Japan's economy contracted by 1.8% in the third quarter, mainly due to a decline in exports, influenced by tariffs imposed by the USA.

Automakers' deliveries have been significantly affected, and net external demand has negatively contributed to GDP growth. Private consumption has modestly increased by 0.1%, and capital expenditures have risen by 1.0%, exceeding market estimates. Economists believe that this contraction is temporary and does not indicate the beginning of a recession, expecting a gradual recovery in the October-December period. The government is developing an economic stimulus package to help households cope with rising living costs, estimating that the measures will exceed 17 trillion yen.