Japan's exports slow in April as Trump's tariffs dent shipments to US

Tokyo, May 21 (AP) Japan's exports to the United States, its largest single trading partner, fell nearly 2 per cent in April as tariff hikes imposed by President Donald Trump hit home.

Globally, exports rose just 2 per cent year-on-year, down from 4 per cent in March, leaving a trade deficit for the first time in three months.

Imports from the United States fell more than 11 per cent in April, while total imports slipped 2.2 per cent.

Weakening exports could drag on growth after the economy contracted 0.7 per cent in the last quarter.

Japan is asking the Trump administration to scrap his tariffs on imports from Japan, but so far, the US has not agreed to do so.

The Finance Ministry said April's trade deficit totalled 115.8 billion yen (USD 804 million), compared with 504.7 billion yen a year earlier.

The Japanese yen recently has gained against the US dollar, eroding the value of exports in yen terms. The dollar is trading at about 144 yen, down from about 155 yen a year ago.

Exports had picked up earlier in the year as businesses rushed to beat tariffs that have gradually taken effect since Trump took office for a second time.

While trade with the United States has suffered, exports to other regions such as Southeast Asia have expanded.

The US is charging a 25 per cent tariff on imports of autos, a mainstay of Japan's trade with the US and a key driver of growth for the economy. Trump has relaxed some of those tariffs but has kept in place higher tariffs on steel and aluminum.

Japan's vehicle exports fell nearly 6 per cent in April from the year before.

Economic Revitalization Minister Ryosei Akazawa, Japan's main tariff negotiator, is due to visit the US soon for talks, likely over the weekend, in the third round of those talks. (AP) GRS GRS

Source: PTI