In September, Japan's exports rose 16.7% compared to the previous year, which was significantly below the anticipated growth of 20.1% as forecasted by Reuters analysts. This marks the second consecutive month of declining growth after reaching a nearly four-year high in July.
The growth in exports was primarily driven by a substantial increase in semiconductor shipments, which surged 49.4% year-on-year by value. Notably, exports to mainland China, Japan's largest trading partner, increased by 8.6%, while shipments to the U.S. saw a rise of 22.9%.
Despite these increases, the overall slowdown in export growth could raise concerns about Japan's economic momentum, especially since exports have been a key driver of growth in the first half of 2026. Additionally, Japan's imports grew by 18.9%, also missing expectations of 19.6%. This data suggests potential challenges ahead for Japan's economy as it navigates a cooling export environment