GDP Declined 0.2% in Q1 2025, According to Second Estimate

Washington, DC, May 29, 2025-Real gross domestic product (GDP) decreased at an annual rate of 0.2% in Q1 2025 (January, February, and March), according to the second estimate released by the U.S. Bureau of Economic Analysis. In Q4 2024, real GDP increased 2.4%.

The decrease in real GDP in the first quarter primarily reflected an increase in imports, which are a subtraction in the calculation of GDP, and a decrease in government spending. These movements were partly offset by increases in investment, consumer spending, and exports.

Real GDP was revised up 0.1 percentage point from the advance estimate, reflecting an upward revision to investment that was partly offset by a downward revision to consumer spending.