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U.S. GDP Growth Revised Up to 4.4% in Q3 2025

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U.S. Economy Expands 4.4% in Q3 2025, Upwardly Revised

The U.S. economy, measured by real gross domestic product (GDP), expanded at an annual rate of 4.4 percent in the third quarter of 2025 (July, August, and September).

This figure represents an upward revision of 0.1 percentage point from the initial estimate. It also marks an acceleration from the 3.8 percent increase observed in the second quarter of 2025. This updated report was released to replace a previously scheduled release that was impacted by a government shutdown.

Key Drivers of Growth

The rise in real GDP was broadly supported by multiple sectors. Increases in consumer spending, exports, government spending, and investment all contributed positively to the growth. Notably, imports, which subtract from GDP calculation, decreased during this period.

Compared to the second quarter, the acceleration in real GDP was driven by upturns in investment, exports, and government spending. This was further bolstered by an acceleration in consumer spending.

Revisions and Industry Performance

The upward revision to real GDP primarily reflected stronger exports and investment. This positive adjustment was partially offset by a downward adjustment to consumer spending. Additionally, imports were also revised up.

From an industry perspective, private services-producing industries saw a robust 5.3 percent increase in real value added. Private goods-producing industries also performed strongly, increasing by 3.6 percent. This growth was slightly offset by a 0.3 percent decrease in real value added for the government sector.

Price and Income Data

Further details on price and income data provide additional insights into the economic landscape during the third quarter:

  • The price index for gross domestic purchases rose 3.4 percent in the third quarter.
  • The personal consumption expenditures (PCE) price index increased 2.8 percent.
  • The PCE price index, excluding food and energy, increased 2.9 percent.
  • Real gross domestic income (GDI) increased 2.4 percent.
  • Corporate profits from current production rose by $175.6 billion in the third quarter, an upward revision of $9.5 billion.