The United States trade deficit narrowed to $60.2 billion in June 2025, marking its lowest level since September 2023. This represents a 16% decrease from a revised deficit of $71.7 billion in May, driven primarily by a reduction in imports as companies scaled back purchases following a surge earlier in the year. The narrowing of the trade gap also reflects the impact of tariffs on imports. Concurrently, China reported an 8% year-on-year increase in exports in yuan terms for July 2025, with exports rising 7.2% in U.S. dollar terms, surpassing expectations. Imports in China increased by 4.1% year-on-year in July, including a notable 11.5% rise in crude oil imports compared to the previous year. Despite these trade gains, China's consumer price index (CPI) remained unchanged year-on-year in July, signaling persistent deflationary pressures amid efforts to stabilize domestic demand. Japan's economic indicators showed improvement with its leading index for June at 106.1 and the coincident index at 116.8, both slightly exceeding estimates. Japan's June trade surplus was 469.6 billion yen, above forecasts, while the current account surplus stood at 1.348 trillion yen, below expectations.