October 13, 2023
With urbanisation shaping the globe, which cities will have the highest GDP over the next decade?
By Alex Summers
The gross domestic product (GDP) of a city is an important indicator of its economic health and strength. It measures the value of all goods and services produced in a city over a specific period of time. Knowing which cities have the highest GDP can provide opportunities for businesses and investors to better understand the economic landscape.
Five cities with the highest predicted GDP
New York
New York City is said to be the largest city in terms of GDP. For 2035, according to the World Economic Forum, its estimated GDP is $2.5trn. Its economy is powered by the finance, media and technology industries, as well as its diverse population. New York is also one of the most visited cities in the world, and this influx of visitors helps to boost its economy.
Tokyo
Tokyo, Japan, is another major city with a high GDP. Tokyo’s GDP in 2035 is estimated to be more than $1.9trn. This is largely attributed to its diversified and advanced economy, which includes finance, manufacturing and technology. Additionally, Tokyo is a major global hub for business, making it an attractive destination for businesses and investors.
Los Angeles
Los Angeles, California, is the third-largest city in the world based on GDP. Its estimated GDP for 2035 is $1.5trn. Los Angeles’ economy is driven by the entertainment, technology and manufacturing industries, as well as its strong tourism industry. Additionally, the city’s proximity to the Pacific Ocean makes it an ideal destination for businesses looking to expand their operations.
London
London, UK, is the fourth-largest city in terms of GDP. Its estimated GDP for 2035 is $1.3trn. London is a global financial centre and is home to a diverse population. This makes it an attractive destination for businesses and investors. Additionally, its strong tourism industry helps to contribute to its economy.
Shanghai
Finally, Shanghai, China, is the fifth-largest city in terms of GDP, though it is approximately tied with London. Its estimated GDP for 2035 is $1.3trn. The city’s economy is driven by its manufacturing and technology industries, as well as its large population. Shanghai is also a major port city, which helps to attract businesses from around the world.
[Read more: India’s economic contributors: The cities driving GDP]
Content from our partners
Topics in this article : Explainers
Alex Summers
Alex Summers is a freelance writer covering urban policy.
I've spent years immersed in economics, analyzing GDP trends and urbanization's impact on global economies. To start, GDP (Gross Domestic Product) serves as a pivotal metric, measuring a city's economic prowess through the collective value of goods and services produced within its borders. Analyzing various factors, I've observed trends in economic landscapes, including the influence of industries, population diversity, and geographic advantages on a city's GDP trajectory.
Let's dive into the cities highlighted in the article and their economic dynamics:
-
New York City: Undoubtedly, New York stands as a global economic powerhouse. Its estimated GDP of $2.5 trillion for 2035 stems from a robust blend of finance, media, technology sectors, and a cosmopolitan populace. Additionally, its status as a top tourist destination fuels economic growth.
-
Tokyo: With an estimated GDP surpassing $1.9 trillion in 2035, Tokyo's strength arises from a diversified economy encompassing finance, manufacturing, and cutting-edge technology. Its position as a business hub amplifies its allure for investors.
-
Los Angeles: The city's $1.5 trillion estimated GDP by 2035 thrives on entertainment, tech, manufacturing, and a vibrant tourism industry. Its strategic Pacific Ocean proximity appeals to businesses eyeing expansion.
-
London: As the fourth-largest city by GDP in 2035, London's estimated $1.3 trillion GDP stems from its prowess as a global financial hub and its culturally diverse population. Its tourism sector also significantly contributes to economic growth.
-
Shanghai: Hovering around $1.3 trillion GDP in 2035, Shanghai's economic might is rooted in manufacturing, technology, a massive population, and its role as a major port city, attracting businesses globally.
Each city's economic trajectory reflects a confluence of factors: robust industries, global connectivity, diverse populations, and strategic geographical advantages. These elements collectively shape their GDP projections and influence their positions on the global economic stage.
Understanding these dynamics helps businesses and investors navigate opportunities, recognizing the cities poised for significant economic growth amidst urbanization's ongoing global impact.
