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Japan`s exports to Asia grow slower in June on SARS
Tokyo, July 24: Japan`s trade balance with the rest of Asia fell in June for the first time in 16 months, dropping 20.5 per cent from a year ago as the SARS crisis hurt economic activity cross the region, analysts said today.
Tokyo, July 24: Japan's trade balance with the rest of Asia fell in June for the first time in 16 months, dropping 20.5 per cent from a year ago as the SARS crisis hurt economic activity cross the region, analysts said today.
The surplus came to 453.8 billion yen (3.8 billion
dollars), as exports inched up 3.8 per cent to 2.04 trillion
yen - the smallest growth since march 2002 - and imports
jumped 13.7 per cent to 1.59 trillion yen.
But Japan's surplus with India rose by 195.8 per cent to 1.39 billion yen.
"In April and May, many (Japanese) businesses had to postpone business trips to Asia due to SARS (severe acute respiratory syndrome). Because of that, they were not able to sign many deals to export products to Asia for June," said Takeshi Minami, economist at Ufj Tsubasa securities.
"Although the trade balance fell, imports were up, which indicates domestic demand in Japan was not bad in the month," he said.
Asia-bound exports of auto parts, construction equipment and audio products rose in June, while imports from Asia were led by oil, office equipment and clothing.
Weaker economic activity in areas such as South Korea and Taiwan also hit export-growth to Asia, said Shinko Research Institute economist Norio Miyagawa.
"I think Asian nations generally were not capable of buying as many Japanese products in June as before," he said.
Japan's overall June trade surplus sank 30.7 per cent to 846.0 billion yen.
The surplus with the United States fell 21.7 per cent to 483.1 billion yen, while that with the European Union eased 11.0 per cent to 216.9 billion yen. Bureau Report
But Japan's surplus with India rose by 195.8 per cent to 1.39 billion yen.
"In April and May, many (Japanese) businesses had to postpone business trips to Asia due to SARS (severe acute respiratory syndrome). Because of that, they were not able to sign many deals to export products to Asia for June," said Takeshi Minami, economist at Ufj Tsubasa securities.
"Although the trade balance fell, imports were up, which indicates domestic demand in Japan was not bad in the month," he said.
Asia-bound exports of auto parts, construction equipment and audio products rose in June, while imports from Asia were led by oil, office equipment and clothing.
Weaker economic activity in areas such as South Korea and Taiwan also hit export-growth to Asia, said Shinko Research Institute economist Norio Miyagawa.
"I think Asian nations generally were not capable of buying as many Japanese products in June as before," he said.
Japan's overall June trade surplus sank 30.7 per cent to 846.0 billion yen.
The surplus with the United States fell 21.7 per cent to 483.1 billion yen, while that with the European Union eased 11.0 per cent to 216.9 billion yen. Bureau Report