Is danger looming? Dutch economic growth is approaching zero
The Dutch economy shows clear signs of slowing down. In the second quarter of 2025, economic growth was only 0.1%, marking the fifth consecutive quarter of declining growth rates. According to the Dutch Statistics Office (Centraal Bureau voor de Statistiek - CBS), this weak growth was primarily supported by government spending and corporate investments, while consumer spending decreased.
In comparison, the economy grew by 0.3% in the first quarter of 2025, and by 0.4% in the last quarter of 2024. According to CBS economist Peter Hein van Mulligen, as reported by NU.nl: "Every time, growth is a little slower." He added: "Growth is not good, but it is still growth, which is a positive thing, although the Dutch economy is gradually losing momentum."
This slight growth in the second quarter was driven by a 1.5% increase in investments from companies and the government, with a large portion of these investments directed towards the transportation sector, particularly in areas such as shipping and aviation. Government spending alone also rose by 0.8%.
Unlike previous quarters, households did not contribute to economic growth. Consumer spending fell by 0.4%, particularly in the hospitality, entertainment, and clothing sectors. Van Mulligen noted that this decline may not be permanent, explaining that spending was high in the first quarter. He said, "It may be a temporary one-off decline."
Regarding the future, it is still unclear how the recent trade agreement between the European Union and the United States will affect the Dutch economy. The agreement includes a 15% tariff on almost all European goods entering the United States, which is a higher rate than expected. However, the agreement removes uncertainty for businesses, which could be beneficial.
Van Moligen commented: "It is difficult to measure the impact of uncertainty on corporate decisions. However, in the second quarter, corporate investments significantly contributed to supporting growth."