THINK – Spain’s Industrial Output Shrinks but Services Support Growth Amid Tariff Pressure

Spain's industrial output shrinks but services support growth amid tariff pressure.

The document analyzes the economic situation in Spain, where industrial production is declining, but the services sector continues to support economic growth despite tariff pressure. Key findings include a 1.9% contraction in industrial production in February 2025, worsening from a 1.2% decline in January. The services sector continues to grow, with a services PMI of 54.7 in March. Spain's economic growth remains stable but is slowing due to uncertainty related to US tariffs. Major export categories such as petroleum products and automobiles may be affected by new tariffs.