Oil prices pull Japan’s trade surplus down
Japan's trade surplus shrank in July for the forth month in row due to the rising crude oil prices and increased corporate investment.
Japan's Ministry of Finance announced that the country's trade surplus fell 23 percent year on year to Yen 873.6 billion (around $7.9 billion) in July.
Imports of oil, aircraft, coal and steel pushed overall imports up to a record Yen 4.66 trillion, an 11.6 percent increase year on year.
On the other hand, economists welcomed the export figures, which rose 4.3 percent to Yen 5.54 trillion, the second highest level on record.
Exports have started to show an upward trend recently, as growth in the US,
China and Asia spurs demand for high-tech products likes semiconductors and digital cameras.
Japan's exports to
China rose 6.7 percent to a record Yen 765 billion last month. Imports from
China rose 12.4 percent to Yen 947.4 billion, thus widening the trade deficit to Yen 182.3 billion.
The trade surplus with the US increased 2.2 percent to Yen 650.8 billion.
Japan's exports to the US rose 4.3 percent to Yen 1.25 trillion, while imports increased 6.6 percent to Yen 600 billion.
Japan's trade surplus with Asia fell 9.8 percent to Yen 676.2 billion. Exports rose 2.5 percent to Yen 2.7 trillion and imports expanded 7.3 percent to Yen 2.02 trillion.
The government and the Bank of
Japan credit the gain in exports with helping
Japan's economy emerge from a lull.