Japan's exports increased 11.4% in February 2025

Japan's exports grew in February, marking the fifth month of increases. The exports rose by 11.4% compared to the same month last year. This uptick comes amid worries about U.S. President Donald Trump's tariff increases. Companies like Sony are stockpiling goods in the U.S. to prepare for possible tariffs, which may have helped raise export volumes. Exports to the United States increased by 10.5%, while shipments to China rose by 14.1%. The rise in exports to China may be linked to more working days in February, as the Lunar New Year holiday ended earlier this year. On the other hand, Japan's imports fell by 0.7%. This decline contrasts with forecasts that predicted a slight increase. As a result, Japan reported a trade surplus of 584.5 billion yen, or about $3.91 billion, though this was lower than expected. President Trump recently raised tariffs on steel and aluminum imports to 25% without any exemptions. He plans to introduce new tariffs on automobiles starting April 2. Japan's economy heavily relies on exports, especially automobiles, which make up around 28% of its trade with the U.S. Japanese businesses are concerned that these protective policies may lead to a slowdown in the economy. At the same time, they are hopeful that rising wages will support domestic spending. The Bank of Japan is meeting to discuss economic policy and the potential impact of the U.S. trade situation on Japan's export-driven economy.