Tokyo

Japan’s exports rose 6 per cent in November from a year earlier, supported by a rebound in shipments to the United States for the first time since March, following reduced tariff uncertainty after a trade agreement with the US administration.

Preliminary government data released on Wednesday showed that imports increased 1.3 per cent year-on-year, resulting in a trade surplus of 322.2 billion yen (about USD 2.1 billion).

Exports to the US climbed nearly 9 per cent, led by higher shipments of automobiles, chemicals and cameras, which offset declines in machinery and iron and steel. Imports from the US also rose sharply, with oil purchases nearly tripling and grain and food imports recording strong growth.

Japan’s recent tariff deal with the US, which set a baseline import duty of 15 per cent instead of a previously proposed 25 per cent, helped lift passenger vehicle shipments by 8 per cent in volume terms. However, the value of exported cars, trucks and buses rose only 1.5 per cent, indicating that automakers have largely absorbed the impact of higher tariffs rather than passing on costs to consumers.

Despite higher imports, Japan maintained a trade surplus with the US of 739.8 billion yen (USD 4.7 billion), an increase of 11 per cent from a year earlier.

Exports to the European Union surged about 20 per cent, driven by strong demand for machinery, vehicles and other manufactured goods.

In contrast, exports to China declined 2.4 per cent amid weaker shipments of chemicals, machinery and vehicles, reflecting ongoing tensions following comments by Prime Minister Sanae Takaichi regarding the defence of Taiwan.

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While trade with the US has begun to recover, higher tariffs are expected to continue weighing on Japan’s export outlook, said Norihiro Yamaguchi of Oxford Economics. However, he noted that exports are likely to improve in the coming year, supported by spillover effects from strong US investment in artificial intelligence-related sectors.