Japan has fallen into recession in the first quarter of the year as the coronavirus pandemic hit production, exports and spending.
The country’s Cabinet Office reported on Monday a drop of 3.4% annual pace in seasonally adjusted GDP compared to the previous quarter.
The annual pace gives what the rate would be when continued for a year. For just the quarter, the drop was 0.9%.
Exports plunged 21.8%. Private residential investments slipped nearly 17%, and household consumption edged down 3.1%.
Analysts say things are expected to get worse, as the world’s third-largest economy undergoes its biggest challenge since World War Two.
Japan is in a technical recession, defined as two quarters straight of contraction, as its economy contracted 1.9% in October-December.
It remained flat July-September, and eked out 0.5% growth for April-June, according to the latest numbers.
Japan is extremely susceptible to the economic damage from the ongoing outbreak due to its dependence on trade with both China and the US.
Associated Press contributed to this article
