Japan has reported it posted a trade deficit for the fifth straight year in 2025 as exports were hit by President Donald Trump’s tariffs and a diplomatic rift with neighboring China
ByYURI KAGEYAMA AP business writer
January 21, 2026, 9: 22 PM
TOKYO — Japan posted a trade deficit for the fifth straight year in 2025, according to government data released Thursday, as exports were hit by U.S. President Donald Trump’s tariffs and a diplomatic rift with neighboring China.
For the full year, Japan logged a 2.65 trillion yen ($17 billion) trade deficit, the Finance Ministry reported in its preliminary data.
That was nearly 53% smaller than the deficit Japan marked the previous year. Exports for the year rose 3.1%, while imports remained about the same on-year, gaining less than 1%.
For the month of December, Japan recorded a 105.7 billion yen ($669 million) trade surplus.
The monthly surplus was 12% smaller than what was racked up a year ago. Imports grew 5.3% from the same month a year ago, while exports grew 5.1%.
By nation, exports to the U.S. declined 11% in December, while exports to Britain, Africa and some other Asian countries rose. Im