AI Data Insight
In Q4 2025, the private inventory change in Japan's nominal GDP plummeted to -32.53 billion JPY, a diving reversal from 50.03 billion JPY in the previous quarter, marking a rare negative value for the same period in recent years. Although the inventory reduction slightly dragged down overall GDP, driven by robust capital expenditure and steady consumption, this wave of inventory destocking actually highlights that domestic final demand is steadily recovering.