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Japan’s exports register their first decline in 8 months, with the automotive sector affected by U.S. tariffs.

Virgilio Machado by Virgilio Machado
June 18, 2025
in Latest News
Reading Time: 1 min read
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Exportações do Japão registam primeira queda em 8 meses com o setor automóvel afetado pelas tarifas dos EUA

Japan’s exports fell in May for the first time in eight months, with major automotive companies like Toyota being pressured by U.S. tariffs.

The Tokyo government continues to try to reach a trade agreement with the U.S. in order to allow Washington to exempt Japanese automotive companies from the 25% tariffs, which represents a blow to the sector.

It should be noted that Japan also faces a “reciprocal” tariff of 24% starting July 9, unless it can reach an agreement with Washington.

According to “Reuters,” Japan’s exports to the U.S. fell by 11.1% in May compared to the same month in 2024, marking the largest monthly percentage decline since February 2021, with a drop of 24.7% in automobiles and 19% in automotive components. Additionally, exports to China also recorded a decline of 8.8%.

So far, major Japanese automotive manufacturers have not raised prices in the U.S. to mitigate tariff costs, with the exception of Subaru and Mitsubishi Motors. However, analysts anticipate that the absence of price increases may affect the companies’ profits by the end of the year.

Tags: EUAexportaçõesJapãoMaio 2025setor automóvelTarifas
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