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China Becomes First Country to Reach $41 Trillion GDP (PPP), Overtakes U.S. as World’s Largest Economy

 

In a historic economic milestone, China has become the first country in the world to reach a Gross Domestic Product (GDP) of $41 trillion based on Purchasing Power Parity (PPP), solidifying its position as the world’s largest economy.

According to the latest global economic data, China’s GDP (PPP) now stands at $41.05 trillion, surpassing that of the United States, which recorded $30.61 trillion.

This development marks a significant shift in global economic power, underscoring China’s rapid growth, industrial expansion, and rising influence in global trade and manufacturing.

India follows as the world’s third-largest economy with $17.71 trillion, reflecting its growing economic momentum and expanding consumer market. Russia ranks fourth with $7.19 trillion, while Japan completes the top five at $6.74 trillion.

Other leading economies by GDP (PPP) include Germany at $6.16 trillion, Indonesia with $5.01 trillion, Brazil at $4.96 trillion, France with $4.50 trillion, and the United Kingdom at $4.45 trillion. Italy, Türkiye, and Mexico round out the top 13, with GDPs of $3.72 trillion, $3.65 trillion, and $3.40 trillion, respectively.

Economists note that GDP based on Purchasing Power Parity provides a more accurate comparison of living standards and real productivity between countries by accounting for cost-of-living differences.

China’s steady rise to the top reflects decades of sustained investment in infrastructure, technology, and export-driven manufacturing. Analysts suggest the milestone could further strengthen Beijing’s influence in global financial institutions and reshape the geopolitical landscape.

Meanwhile, the United States remains the largest economy in nominal GDP terms, but the PPP figures highlight China’s dominance in real economic capacity and purchasing power.

Experts predict that the gap between China and the U.S. could widen further over the next decade as developing economies in Asia continue to expand at a faster pace than their Western counterparts.

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