Japan: Japan records largest trade deficit in 10 months
December 19, 2012
In November, exports declined for a sixth consecutive month, falling 4.1% over the same month the year before. That said, the contraction undershot market expectations of a 5.5% decline and represented an improvement over the 6.5% drop tallied in October. As a result of the monthly reading, in the 12 months up to November, exports declined 3.0% over the same period the previous year (October: -3.0% year-on-year).
Meanwhile, imports rebounded to a 0.8% rise in annual terms in November. The print contrasted the 1.5% drop observed in the previous month and came in slightly above market expectations that had shipments expanding 0.6%. As a result of the monthly reading, the moving 12-month sum of imports reached 4.3% in annual terms (October: +5.1% yoy).
As a result, the trade balance registered a deficit of JPY 953 billion (USD 11.3 billion). The reading marked the largest shortfall recorded since January 2012 and caused the 12-month moving sum of the trade balance to reach a JPY 6.5 trillion deficit in November, larger than the JPY 6.2 trillion shortfall observed in October.