Japan’s Exports Surge on Strong U.S. and EU Demand, Trade Surplus Widens
Japan’s exports recorded their strongest growth since February, driven by a sharp rise in demand from the United States and the European Union, even as shipments to China declined. According to data released by the Finance Ministry on Wednesday, exports increased 6.1% in November compared with a year earlier, exceeding economists’ expectations of a 5% rise.
The growth was led by higher shipments of semiconductor components and medical goods. Exports to the U.S. climbed 8.8%, marking the first increase in eight months, while exports to the EU surged 19.6%, highlighting resilient overseas demand from advanced economies.
Japan’s trade surplus with the United States expanded to ¥739.8 billion ($4.8 billion), up 11.3% from a year earlier. The surplus has remained intact since U.S. President Donald Trump began his second term in January, despite renewed efforts by Washington to narrow the trade gap through higher tariffs.
Overall, Japan posted an unadjusted trade surplus of ¥322.3 billion in November. Imports rose modestly by 1.3%, falling short of the market expectation of a 3% increase, suggesting relatively subdued domestic demand.
Exports to China, however, fell 2.4%, dragged down by weaker shipments of chip-making machinery and nonferrous metals, while imports from China increased 2.3%. Trade relations with Beijing have faced heightened uncertainty following a diplomatic dispute last month linked to comments by Prime Minister Sanae Takaichi on a hypothetical Taiwan contingency.
The rebound in exports to the U.S. is seen as a positive signal for the Bank of Japan, which is widely expected to raise its benchmark interest rate later this week. Concerns over potential U.S. tariff measures had previously contributed to the central bank’s cautious stance on further monetary tightening.
Japan’s exports recorded their strongest growth since February, driven by a sharp rise in demand from the United States and the European Union, even as shipments to China declined. According to data released by the Finance Ministry on Wednesday, exports increased 6.1% in November compared with a year earlier, exceeding economists’ expectations of a 5% rise.
The growth was led by higher shipments of semiconductor components and medical goods. Exports to the U.S. climbed 8.8%, marking the first increase in eight months, while exports to the EU surged 19.6%, highlighting resilient overseas demand from advanced economies.
Japan’s trade surplus with the United States expanded to ¥739.8 billion ($4.8 billion), up 11.3% from a year earlier. The surplus has remained intact since U.S. President Donald Trump began his second term in January, despite renewed efforts by Washington to narrow the trade gap through higher tariffs.
Overall, Japan posted an unadjusted trade surplus of ¥322.3 billion in November. Imports rose modestly by 1.3%, falling short of the market expectation of a 3% increase, suggesting relatively subdued domestic demand.
Exports to China, however, fell 2.4%, dragged down by weaker shipments of chip-making machinery and nonferrous metals, while imports from China increased 2.3%. Trade relations with Beijing have faced heightened uncertainty following a diplomatic dispute last month linked to comments by Prime Minister Sanae Takaichi on a hypothetical Taiwan contingency.
The rebound in exports to the U.S. is seen as a positive signal for the Bank of Japan, which is widely expected to raise its benchmark interest rate later this week. Concerns over potential U.S. tariff measures had previously contributed to the central bank’s cautious stance on further monetary tightening.