Japan’s GDP external demand component showed signs of stabilization in the fourth quarter of 2025, with the indicator holding at 0.0% quarter-on-quarter, according to data updated on 15 February 2026. This marks an improvement from the third quarter of 2025, when external demand had contracted by 0.3% on a quarter-on-quarter basis.
The figures indicate that while exports and net trade did not provide additional growth momentum at the end of 2025, they also ceased to be a drag on overall economic performance. The shift from a negative contribution in the third quarter to a neutral one in the fourth points to a period of relative stabilization in Japan’s external sector as the year closed.
Both the current and previous readings are based on quarter-on-quarter comparisons, with the latest “actual” figure reflecting changes from the third to the fourth quarter of 2025, and the earlier “previous” figure measuring the move from the second to the third quarter of 2025.
