Japan’s GDP is expanding more than expected in the second quarter when tariffs are grasped

Such a tower stands on the background of buildings in the twilight in Tokyo, Japan.

Bloomberg | Bloomberg | Gets the image

In the second quarter of 2025, the Japanese economy increased by 0.3% compared to the first three months of the year when the country has encountered a vocational tariff policy from the United States.

This was compared to the revised Growth 0.1% is observed in the first quarterAnd it was higher than an increase by 0.1%expected by economists interviewed by Reuters.

In the second year, Japan’s GDP increased by 1.2% in the second quarter, without reaching 1.8% of the first quarter.

Reading GDP comes when Japan fought to handle an uncertain trading environment in the second quarter, only with the country Achieving a trade transaction with the US 23.

The deal sees that Japan faces a 15% blanket for all exports to the US, including cars.

During the second quarter, Japan was deprived of 24% of the tariff, which was announced on the Day of Liberation, but had to face 25% of his duties in his key automotive sector.

Auto exports to the US is the cornerstone of Japan, which is 28.3% of all supplies in 2024, According to customs data.

Trade data from April By June showed that exports to the US plunged over the year for all three months since In June there is a drop of 11.4% in deliveries compared to the same period a year ago.

Marseille Tylian, Head of the Asia-Pacific Ocean on Capital Economy, noted that exports by 11.4% in the US was the largest since the beginning of the Covid-19 pandemic in 2020.

Following the meeting on July 31 by the Bank of Japan updated the forecast for the country’s economy Grow 0.6% in its 2025 financial year, which works from April 2025 to March 2026.

However, the Central Bank also warned that trade and other politicians in the world would slow down in foreign economies, as well as reducing profits from the domestic corporation.

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