Japan GDP Growth Annualized

The Japanese economy expanded by 2.2% on an annualized basis in Q4 2024, falling short of the preliminary estimate of 2.8% but accelerating from an upwardly revised 1.4% growth in Q3. This marked the third consecutive yearly expansion, driven by a solid rebound in capital expenditure and the fourth consecutive quarter of rising government spending. Additionally, net trade made a strong contribution for the first time in five quarters, as exports continued to grow despite concerns over US President Donald Trump’s tariff threats, while imports declined after two consecutive quarters of growth. Meanwhile, private consumption rose for the third straight quarter, though its pace slowed significantly due to elevated inflation and higher borrowing costs.