|
Private consumption rose at a 0.4% annualized pace in
October-December, but that was offset by a 1.1% drop in exports,
the latest seasonally adjusted preliminary data show.
Japan’s export-reliant economy has been shaken by President
Donald Trump’s tariffs, but has been growing at a lackluster
pace for years. Prime Minister Sanae Takaichi is expected to
roll out policies to help revive the economy after a landslide
victory in a general election earlier this month.
Takaichi has promised to spend more and to suspend Japan's sales
tax on food, among other measures.
Japan’s GDP contracted 0.7% in July-September,
quarter-to-quarter, after growing 0.5% in April-June. Since the
economy returned to growth in the latest quarter, the country
narrowly avoided a technical recession, which is two straight
quarters of contraction.
On a quarterly basis, the economy grew 0.1% in October to
December, the Cabinet Office reported.
The 1.1% expansion last year was the fastest since 2022, when
Japan was recovering from the disruptions caused by the COVID-19
pandemic.
The government is projecting that the economy will expand at an
average rate of about 0.6% in the near term.
All contents © copyright 2026 Associated Press. All rights reserved
|
|
