The Magazine for Asian Investors
According to the Japanese Ministry of Finance, Japan recorded a trade deficit of 1.44 trillion yen in July. This was due to higher prices for imported goods and the depreciation of the yen. It marks the 12th consecutive month of deficit.
The value of imports rose 47.2% year-on-year to 10.19 trillion yen, marking the 18th consecutive monthly increase.
The value of exports rose 19.0% to 8.75 trillion yen, the 17th consecutive month of increase, with imports and exports reaching the highest levels since data were collected in January 1979.
The value of imports has increased as the price of crude oil from the United Arab Emirates, including coal, and liquefied natural gas (LNG) from Australia have become more expensive.
In addition, the Ministry of Finance said that the value of exports has increased, due to strong exports of motor vehicles and semiconductor equipment to the U.S. and exports of diesel fuel to the Philippines.
Ministry officials said the increase in imports and exports was due to higher prices. It added that the price of crude oil doubled compared to the same month last year.