What is the gross domestic product (GDP) in ?

Updated Apr. 17, 2026Refreshed annually
The gross domestic product (GDP) was $260.6B in 2025. GDP measures the value of goods and services a country or state produces — it’s the sum of consumer spending, business investment, government spending, and net exports. It is often used to quantify the size of its economy. The $260.6B is the “real GDP,” which is adjusted to account for inflation to make it easier to compare the size of an economy over time.

$261B

Real GDP (2025)

+2%

Change in real GDP (2024 to 2025)
Changes in spending and investment cause the GDP to fluctuate.
As of 2025, the real GDP was $260.6 billion. This was 2% higher than in 2024. 2025’s GDP was the highest to-date.

Real GDP increased from 2024 to reach $260.6B in 2025.

Real gross domestic product in Alabama, adjusted for inflation (chained 2017 dollars)

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The GDP can also be broken down and compared across industries — useful, as different industries experience different economic pressures.

Which industry contributes the most to Alabama’s GDP?

The manufacturing industry contributed the most to Alabama’s GDP in 2025, generating a value of $43.5 billion. It was followed by government ($38.4B) and real estate, rental, and leasing ($32.2B).
The information industry grew the most, with a 2025 GDP that was 1.9 times the 2015 GDP.

In 2025, the manufacturing industry contributed the most to GDP in Alabama.

Real gross domestic product by industry in Alabama, chained 2017 dollars

What is the GDP per capita?

Another way to understand a population’s standard of living is by taking the GDP and dividing it by the total number of people in the population. This figure offers insight into the average economic output per individual. When the GDP per capita goes up, it suggests that individuals are becoming wealthier and/or resources are being used more efficiently. This helps economists understand whether economic growth is outpacing population growth.
In 2025, GDP per capita in Alabama was $50,200, up 1.4% from 2024.

In 2025, real GDP was equivalent to $50,200 per person.

Real gross domestic product per capita in Alabama, chained 2017 dollars, 2007–2025

GDP and the economic experience vary by location due to factors like cost of living, population density, workforce education, and the area’s main industries.
In 2025, Alabama’s real (that is, inflation-adjusted) GDP per capita was 46th highest out of all 50 states. States with a similar standard of living include Kentucky (45th) and Idaho (47th).

In 2025, Alabama ranked 46 in state GDP per capita.

Real gross domestic product per capita by state (2025)

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Methodology

USAFacts standardizes data, in areas such as time and demographics, to make it easier to understand and compare.

The analysis was generated with the help of AI and reviewed by USAFacts for accuracy.

Page sources

USAFacts endeavors to share the most up-to-date information available. We sourced the data on this page directly from government agencies; however, the intervals at which agencies publish updated data vary.