Euro zone inflation slowed in September by more than previously estimated to its lowest pace in nearly three years, the European Union statistics agency said today.

The figures will come as a new warning on the state of the bloc's economy. 

Eurostat said prices in the 19-country currency area grew by 0.8% on the year, revising down its earlier estimate of a 0.9% rate.

That also defied the market consensus of a 0.9% growth.

In a separate release, Eurostat said today that the bloc's trade surplus with the rest of the world rose to €14.7 billion in August, from €11.9 billion the previous year, as euro zone's imports dropped more than its declining exports. 

The revised inflation reading marked a more pronounced slowdown from the 1% growth in August and was the lowest rate since November 2016 when prices grew by 0.6% in the bloc. 

The new drop is likely to raise new concerns on the state of the euro zone economy and could reignite the debate within the European Central Bank on how to pursue its goal of keeping inflation below, but close to 2% over the medium term.

The revision was due to lower-than-expected inflation for industrial products, in a fresh worrying sign for the bloc's manufacturing sector which faces drops in output and a fall in confidence. 

Prices for industrial goods, excluding energy, went up by a mere 0.2% on the year in September, Eurostat said, revising its earlier estimate of a 0.3% increase. 

Energy prices were confirmed falling by 1.8%, while inflation in the service sector, the largest in the bloc, rose by 1.5% in line with previous estimates. 

A narrower inflation indicator which strips out volatile energy and unprocessed food prices, and is monitored closely by the ECB for its policy decisions, rose to 1.2% in September from 1.1% in August, in line with Eurostat's earlier estimates released on October 1. 

Excluding energy, food, alcohol and tobacco, inflation grew 1.0% in September, Eurostat said, confirming its previous figures.

On the month, headline inflation grew 0.2% in the bloc, also in line with earlier estimates.