Japan's government and central bank are counting on export growth to help the economy overcome April’s domestic-demand-dampening consumption tax hike. The latest figures show that despite a weak yen, overall shipments remain sluggish, though business with the rest of Asia is providing some hope.
Exports to the U.S. and Europe are slow. This kept Japan’s volume in the July-September quarter almost flat, compared with the previous period, according to data released Wednesday by the Ministry of Finance.
In September, the volume did rise 2.8% on the year — the first year-on-year increase in two months. This was largely driven by shipments to other Asian countries, with electronic parts accounting for a big chunk.
Still, exports lack the strength to provide that hoped-for economic fillip.