According to official data released on Thursday, Japan’s exports to the US fell more than four percent last year and 11.1 percent in December as a result of tariffs.
According to data from the finance ministry, Japan’s exports to the US decreased by 4.1% in 2025, which helped Tokyo’s trade surplus with Washington drop by 12.6% to 7.5 trillion yen ($47 billion).
According to the data, Tokyo’s declining trade surplus with Washington was mostly caused by a decrease in the number of vehicles and auto components exported as well as an increase in imports of liquified petroleum gas, cereals, and power-generating machinery.
Tokyo’s trade surplus decreased 31.7% to 690.6 billion yen ($4.4 billion) in December, while its exports to Washington dropped 11.1% to 1.81 trillion yen ($11.4 billion).
Tokyo and Washington signed a trade agreement in July that reduced duties from a feared 25 percent to 15 percent.
Importantly, the auto industry, which represented for 30% of Japanese exports to the US in 2024, was included in that decline.
The 15% tariffs, according to Tokyo officials and industry executives, are still excessive when compared to the time prior to the second Trump administration.
Japan’s overall trade account logged a deficit of 2.65 trillion yen in 2025, its fifth consecutive deficit.
