FX.co ★ Japan Export Growth at 7-Month Low

Japan's exports rose by 2.0% year-on-year, reaching JPY 9,157.16 billion in April 2025, aligning with market expectations. This marks the seventh consecutive month of growth, albeit the slowest in this period, as challenges arise from escalating U.S. tariffs. Japan faces significant impact from former President Trump's 25% tariffs on auto imports, which began on April 3, in addition to tariffs on steel and aluminum imposed in March. Automobiles represent Japan’s largest export category to the U.S., accounting for 28.3% of total shipments in 2024, according to customs data. Japan’s chief trade negotiator, Ryosei Akazawa, has reiterated the country's firm stance on seeking the removal of these U.S. tariffs during ongoing trade discussions. Meanwhile, Prime Minister Shigeru Ishiba informed parliament that Tokyo intends to proceed cautiously and will not hasten into an agreement as the third round of negotiations advances.