Japan's December Exports Rise 2.8%, Surpassing Expectations

Weaker yen boosts export value, while annual trade deficit narrows significantly from the previous year.

Japan's exports grew 2.8% in December 2024 compared to the previous year, exceeding the forecasted 2.4% increase.
The yen's depreciation, averaging ¥152.48 per dollar in December, enhanced exporters' profits but raised import costs for energy and food.
Imports increased 1.8% in December, below the expected 3.2% growth, with calculation machinery and related goods leading the rise.
For the full year of 2024, Japan recorded a trade deficit of ¥5.3 trillion, a 44% reduction from the previous year's deficit of ¥9.5 trillion.
Companies accelerated exports of vehicles, semiconductors, and machinery, potentially anticipating tariffs from U.S. President Donald Trump's trade policies.