Japan GDP Growth Rate

Japan's GDP grew by 0.7% qoq in Q2 of 2024, compared with flash data and market estimates of a 0.8% rise and after a marginally revised 0.6% fall in Q1. It was the strongest quarterly growth since Q2 of 2023, helped by the success of spring wage negotiations that saw the highest average pay in over 30 years, and a recovery in the automotive industry after scandals involving some big automakers. There was just a slight downward revision for private consumption growth (0.9%, compared with preliminary data of a 1.0% gain and Q1 figure of a 0.6% fall). Also, business investment rose by 0.8%, less than a flash print of a 0.9% rise and after a 0.5% fall in Q1. Meanwhile, government spending increased by 0.1%, matching a preliminary reading despite its growth rate softening from a 0.3% growth in Q1. Net trade subtracted 0.1% percentage points, as exports (1.5% vs -4.6%) rose less than imports (1.7% vs -2.5%).