Japan records ¥1.3 tril trade deficit in January

This was coming for a long time. It is just that the Corona Virius saved whoever are responsible. Excuses, excuses and excuses......................this is truly Japan. It is always some excuses.

Trade deficit is neither bad nor good. Trade surplus is neither good nor bad. When you buy something from a partner but do not sell anything to the partner, your cash decreases but your number of your products increase. Trade is always balanced in this sense. Trade does not take place unless both sides believe they are better off by doing so. Trade deficit (or surplus) is meaningless.

What's bad is when total amount of trade (deficit + surplus) goes down.

Is it good..., is it bad...?

Neither. It can be an indicator of either.

For example the US has a trade deficit with many counties, because they import more foods than they export. And their economy is the top in the world. This is because they don’t do as much manufacturing as previously, and instead do a lot of R&D, which gives them a stronger economy than exporting things. Other countries may have a trade deficit and a poor economy, because they only manufacture but need mote than they can make.

So a trade deficit is not an indicator of good or bad. Just a number.

"If Japan has a broken economy, then how about Britain? The high street is filled with charity shops and closed down stores. Property is unaffordable. Public transport doesn't work. Walking into a hospital in UK is like something from a developing country."

You're hitting the nail in da head; and this from a Brit, extremely happy to be in London btw.

just goes to show how clueless some people commenting on Japan's economy really are.

Japan has been in "recession" for over 20 year; according to many (some of which supposedly Economists), it should have disappeared by now.

They really don't understand why/how Japan is the World's creditor, or why Japan Post holds the Word's biggest reserves.

I am just wondering who really understand what trade deficit mean.

Is it good..., is it bad...?

If Japan has a broken economy, then how about Britain? The high street is filled with charity shops and closed down stores. Property is unaffordable. Public transport doesn't work. Walking into a hospital in UK is like something from a developing country.

Abenomics at work again.  coupled with a redundant economic model that is being out produced and out competed by the likes of Korea (electronics and auto, say) and China (lots of the light industry that used to be a mainstay of the economy here).  And a massively overspending government that is stuck in a hankering after the post war boom.  Sad.

Stop propping up dying industries and zombies.  stop depressing wages for young people.  Stop trying to monetize the ridiculous debt mountain. 

Maybe that will work better than the current failed experiment.

Oh my god Japan's economy is just going from bad to worse and very rapidly. I am surprised any foreigners, bar those from Asia and english teachers, come to Japan anymore. For sure, I am out of here should the Finance sector tank, for richer pastures

Jeff Ko,

What planet are you living on?

Japan's population comprises basically of elderly(33%) and the working poor(getting on for 40%)......these are not avenues of growth.

Japan is living in complete denial and it being led over a cliff by a bunch of morons who yearn for the 1930s.

Japan’s domestic market looks like a walnut on the way to a good pickling!

No need to panic! Japan's domestic market is big enough with huge buying power so trade deficit is natural and inevitable, just like that of the US.