Japan posted a merchandise trade deficit of 754.506 billion yen in March, the Ministry of Finance said on Thursday.
That beat forecasts for a deficit of 1,294.8 billion yen following the 898.1 billion yen shortfall in February.
Exports were up 4.3 percent on year at 8.458 trillion yen - also exceeding expectations for an increase of 2.6 percent following the 6.5 percent gain in the previous month.
Imports were up 7.3 percent at 9.578 trillion yen, beneath forecasts for a gain of 11.4 percent and slowing from 8.3 percent a month earlier.
