Japan trade deficit halves in 2025 despite fall in U.S.-bound exports
Japan's trade deficit in 2025 shrank 52.9 percent from a year earlier to 2.65 trillion yen ($16.7 billion), with total exports setting a record despite a decline in U.S.-bound shipments for the first time in five years amid higher tariffs, government data showed Thursday, Kyodo reports.
The country's trade balance remained in the red for the fifth consecutive year, although exports grew 3.1 percent from the year before to 110.45 trillion yen, while imports edged up 0.3 percent to 113.10 trillion yen, the Finance Ministry said.
Japan posted a trade surplus of 7.52 trillion yen with the United States in 2025, down 12.6 percent from the previous year, as exports fell 4.1 percent to 20.41 trillion yen, led by an 11.4 percent plunge in vehicle shipments in value terms.
Imports from the world's largest economy rose 1.6 percent to 12.89 trillion yen, according to the ministry's preliminary report.
With China, Japan logged a deficit of 7.91 trillion yen, up 22.7 percent.
For December alone, Japan logged a trade surplus of 105.69 billion yen, with exports increasing 5.1 percent to 10.41 trillion yen and imports rising 5.3 percent to 10.31 trillion yen.