Trending Now - Japan's Exports Surge Despite Decline in U.S. and China Demand
WHO:
Sanae Takaichi, Japan's first woman prime minister, is scheduled to meet with Trump on Thursday, March 19th, 2026.
Japan's Finance Ministry
President Donald Trump
Sanae Takaichi, Japan's first woman prime minister
Tim Waterer, chief market analyst at KCM Trade
WHAT:
Japan's imports grew by 10.2% on-year to 9.51 trillion yen, following a 2.5% contraction in January 2026.
The total value of auto exports to the U.S. fell by 14.8%.
Exports to the bloc of 11 Southeast Asian nations surpassed those to mainland China, making it Japan's second-largest export destination in February 2026.
Japan recorded a trade surplus of 57.3 billion yen ($360 million) in February 2026.
Exports grew by 4.2% in February 2026 to 9.57 trillion yen.
Imports grew by 10.2% on-year to 9.51 trillion yen.
Japan posted a trade deficit of 1.15 trillion yen in January 2026.
Shipments to China declined by 10.9% from February 2025.
Exports to the U.S. dropped by 8%, with auto exports falling by 14.8%.
Exports to Europe grew by 17% in February 2026 from the same month a year ago.
Exports to Hong Kong spiked by 32.3% from a year earlier.
Exports to the bloc of 11 Southeast Asian nations increased by 5.1%.
Exports to Germany rose by 10.9% and to the U.K. by 18.9%.
Semiconductor exports increased by 25.1%, while motor vehicle exports rose by 2.5%.
WHERE:
Tokyo, Japan
Strait of Hormuz
Yokohama City, Kanagawa Prefecture, Japan
WHEN:
The U.S. Supreme Court struck down Trump's "reciprocal" tariffs in February 2026.
February 2026
January 2026
February 2025
On Thursday, March 19th, 2026, the Bank of Japan's policy board will conclude its meeting.
WHY:
Demand for shipments to China was likely unusually weak due to the Lunar New Year holidays falling in February 2026.
The increase in imports is attributed to rising oil and energy prices due to geopolitical uncertainty, particularly the war against Iran.
A weak yen is expected to benefit Japan's export-reliant economy.
HOW:
Brent crude oil prices have jumped to about $100 a barrel recently.
The effective closure of the Strait of Hormuz is driving up oil prices.
The U.S. announced Section 301 investigations that could lead to the reimposition of tariffs on Japanese goods.
(UPDATED March 18, 2026 13:27 UTC)
In a significant diplomatic meeting, Japan's first woman prime minister, Sanae Takaichi, is set to meet with Trump tomorrow, March 19, 2026. Meanwhile, Japan's imports have surged by 10.2% on-year to 9.51 trillion yen, although auto exports to the U.S. have dropped by 14.8%, and shipments to Southeast Asia have now outpaced those to mainland China. This comes as Brent crude oil prices have recently climbed to around $100 a barrel, reflecting broader economic shifts.
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(UPDATED March 18, 2026 05:33 UTC)
Japan's Finance Ministry has reported a trade surplus of 57.3 billion yen, or about $360 million, for February 2026, following a trade deficit of 1.15 trillion yen in January. While exports to the U.S. fell by 8% and shipments to China dropped by 10.9%, exports to Europe saw a significant increase of 17%, and semiconductor exports surged by 25.1%. The rise in imports, attributed to higher oil and energy prices amid geopolitical tensions, is expected to support Japan's export-reliant economy, with the Bank of Japan's policy board set to conclude its meeting tomorrow.