Japan’s exports surged in January as businesses rushed orders ahead of impending US protectionist measures under President Donald Trump.

Exports rose 7.2%, driven by car and ship shipments, though slightly below the expected 7.7% growth. Imports jumped 16.7%, led by communication machinery and computers, pushing the trade deficit to ¥2.76 trillion ($18.2 billion), the largest in two years.

Shipments to the US climbed 8.1%, while exports to China dropped 6.2% due to Lunar New Year disruptions. Exports to Europe saw a sharper decline of 15.1%.

Trump plans to impose 25% tariffs on automobiles, semiconductors, and pharmaceuticals, with an announcement expected by 2nd April. Japan is seeking exemptions from steel, aluminium, and other tariffs while assessing further trade risks.

Despite efforts to mitigate the impact, Japan’s trade surplus with the US stands at ¥477 billion, with auto exports surging 21.8%, keeping it in Trump’s tariff crosshairs.

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