Japan’s Exports Rise More Than Expected in November, Despite Uncertainty
Tokyo – Japan’s exports rose 3.8% year-on-year in November, exceeding market forecasts and driven by a weaker yen and solid global demand. However, businesses remain worried about the impact of US protectionist trade policies on future growth.
Chipmaking equipment exports to Taiwan and China contributed to the rise, while a weakening yen also boosted the value of exports. However, volumes dipped 0.1%, suggesting that the value growth was largely due to the yen’s weakness.
Looking ahead, economists are cautious about the outlook for exports, citing concerns about a moderate US slowdown and the potential impact of US President-elect Donald Trump’s trade policies. A recent survey found that nearly three-quarters of Japanese companies expect Trump’s next term to have a negative impact on their business environment.
Exports to China rose 4.1% in November, while those to the US were down 8% due to a drop in automobile exports. Imports dropped 3.8% in November, resulting in a smaller-than-expected trade deficit.
The outlook for exports is increasingly uncertain, with Trump’s plans to impose tariffs on Chinese goods and potentially other countries causing concerns for Japanese businesses.
