Italy's Q1 2026 GDP up 0.3% as construction rebounds, agri‑food exports slip

The ISTAT “Nota sull’andamento dell’economia italiana” for May‑June 2026 shows Italy’s gross domestic product rising 0.3% quarter‑on‑quarter. Construction added 0.3% to value‑added, while the narrower industrial sector slipped 0.3%. The residential price index climbed 1.0% in the quarter, with new‑home prices down 1.5% and existing‑home prices up 1.5%. Business confidence accelerated across main sectors, notably in construction.

The CREA Agri‑trend bulletin confirms the same GDP gain of 0.3% (0.8% year‑on‑year), driven by a 0.4% rise in final consumption and a 0.7% increase in gross fixed investment. Agriculture output fell 0.5%, but the agri‑food industry grew 0.7%, outpacing overall manufacturing (+0.3%). The beverage segment fell 2.9%. Food‑industry sales slipped about 2% overall, with domestic sales down 1.9% and overseas sales down 1.6%. Agri‑food exports fell roughly 1% and imports 5%, with export gains to Spain (+9.3%) and Poland (+10.6%) offset by declines to Germany (-1%) and the United States (-17.8%), ending four years of double‑digit growth to the U.S. market.