Japan's trade deficit widens to ¥1.1 trillion in August as imports jump 28%
Exports rose 19.3% from a year earlier and imports 28.0%, according to the Ministry of Finance's provisional figures. Imports from the United States climbed 55.2%.
Japan's Ministry of Finance published provisional trade statistics for August 2026 on 16 September.
The figures
- Exports: ¥10.05 trillion, up 19.3% from August 2025
- Imports: ¥11.15 trillion, up 28.0%
- Trade balance: a deficit of ¥1.11 trillion, compared with a deficit of ¥294.1 billion in August 2025
The values are in yen, so the changes include the effect of prices and the exchange rate as well as the quantity of goods traded.
By trading partner
- United States: exports of ¥1.72 trillion (up 24.9%) and imports of ¥1.65 trillion (up 55.2%), leaving a surplus of about ¥70 billion
- China: exports of ¥1.81 trillion (up 20.6%) and imports of ¥2.36 trillion (up 22.5%), a deficit of about ¥552 billion
- Asia as a whole: exports of ¥5.75 trillion (up 21.4%) and imports of ¥5.42 trillion (up 29.0%), a surplus of about ¥330 billion
The balances by partner are FTC's calculations from the ministry's export and import values.
Why the import bill matters for the yen
Japan buys almost all of its oil abroad, and Brent crude has traded above $100 a barrel this month (report). When imports grow faster than exports, more yen has to be exchanged to pay for them, although capital flows usually matter more for the currency than the trade balance on its own (trade balance and current account explained).
The yen has other forces on it this week. Japan and the United States intervened together to support it on 31 July (report). The Federal Reserve raised its rates to 3.75%–4.00% on 16 September (report), and the Bank of Japan, whose policy rate is 1.00%, announces its decision on 18 September (preview). Safe-haven currencies explains why the yen also reacts to risk sentiment. Live prices: USD/JPY and EUR/JPY.
Sources
Common questions
Does Japan have a trade deficit?
In August 2026, yes. Provisional figures show a deficit of ¥1.11 trillion, as imports of ¥11.15 trillion exceeded exports of ¥10.05 trillion. A year earlier the deficit was ¥294.1 billion.
How much does Japan export to the United States?
Japan exported ¥1.72 trillion of goods to the United States in August 2026, 24.9% more than a year earlier, and imported ¥1.65 trillion from it, up 55.2%.
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