Japan’s Export Rebound Masks Weakness in U.S. Trade as Asia Picks Up Slack
Japan's exports ROSE 4.2% year-over-year, but the headline figure conceals a stark divergence in regional demand. Shipments to the U.S. plummeted 13.3%, while Asian markets surged 9.2% with China leading at 5.8% growth. The semiconductor sector drove much of the gains, with chip exports climbing 12.6%, but auto exports to America—a critical trade pillar—continued their collapse with a 24.2% September drop.
Despite Tokyo's tariff reduction from 25% to 15% in August, the relief came too late to reverse structural damage from the trade war. The auto sector's freefall, now in its second month of >20% declines, underscores how Washington's protectionist policies continue to destabilize Japan's most lucrative export corridor. Meanwhile, import figures swung to a 3.3% increase, signaling shifting trade dynamics.
