Japan GDP contracted 7.1%

[Lux de Veritas]

Japan GDP: Economy Shrinks at Fastest Pace in More Than Five Years - WSJ

Japan's economy contracted in the second quarter at the fastest pace since 2009, dealing a blow to Prime Minister Shinzo Abe's efforts to re-energize the economy with pro-growth steps.

Revised data released Monday showed that the country's gross domestic product contracted an annualized 7.1% in the April to June quarter from the previous three-month period as businesses as well as consumers retrenched after the government raised the sales tax. Preliminary figures showed a 6.8% decline.

Separately, Japan reported its current account balance swung to a ¥416.7 billion surplus in July. The broadest measure of Japan's trade with the rest of the world has slipped in and out of the red in recent months, as a weaker yen has yet to lift exports on a sustained basis.

 

[sahaliyan]

Raise the tax hurt economy,I don't know will Abe raise tax again this year?

 

[he-man]

Japan is to be blamed for its own stupidity.

They can open their markets for defence exports and nuclear exports to countries like india but again stupid foreign policy.
And they are gonna loose/continue to loose billions as a result.

Japanese consumer electronics have been taken over by south korea for past 5 years and its not coming back on top now

 

[cirr]

Raise the tax hurt economy,I don't know will Abe raise tax again this year?

Not this year but probably next year。

Sales tax will be raised to 10% from the current 8%。

Japan's major problem is its increasingly large aging population。

Japanese life expectancy is among the highest in the world。But oldies don't consume or consume very little。

 

[Aepsilons]

I don't think Abe Sensei will implement he second round of tax reform. But let's wait and see the performance in the coming months. It takes time for visible change to manifest.

 

[sahaliyan]

Not this year but probably next year。

Sales tax will be raised to 10% from the current 8%。

Japan's major problem is its increasingly large aging population。

Japanese life expectancy is among the highest in the world。But oldies don't consume or consume very little。

I agree aging population is their largest problem,it seems now everyone know this

 

[he-man]

I don't think Abe Sensei will implement he second round of tax reform. But let's wait and see the performance in the coming months. It takes time for visible change to manifest.

sony recently released xperia z3.
compare that to galaxy note 4 to see why japan is going down the drain.

Also they released xba-z5 earphones for 700$,,,compare that to competing chinese models to see why they suck

 

[Aepsilons]

sony recently released xperia z3.
compare that to galaxy note 4 to see why japan is going down the drain.

Also they released xba-z5 earphones for 700$,,,compare that to competing chinese models to see why they suck

It's best to be comprehensive in analyzing our industrial output. Tho I do agree with you that South Korean and Chinese phone and headphone brands have been performing above par. In the month of July tho we still posted 400 Billion Yen in surplus. This does not take into consideration August and the rest of the year.

 

[IsaacNewton]

Bad relations with China can only hurt Japan's economy.

 

[he-man]

It's best to be comprehensive in analyzing our industrial output. Tho I do agree with you that South Korean and Chinese phone and headphone brands have been performing above par. In the month of July tho we still posted 400 Billion Yen in surplus. This does not take into consideration August and the rest of the year.

All i am saying is japan has to shift focus to making cheaper products for developing world mainly asia and africa.
Thats where the growth really is,,,,north america and europe are not big markets anymore.

If they don't ment ways very soon,it will be too late.

I am posting this as i am still a huge sony fan and will probably end up buying z5 even though its overpriced acc to me

 

[Aepsilons]

Bad relations with China can only hurt Japan's economy.

I agree, China is a huge market and we have to improve bilateral trade.

All i am saying is japan has to shift focus to making cheaper products for developing world mainly asia and africa.
Thats where the growth really is,,,,north america and europe are not big markets anymore.

If they don't ment ways very soon,it will be too late.

I am posting this as i am still a huge sony fan and will probably end up buying z5 even though its overpriced acc to me

Sure you're right about reorienting towards emerging market. The tax reform and our current energy situation doesn't help either.

 

[he-man]

I agree, China is a huge market and we have to improve bilateral trade.



Sure you're right about reorienting towards emerging market. The tax reform and out current energy situation doesn't help either.

U guys should have signed the nuclear deal with us,,,,we will simply order russian/french reactors now.
We won't loose much..............purely ur loss.

 

[Aepsilons]

U guys should have signed the nuclear deal with us,,,,we will simply order russian/french reactors now.
We won't loose much..............purely ur loss.

lol , there were more fruitful agenda in Modi's visit to Japan. He secured over $35 Billion in grants and investments.

 

[William Hung]

I agree aging population is their largest problem,it seems now everyone know this

In older days Japan, there was a tradition of the elderly taking a long walk up the mountain once they think they've become too much of a burden to their children and grandchildren.

I actually think there is a real chance that the Japanese people will revert back to this tradition once the problem of its aging population becomes too big.

@Nihonjin1051 what do you think the chance of this tradition returning?

 

[he-man]

lol , there were more fruitful agenda in Modi's visit to Japan. He secured over $35 Billion in grants and investments.

Thats peanuts as its over a 5 year period.
Japan needs to be proactive if it plans on matching china/south korea.

For example the z5 earphones are made in japan,,,had they made them in india the cost would have been at least 100$ less fro 700$ due to huge wage difference.