un 0,7% en el segundo trimestre (frente al 0,6% anterior) y un 2,8% interanual
Mejora la productividad, suben salarios reales, crece el consumo y la inversión
Vamos en la buena dirección. pic.twitter.com/AwuQk5o5z3
— Carlos Cuerpo (@carlos_cuerpo) July 29, 2025
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