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Analysis by Region - Asia Pacific - Japan

Publisher Oxford Economics
Published Sep 02, 2025
Length 9 Pages
SKU # OFE20418432

Description

We've upgraded our 2025 GDP growth forecast for Japan by 0.2ppts to 1% to reflect a stronger-than-expected Q2 outturn. That said, we still think the impact of high US tariffs has yet to fully materialize, so we've downgraded our 2026 GDP outlook by 0.1ppt to 0.3% growth.

Table of Contents

9 Pages
Japan: Resilient Q2 GDP prompts us to upgrade our 2025 outlook
Forecast overview
Recent developments
Short-term outlook
Key drivers of our short-term forecast
Economic risk
Economic risk evaluation
Risk warnings
What to watch out for
Exposure to key global risks
Long-term prospects
Alternative long-run scenarios
Background
Economic development
Structure of the economy
Balance of payments and structure of trade
Policy
Economic policy

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