The Trump Economy Grew 3.4% Last Quarter, the Fastest Pace in a Year

• Increases in investment, notably equipment, including AI-related information processing equipment, plus inventory investment), consumer spending, 3.8%, matching Q2, and government spending.
• Partly offset by a decline in exports and a larger rise in imports (which subtract from GDP).

Other related figures from the release:

• Real final sales to private domestic purchasers (consumer spending + private fixed investment): +4.9%.
• Current-dollar GDP: +5.6%.
• PCE price index (quarterly annualized): +2.1% (core +2.5%). Note that the separate monthly September PCE data showed higher year-over-year rates.

Trump White House: GDP Surges as Investment Hits Multi-Year High

Here’s what you need to know:

• Businesses are investing big in America. Private investment in plants and equipment surged at a 9.4% rate in the third quarter, accelerating from an already strong second quarter. So far this year, investment is growing more than twice as fast as it did in 2025 and three times faster than the weak 2.3% rate in Biden’s final year. That means more factories, more manufacturing, more jobs, and more production here at home.
• Business investment just posted its strongest quarter in nearly 15 years. With growth of almost 13% in the third quarter, it’s a clear signal that companies are betting on American workers, factories, and production under President Trump.
• Strong momentum is building. Over the past three quarters, the economy has grown at a 2.7% rate — faster than the Blue Chip consensus forecast (2.4%) and well above the Congressional Budget Office’s projection (2.2%).
• The “experts” were wrong — again. 72% of the economists surveyed by Bloomberg underestimated today’s growth number, once again missing the strength of the Trump economy.
• American consumers remain resilient. Consumer spending grew at a solid 3.8% rate last quarter as American families spend with confidence and businesses expand.
• America is investing in its future. Capital goods — the equipment and machinery that build American industry — now make up a record share of U.S. imports. At the same time, consumer goods fell to just 17% of goods imports, tied for the lowest level on record. Combined with the surge in domestic investment, this shows President Trump’s policies are helping rebuild American productive capacity.