Government data issued on Wednesday showed that Japan achieved a trade surplus last month amounting to 57.3 billion yen, equivalent to “360 million dollars,” after recording a trade deficit in the previous month.
Preliminary data issued by the Japanese Ministry of Finance, which took seasonal variables into account, revealed that Japanese exports rose by 4.2% during the month of February to reach 9.57 trillion yen, which exceeded expectations.
In contrast, imports rose by 10.2% to reach 9.51 trillion yen, after contracting by 2.5% in January, which saw a deficit of 1.15 trillion yen, according to the Associated Press.
It is expected that Japan will witness an increase in import costs as a result of the actual closure of the Strait of Hormuz in the Persian Gulf due to the “American-Israeli war with Iran,” which will lead to an increase in the prices of oil and other energy sources.
Japan relies on imports to meet most of its oil needs, and the price of Brent crude, the global oil standard, has risen in recent weeks to nearly $100 per barrel.
Geopolitical instability, specifically the “war in Iran,” is negatively impacting the Japanese economy, which relies heavily on exports. However, the weakness of the yen against the dollar is expected to support Japanese exports and the economy in general.
Although the Lunar New Year holiday coincided with February, demand significantly weakened, Japan’s exports to China fell by 10.9% year-on-year, and shipments to the United States fell by 8% as a result of a decline in automobile exports.
The customs duties imposed by US President Donald Trump on Japanese cars, which currently amount to 15%, still constitute a burden on automakers and auto accessories manufacturers in Japan.
On the other hand, exports to Europe maintained their level, recording a growth of 17% in February compared to the same month last year, and exports to the rest of Asia grew by 2.8%. (Arabic)
