Retail sales in the euro area fell in July, reversing gains from the previous month, according to the latest figures from Eurostat.
The seasonally adjusted volume of retail trade dropped by 0.5% across the eurozone and by 0.4% in the wider EU compared with June 2025.
That decline followed growth in June, when sales volumes rose by 0.6% in the eurozone and 0.5% in the EU.
Despite the monthly slowdown, retail activity remains stronger than last year.
On an annual basis, July sales were up by 2.2% in the eurozone and 2.4% in the EU.
Sector performance
Eurostat’s breakdown shows differing trends across sectors.
Sales of food, drinks and tobacco declined by 1.1% in the eurozone and 0.9% in the EU compared with June.
Fuel sales also fell, down 1.7% in the eurozone and 1.3% in the EU.
By contrast, non-food products (excluding automotive fuel) managed modest growth of 0.2% in both regions.
National variations
The largest monthly drops were recorded in Croatia (-4.0%), Estonia (-2.0%) and Germany (-1.5%).
On the upside, Lithuania (+1.5%), Latvia (+1.4%) and the Netherlands (+1.1%) led the growth chart.
Ireland recorded a 3.1% increase in retail trade volumes compared with July 2024, placing it in line with the overall EU trend.
This annual gain was stronger than many of its peers, although behind standout performers such as Cyprus (+8.5%), Portugal (+6.1%) and Bulgaria (+6.0%). Slovenia was the only country to report an annual decline (-0.7%).
Annual trends
Looking at sectoral performance year-on-year, eurozone food, drinks and tobacco sales rose by 0.9%, while non-food products climbed 3.1% and fuel by 2.3%.
The EU posted a similar picture, with annual increases of 0.7% for food, 3.3% for non-food, and 3.3% for fuel.
The figures suggest consumer demand in Europe remains relatively resilient despite ongoing inflationary pressures and high borrowing costs, though month-on-month volatility highlights the fragility of household spending.
For Irish retailers, the 3.1% annual growth underscores steady consumer activity, though the divergence between food and non-food categories may hint at shifting spending priorities.
