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Japan’s Trade Deficit Grows as Imports and Exports Fall Short of Forecasts

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Japan’s Trade Deficit Grows as Imports and Exports Fall Short of Forecasts

by Geraldine S.
09/19/2024
in Global Trade

Japan recorded a trade deficit for the second consecutive month in August, according to the Finance Ministry’s report on Wednesday, with both imports and exports falling short of expectations. The trade deficit stood at 695 billion yen (approximately $4.9 billion), a decrease of 26% compared to the same period last year.

Exports reached 8.4 trillion yen ($59 billion), marking a 5.6% year-on-year increase. Shipments to Asia experienced growth, while exports to the U.S. saw a decline. Imports amounted to 9.1 trillion yen ($64 billion), reflecting a 2.3% increase from the previous year. Imports from European nations, particularly in the pharmaceutical sector, showed the highest growth.

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Both export and import figures were below forecasts, which had predicted 10% growth for exports and even higher growth for imports.In recent weeks, the Japanese yen has strengthened against the U.S. dollar, enhancing Japan’s purchasing power. The dollar, which had traded above 150 yen earlier this year, has now fallen to around 140 yen.

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#TradeDeficit #JapanEconomy #ImportExportNews #GlobalTradeUpdate #EconomicOutlook

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