Japan exports post steepest fall in over four years as Trump tariffs bite
The year-on-year drop of 2.6 pe rcent in July included a 10.1-per cent plunge in exports to the United States, the finance ministry data showed.
Japanese exports of motor vehicles—cars, buses and trucks—to the world's biggest economy plummeted by 28.4 per cent, while those of auto parts fell 17.4 per cent.
Trump has imposed painful import tariffs on countries around the world in an attempt to boost US manufacturing and reduce the colossal US trade deficit.
On close ally Japan, Trump initially imposed across-the-board levies of 10 per cent as well as tariffs of 27.5 per cent on cars.
Japan's automobile industry, which includes giants like Toyota and Honda, accounts for around eight per cent of the country's jobs.
Japan last month secured a trade deal that cut a threatened 25 per cent 'reciprocal' tariffs to 15 per cent.
The rate on Japanese cars was also cut to 15 per cent, although to Tokyo's consternation, this has yet to take effect.
Data last week showed that the world's fourth-biggest economy eked out better-than-expected annualised growth of 1.0 per cent in the second quarter. — AFP
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