Japan's economy expands annualised 1.0% in April-June
Japan's GDP grew 1.0% annualized in Q2 2025, surpassing forecasts as automakers absorbed US tariff costs to maintain exports and production, officials reported.
- Japan's economy expanded at an annualized real 1.0% in the second quarter of 2025, marking its fifth straight quarter of growth, according to preliminary Cabinet Office data released on Friday.
- This growth occurred despite the imposition of 15% U.S. tariffs on Japanese imports last week, which increased costs for exporters and pressured industries such as automotive.
- Capital investment rose 1.3% year-on-year and exports grew 2.0%, while consumer spending remained weak with only 0.2% growth amid rising prices and stagnant wages.
- U.S. Treasury Secretary Scott Bessent said, "The Japanese have an inflation problem," highlighting calls for the Bank of Japan to raise interest rates amid economic uncertainty.
- The sustained GDP growth supports Prime Minister Shigeru Ishiba but raises questions about impacts from tariffs and potential monetary tightening on future economic momentum.
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34 Articles
Japan's economy grows annualized real 1.0% in April-June
Japan's economy grew an annualized real 1.0 percent in the April-June period, marking the fifth consecutive quarterly expansion, helped in part by solid capital investment, though weak consumer spending continued to drag on growth, government data showed Friday. In the second quarter of 2025, gross domestic product adjusted for inflation…
The Japanese economy grew more strongly than expected in the second quarter of 2025. According to a new estimate from the Japanese government, the world's fourth-largest economy grew by 0.3 percent in the three months ending June compared to the previous period. Economists had expected growth of 0.1 percent.
Japan posts unexpectedly strong GDP, helped by exports
Japan's economy grew much faster than expected in the second quarter as export volumes held up well against new US tariffs, giving the central bank some of the conditions it needs to resume interest rate hikes this year.
Japan's economy accelerates by 0.3% in Q2, beating forecasts
Japan's economy grew by 0.3% in the second quarter, marking an acceleration from the 0.1% growth seen in the first quarter. The Q2 result exceeded the consensus forecast, signaling stronger-than-expected economic momentum. Japan's economy
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