Japan Posts ¥153 B June Trade Surplus, Short of Forecast as Exports Dip

Japan logged a merchandise trade surplus of ¥153.1 billion in June, the Ministry of Finance said, reversing a ¥637.6 billion deficit in May but falling well short of the consensus call for a ¥353.9 billion surplus. It was the country’s first positive reading in three months. Outbound shipments edged 0.5% lower from a year earlier, missing expectations for a 0.5% rise, as automobiles and steel weakened. Imports grew 0.2%, defying forecasts for a 1.1% decline and marking the first increase in three months, lifted by pharmaceuticals, telecommunications equipment and semiconductor components. For the first half of 2025, the trade balance remained in the red at ¥2.2158 trillion, extending Japan’s run of half-year deficits to eight, though the gap narrowed from the same period a year earlier. Separate weekly data to 11 July showed Japanese investors cut net purchases of overseas bonds to ¥759.3 billion from ¥1.66 trillion the previous week and increased net sales of foreign equities to ¥767.9 billion. Foreign investors turned net buyers of Japanese bonds, adding ¥170.4 billion, while trimming purchases of Japanese equities to ¥446.0 billion.