May had seen Japan’s exports falling at its most rapid pace since the 2009 global financial crisis. This could be attributed to inactive U.S.-bound car shipments and an impending contraction this quarter in the world’s third-biggest economy.
Japan’s exports dropped by 28.3% in the year ended May, official data showed on Wednesday. This came to be the sharpest decline since September 2009 as exports extended double-digit declines for three consecutive months. More so, the figure came way lower than the speculated 26.1% contraction rendered by analysts in a Reuters survey.
Frail global demand for automobiles and slow-paced business spending are likely to drag Japan’s export-dependent economy. With China-bound trade seen struggling, mainland demand is not capable of alleviating slump monitored in other major trading partners.