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flag Japan’s economy likely contracted in Q3 2025 due to U.S. tariffs, weak exports, and stagnant growth, first decline in six quarters.

flag Japan's economy likely shrank in the July-September quarter, marking its first contraction in six quarters, according to a Reuters poll of economists. flag The median forecast projected a 2.5% annualized decline, driven by U.S. tariffs—particularly a new 15% rate on Japanese imports—hurting the auto sector. flag Net exports dragged down growth, while weak housing and inventory investment added to the slowdown. flag Private consumption rose slightly, but stagnant wages and declining spending signal potential stagnation. flag Official data is due November 17.

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