Japan's economy shrinks as US tariff hit looms


People make their way along a sidewalk in Tokyo on Monday, February 17, 2025 -- AFP

TOKYO: Japan's economy shrank for the first time in a year in the March quarter, data showed on Friday, underscoring the fragile nature of its recovery now under threat from U.S. President Donald Trump's trade policies.

The data highlights the challenge policymakers face as steep U.S. tariffs cloud the outlook for the export-heavy economy, particularly for the mainstay automobiles sector.

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Japan , GDP , consumption , inflation , tariffs , trade

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