Japan posts modest quarterly growth even as US tariffs hit

Gross domestic product likely expanded at an annualised pace of 0.4% in the three months through June. — Bloomberg

TOKYO: Japan’s economy likely managed to avoid falling into a recession by posting modest growth in the second quarter, as domestic demand led by capital spending offset the drag from US tariffs, according to economists surveyed by Bloomberg.

Gross domestic product (GDP) likely expanded at an annualised pace of 0.4% in the three months through June compared with the prior period, when GDP (gross domestic product) contracted, according to the median estimate of economists.