Japan trade surplus plunges

Weakening exports and soaring imported energy costs lead to 94 per cent dive.

    Overseas demand for Japanese cars and consumer electronics have declined [EPA]

    Japan's benchmark Nikkei index plunged more than eight per cent on Thursday before regaining some ground by the midday break.

    Sluggish outlook

    The September trade figures which underlined views that sluggish exports are pushing Japan's economy into recession still represented a turnaround from August when Japan logged the first in-effect deficit in nearly 26 years.

    The resource-poor country spent slightly less on energy imports in September than it did in August, reflecting recent declines in crude oil prices.

    The world's No 2 economy is saddled with high costs for oil, coal and natural gas, pushing up imports by 28.8 per cent amid a steady decline in overseas demand for Japanese goods.

    Total exports rose slightly by 1.5 per cent as shipments of cars and consumer goods to North America and Europe fell, reflecting the spreading fallout of the global financial crisis.

    For the April-September period, Japan's trade surplus shrank 85.6 per cent to $8.14bn.

    SOURCE: Agencies


    YOU MIGHT ALSO LIKE

    Cricket World Cup 2019 Quiz: How many runs can you score?

    Cricket World Cup 2019 Quiz: How many runs can you score?

    Pick your team and answer as many correct questions in three minutes.

    Visualising every Saudi coalition air raid on Yemen

    Visualising every Saudi coalition air raid on Yemen

    Since March 2015, Saudi Arabia and a coalition of Arab states have launched more than 19,278 air raids across Yemen.

    Why did Bush go to war in Iraq?

    Why did Bush go to war in Iraq?

    No, it wasn't because of WMDs, democracy or Iraqi oil. The real reason is much more sinister than that.