Japan’s GDP declined in July-September on US tariffs, economists say

Economy

1st contraction in six quarters predicted at annualized 2.4%

U.S. tariffs and stagnation of real wages are two big components of the Japanese economy’s expected first quarterly decline in more than a year. (Photo by Tomoki Mera)

YUI NAKAMURA and CHIHIRO UCHIYAMA

November 1, 2025 06:45 JST

TOKYO — Japan’s economy appears to have contracted for the first time in six quarters in the July-September period as U.S. tariffs weighed on exports, according to estimates by private-sector economists.