FILE PHOTO: A man in a bicycle drives past containers at an industrial port in Tokyo, Japan, May 22, 2019. REUTERS/Kim Kyung-Hoon
December 16, 2021
By Kantaro Komiya
TOKYO (Reuters) – Japan’s exports growth sped up in November, government data showed on Thursday, suggesting the trade-reliant economy is overcoming supply constraints and staging a solid rebound, although the expansion was a tad slower than expected.
The data came days after the Bank of Japan’s quarterly tankan survey showed an improvement in service-sector sentiment, a sign robust consumption will support a further recovery, although risks around the new Omicron variant remain uncertain.
Exports rose 20.5% in November from a year earlier, the ninth straight month of increase, versus a median market forecast for a 21.2% increase. It followed a 9.4% gain in the previous month.
Shipments to China, Japan’s biggest trade partner, increased 16.0% year-on-year, the data showed.
Car exports rose 4.1% from a year earlier, marking the first increase in three months.
The data shows Japan is navigating its way through the supply bottlenecks that hit automakers and other key industries.
The world’s third-largest economy is expected to post strong growth in October-December after a contraction in the third quarter, as household spending improved on low COVID-19 infections.
The BOJ’s latest tankan survey on Monday also showed rising raw material costs clouding the corporate and economic outlook. The BOJ governor Haruhiko Kuroda said on Wednesday inflation may approach its 2% target.
However, the central bank is unlikely to change its easy monetary policy at its next rate review on Dec. 16-17.
(Reporting by Kantaro Komiya; Editing by Sam Holmes)
Source: One America News Network
