Japan's exports rise 3.1% in 2025 despite US tariffs

Japan's exports grew 3.1% in 2025 from the previous year, led by electronic parts and food, according to a Finance Ministry report. Despite a decline in shipments to the United States—the first since the pandemic—due to tariffs from President Donald Trump, exports to Europe and Asia excluding China remained strong.

The Finance Ministry reported on Thursday that Japan's overall exports increased by 3.1% in 2025 compared to the previous year, primarily driven by electronic parts and food. Shipments to the United States fell 4.1%, the first decline since the pandemic and the worst since 2016 excluding that period, mainly due to cars and chipmaking machinery. Exports to China dipped 0.4%, while those to Europe and Asia excluding China held firm.

On a monthly basis, December marked the fourth consecutive rise in exports, supported by steady Chinese demand amid an ongoing diplomatic dispute that started last year. However, US-bound shipments dropped, led by automobiles.

This performance highlights the drag from US tariffs under President Donald Trump, which roiled trade relations. The drop in US exports underscores Japan's reliance on international trade even as other markets provided a buffer.

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