US economy expands by 4.4% in Q3, exceeding estimates

The US economy expanded by 4.4% on an annual basis in the third quarter of 2025, marking the fastest growth in two years, and exceeding the preliminary estimates.

It followed 3.8% growth in the second quarter, final data from the Bureau of Economic Analysis showed Thursday.

Preliminary estimates had showed that the US economy grew 4.3% in the July-September period.

The rise in real gross domestic product (GDP) in the third quarter reflected increases in consumer spending, exports, government spending, and investment, a bureau statement said.

"Imports, which are a subtraction in the calculation of GDP, decreased," it said.

Real final sales to private domestic purchasers, the sum of consumer spending and gross private fixed investment, rose 2.9% in the third quarter, the statement said.

"From an industry perspective, the increase in real GDP in the third quarter reflected increases of 5.3% in real value added for private services-producing industries and 3.6% for private goods-producing industries that were partly offset by a decrease of 0.3% in real value added for government," it said.

It also said that the price index for gross domestic purchases climbed 3.4% in the third quarter.