Japan: Drop in exports softens in July
Nominal yen-denominated merchandise exports fell 1.6% year-on-year in July, up from June’s 6.6% decline. The result was the eighth consecutive contraction and was smaller than the 2.2% drop that market analysts had expected. The contraction reflected falling exports to China amid rising global trade tensions.
Meanwhile, imports fell 1.2% in annual terms in July. The reading was up from the 5.2% decline logged in June and above the 2.7% fall expected by market analysts.
The merchandise trade deficit was steady at JPY 0.2 trillion in July 2019 compared to the same month last year (June: JPY 0.6 trillion surplus). Meanwhile, the 12-month trailing trade deficit was unchanged at June’s JPY 2.7 trillion in July.