Japan: Exports drop at a softer pace in October
Yen-denominated merchandise exports edged down 0.2% on an annual basis in October (September: -4.9% year-on-year). October’s reading marked the softest decline since November 2018. Meanwhile, imports fell 13.3% in annual terms in October (September: -17.4% yoy), marking the best result since April 2020.
As a result, the merchandise trade balance rose from the previous month, recording a JPY 0.9 billion surplus in October (September 2020: JPY +0.7 trillion). Lastly, the trend improved, with the 12-month trailing merchandise trade balance recording a JPY 0.7 trillion deficit in October, compared to the JPY 1.5 trillion deficit in September.