Asia: Japan's economy grew weaker than expected in spring
Japan's economy grew more weakly in the spring than expected. Weak consumption and declining corporate investments weighed on growth, while exports supported it.
Japan's economy grew at a slower-than-expected 1.1% annual rate in April-June, according to government data. The growth rate was below the 2.0% forecast by analysts, and the economy expanded by 0.3% from the previous quarter, versus a predicted 0.5% increase. The private sector stagnated due to higher raw material costs and supply chain disruptions caused by the Middle East war. Despite this, exports boosted growth, driven by demand for Japanese hybrid vehicles in the US and global investments in Artificial Intelligence.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
