Automobiles awaiting cargo are parked at a port on March 27, 2025 in Yokohama, Japan. U.S.
Tomohiro Ohsumi | Getty Pictures
Japan exports slowed for a second straight month, authorities knowledge confirmed Wednesday, because the nation reels underneath U.S. President Donald Trump’s sweeping tariffs.
Exports progress of two% was in keeping with Reuters-polled analysts’ estimates, its slowest since October final 12 months and the worst exhibiting since September when exports contracted 1.7%.
The nation’s imports shrank 2.2% from a 12 months in the past, lower than estimates of a 4.5% decline.
Japan’s actual gross home product contracted an annualized 0.7% within the first quarter this 12 months, preliminary authorities knowledge confirmed, dragged down by stagnant personal consumption and slowing export progress.
Japan presently is being charged a 25% levy on its auto, metal and aluminum exports to the U.S. The important thing U.S. ally is topic to the ten% baseline tariffs imposed by Trump on most commerce companions. Japanese items additionally face ‘reciprocal’ tariffs of 24% which have been quickly suspended.
Trump on April 2 levied “reciprocal” tariffs on over 180 international locations together with Japan, solely to droop them a few week later for 90 days following market turmoil, and permitting commerce companions to strike offers with Washington.
Vehicles are Japan’s high export to the U.S., accounting for 28.3% of all shipments in 2024, in keeping with customs knowledge.
Japan’s commerce deficit narrowed to 115.8 billion yen ($803.1 million), smaller than the Reuters ballot expectations of 227.1 billion yen. The deficit in March stood at 559.4 billion yen.
By area, Japanese exports to China and the U.S., its largest buying and selling companions, fell 0.6% and 1.8% from a 12 months earlier, respectively.
