FX.co ★ Euro Area Logs Widest Trade Gap Since 2023

The Euro Area recorded a trade deficit of €7.8 billion in May 2026, a sharp reversal from the €15 billion surplus seen in May 2025 and significantly below market expectations for a €1.6 billion shortfall. This was the largest monthly trade deficit since April 2023. Exports of goods edged up by just 0.1% to €243.6 billion, while imports surged 10% to €251.4 billion. Year-on-year, the trade balance deteriorated by almost €23 billion, mainly due to a wider energy trade deficit and smaller surpluses in machinery and vehicles, as well as in chemicals and related products. Over the first five months of the year, the bloc’s cumulative trade surplus narrowed sharply to €3.3 billion, down from €78.7 billion in the same period a year earlier.