Arkansas GDP Grew 1.1% in Second Quarter 2026

State business owners should track sector-specific output as durable goods offset transportation losses.

Updated on Oct. 1, 2026 in Economic Indicators

Bold flat-color editorial illustration showing a geometric steel container next to a warehouse, symbolizing industrial output in Arkansas. — Arkansas real GDP grew by 1.1% in the second quarter of 2026, driven by manufacturing gains that helped the state rebound from earlier declines. AI Illustration. Upload story photo >

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Arkansas real GDP grew 1.1% in the second quarter of 2026, ranking 34th among all states, according to data from the Bureau of Economic Analysis. This growth follows a 0.3% decline in the first quarter of the year.

Why it matters

The state's economic performance lagged behind the national GDP growth rate of 2.2% during the same period. For operators, this gap reflects diverging performance across key state industries that affect local procurement and market demand.

Arkansas real GDP grew 1.1% in Q2 2026, ranking 34th nationally, while personal income grew 2.2% compared to a 4.7% national benchmark. These figures follow a 2.5% downward revision to the state's Q1 2026 GDP.

The players

Bureau of Economic Analysis

The federal agency responsible for producing official economic statistics, including national and state GDP reports.

The details

Growth in the second quarter was driven by gains in durable goods manufacturing and wholesale trade. These sectoral strengths were partially offset by declines in the state's transportation, warehousing, and nondurable goods manufacturing industries. The report also incorporated a comprehensive data revision covering 2021 through 2026.

Arkansas GDP grew 1.7% in the second quarter of 2025.
Arkansas GDP declined 0.3% in the first quarter of 2026.
Arkansas GDP grew 1.1% in the second quarter of 2026.

Market Landscape

This performance update follows standard Bureau of Economic Analysis state GDP revision protocols for data collected between 2021 and 2026. The shift marks a departure from earlier estimations as the state adjusts to a 2.5% downward revision in prior period output.

Operators in manufacturing and wholesale should prepare for potential supply chain shifts following the decline in transportation and warehousing sectors. Owners should also review their financial projections against the updated 2.5% downward revision to ensure budget alignment.

The takeaway

Arkansas's economic growth continues to trail national benchmarks, signaling a need for operators to monitor sectoral volatility in logistics and manufacturing. Reviewing internal Q1 and Q2 financial performance against these state-level adjustments is recommended for accurate forecasting.