Japan logged record trade deficit in first half

Japan Times ^ | 07/24/2013 | Kyodo

[TexGrill]

Japan registered a ¥4.84 trillion ($48.7 billion) trade deficit for the six months through June, the biggest on record for any six-month period, as the yen’s sharp slide boosted import costs despite a rebound in exports, the government said Wednesday.

During the first half of 2013, the value of imports rose 9.2 percent on year to ¥38.8 trillion, with those of liquefied natural gas jumping 13.2 percent and of crude oil increasing 6.0 percent, the Finance Ministry said in a preliminary report.

Exports, a key engine of Japan’s economic growth, grew 4.2 percent to ¥33.96 trillion on the back of the yen’s weakness and a recovery in the U.S. economy, but still failed to outweigh imports, the report showed.

The yen sank against the dollar by 18.9 percent from a year earlier in the January-June period, the ministry said.

The nation’s trade balance is unlikely to turn positive soon, as demand for gas and oil will stay robust from utilities boosting fossil fuel-based power generation as an alternative to nuclear power amid the continued shutdown of most of the nation’s reactors, analysts said.

“Imports of energy such as LNG are expected to hover at high levels, which may prevent the trade balance from swinging into the black for the time being,” said Mitsumaru Kumagai, chief economist at Daiwa Institute of Research.

[TexGrill]

Global business tip

[conservatism_IS_compassion]

Japan logged record trade deficit in first half

Record foreign investment in Japan in first half

”Trade deficit” identically equal to “foreign investment."

[expat_panama]

Record foreign investment in Japan in first half  ”Trade deficit” identically equal to “foreign investment."

Not only that, but while Japan's 'trade deficit's been increasing--

--so has its GDP:

[Alberta's Child]

Bump for later. Thanks!