2025 U.S. Latino GDP Grows to $4 Trillion; The Worlds Fifth-Largest Economy is Now Projected to Surpass Japan and Germany by The End of The Decade

2025 Official LDC U.S. Latino GDP Report™ spotlights unmatched labor force participation, entrepreneurship, educational attainment, and key industry sectors driving growth

LOS ANGELES–(BUSINESS WIRE)–#Elevatelatinos–The Latino Donor Collaborative (LDC), a think tank dedicated to producing research that highlights economic opportunities for growth, has released its eagerly anticipated 2025 Official LDC U.S. Latino GDP Report™ – Part One, available for download. The eighth edition of the report highlights the unprecedented growth of the U.S. Latino cohort, outpacing national growth rates in numerous economic indexes, workforce participation, entrepreneurship, and educational attainment. The report includes a new section on American entrepreneurship, and a deeper analysis and insights of how the youngest and fastest-growing generation is changing the U.S. population and labor force.

Highlights: U.S. Latino Economic Growth

• Now valued at $4 trillion with an annual average real growth rate of 4.4%, U.S. Latino GDP is the second-fastest growing among the world’s ten largest economies, trailing only China and on par with India, and outpacing countries like France, Canada, and the rest of the United States.
• U.S. Latino GDP is projected to rank as the world’s fourth largest by 2029, surpassing Japan and Germany by the end of the decade.
• Despite comprising 19.5% of the U.S. population, the U.S. Latino cohort was responsible for 28.3% of total additions to national GDP between 2017 and 2022.
• The 10 largest state Latino economies, including California, Texas, Florida, and New York, are all growing faster than their non-Latino counterparts.
• U.S. Latino purchasing power is measured at $4.1 trillion.
• Latino income in the U.S. grew to $3.1 trillion in 2023 and increased 4.8% per year on average between 2017 and 2022.

“The data confirms what we’ve seen building for years,” said Sol Trujillo, Co-Founder and Chairman of the Latino Donor Collaborative. “Latinos in the U.S. are not just participating in the economy; they are propelling it. At $4 trillion, this economy is larger than that of entire nations, and it’s growing faster than almost all of them. The strategic implications for leaders across our economy are clear.”

“This report reinforces the economic power of the U.S. Latino cohort with clarity and precision,” said Ana Valdez, CEO and President of the Latino Donor Collaborative. “From labor force expansion to entrepreneurship to education, Latinos in the U.S. are consistently outperforming national averages. These numbers are impossible to ignore.”

The LDC is the most trusted source of information and analysis on the economic impact of U.S. Latinos across all industries and levels. These reports are often relied upon by institutions such as the Federal Reserve, the U.S. Congressional Joint Economic Committee, and numerous Fortune 500 companies, which harness the data to project business trends and understand and appeal to Latino demographics.

Now in its eighth edition, the 2025 Official LDC U.S. Latino GDP Report™ – Part One builds on its research foundation first established in 2017. The LDC was the original organization that published the quantification of the U.S. Latino GDP, and this report remains the authoritative source on the topic.

Additional Highlights:

Key Industry Sectors

• Manufacturing accounted for the highest share of U.S. Latino GDP in 2023 at $547 billion, growing 15.5% year-over-year, outpacing the national industry.
• Several other sectors contributed significantly to the U.S. Latino GDP share, including:
  • Real Estate and Rental and Leasing: $340 billion (+23.5% YoY)
  • Public Administration: $448 billion
  • Health Care and Social Assistance
  • Professional, Scientific, and Technical Services
  • Arts, Entertainment, and Recreation

Labor Force and Population Growth

• Between 2022 and 2023, the U.S. Latino population increased by 1.8%, compared to just 0.2% among non-Latinos.
  • Includes an increase of 820,000 working-age individuals, while the non-Latino working-age population declined by 560,000.
• In 2023, 68.1% of U.S. Latinos participated in the U.S. labor force, compared to 62% of non-Latinos.

Entrepreneurship and Latino-Owned Businesses (LOBs)

• As of 2022, U.S. Latinos owned 5.7 million businesses, employing 3.8 million people and generating $945 billion in revenue.

Educational Attainment

• Between 2022 and 2023, the percentage of U.S. Latinos with a bachelor’s degree rose by 4.6%, outpacing national averages.
• Between 2010 and 2023, the share of U.S. Latinos holding at least a bachelor’s degree increased significantly.

“Wells Fargo has been proud to support the LDC since it first launched this groundbreaking series eight years ago. The 2025 data reinforces the essential role of the U.S. Latino community in shaping the future of our economy,” said Patty Juarez, Executive Vice President and Head of Hispanic & Latino Affairs at Wells Fargo. “Every year, it becomes increasingly clear that this report is a vital tool that can guide businesses and policymakers who are willing to use it to the fullest extent to inform their work in growing our nation’s economy.”

About the Latino Donor Collaborative

The Latino Donor Collaborative (LDC) is an independently funded 501(c)(3) nonprofit organization and think tank. The LDC has consistently provided economic and business data through meticulous research and fact-based insights. Its reports have become essential tools for U.S. resource allocators, highlighting the growing opportunities presented by the myriad contributions of U.S. Latinos across the social spectrum. Learn more at https://www.latinodonorcollaborative.org/.

Contacts

Media Contacts:
For the Latino Donor Collaborative:
Brittany Tuft

The Pollack Group

Brittany@pollackgroup.com

For Wells Fargo:
Cova Najera

Wells Fargo

cova.najera@wellsfargo.com