14 Feb 2011

Economy of Japan about to be topped in China

6:53 am on 14 February 2011

Japan is about to lose its spot as the world's second-biggest economy to China.

Fourth-quarter and full-year gross domestic product figures due to be issued by Japan on Monday afternoon, are expected to show Japan has fallen behind China.

Japan's economy has been hit by a drop in exports and consumer demand, while China has seen a manufacturing boom.

At its current rate of growth, analysts see China overtaking the United States as the world's top economy in about a decade.

According to the International Monetary Fund, GDP in Japan was $US5.39 trillion in 2010. China's preliminary figure shows its GDP last year was $US5.75 trillion.

Japan's economy is expected to have grown by about 2.8% in 2010, according to the IMF. China's growth is expected to have been 10% when the revised figures are released.