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Japan's trade deficit expands to Y800.3 bil in February

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I believe the trade deficit will continue unless Japan restarts nuke energy plants. I am totally against the nuke energy plants restart, but I have no say as I do not live in Japan. Good luck to you, Japan.

0 ( +4 / -4 )

With the stock market up slightly today, gladly it is clear that this news didn't scare off equity investors.

Counter intuitively, this news may have been slightly positive for the Nikkei and Japanese economy overall because of a consequently weaker yen and due to the fact that the pace of gains in exports outstripped that of imports.

Still, I would like to see the BOJ opt for a substantial helicopter drop to kick start Japan's economy from the bottom up, rather than its current top-down, give-to-the-rich quantitative easing which is not working because the banks are refusing to lend.

0 ( +0 / -0 )

Energy imports surged after the 2011 Fukushima crisis forced the shutdown of Japan's nuclear reactors, which once supplied a third of the nation's power.

Oh we're getting along just fine without nuclear power aren't we. Oh by the way my dreamy green renewable energy source plan will be practical and sufficient in about 10,000 years, so just hang on a little bit more with that bleeding financial red.

0 ( +4 / -4 )

Still, I would like to see the BOJ opt for a substantial helicopter drop to kick start Japan's economy from the bottom up, rather than its current top-down, give-to-the-rich quantitative easing which is not working because the banks are refusing to lend.

Abenomics is a quick fix not for a long term prosperity. Japan has very unique two problems; a demographic change, and an old economic model. Until these are changed, the deficit will continue.

5 ( +7 / -2 )

Priority needs to be to secure the reactors so they can be safely restarted and operated to reduce the damage importing excessive fuel is causing, establish alternative generation projects and research and develop long term energy sources.

Other nations safely and successfully operate nuclear plants so should japan be able to with the right measures in place to counter any further disasters that may occur.

0 ( +3 / -3 )

In terms of trade, current account, fiscally, numbers of people, Japan is in the red in all of them.

The slightly lower yen from the first Abenomics arrow may in time see Japanese exports pick up a bit more

But the second Abenomics arrow appears to have had no lasting effect, besides further inflating the massive debt load the government has already accumulated after years of failed attempts to jump-start the economy.

Back in the old days the government might build a road or a bridge and it might boost productivity and be good for business and thus increase tax revenues. But these days the country already has loads of infrastructure so when the government issues these construction bonds to build new stuff, where is the return on investment?

And there's no third arrow to speak of at all yet, just pleas and threats for wages to be raised.

What'd make me bullish on Japan would be the government tearing up bridges and roads, and downsizing in general, so that the productive people of future generations won't have to bear the burden of paying for such useless maintenance. People would surely allocate their own money in a far more useful and meaningful manner than this.

1 ( +1 / -0 )

Daijoboots - Oh we're getting along just fine without nuclear power aren't we. Oh by the way my dreamy green renewable energy source plan will be practical and sufficient in about 10,000 years, so just hang on a little bit more with that bleeding financial red.

Yes, actually we are getting along. I think you can point just as easily to the yens 25 % devaluation courtesy of BOJs / Abenomics quantitative easing resulting in increasing the gas/oil purchases cost as a reason for that "bleeding financial red" that worries you so much.

1 ( +3 / -2 )

The median forecast by economists was for a smaller deficit of 595 billion yen, according to a poll by the leading Nikkei business daily.

Hopo are these aren't the same economists who are advising Abe. Being off by 33% or so is not very confidence inspiring.

1 ( +3 / -2 )

This is the result of Abenomics relying on the same old economic policies and refusing to improvise and innovate new business strategies. Yeah, restarting some of the reactors 'may' help, but they are not the be all and end all of Japan's economic woes. There are many other factors contributing to the failure of Abenomics. The manufacturing and export markets are floundering terribly and the sales tax increase is going to push them even further into the red.

0 ( +3 / -3 )

Japan registered a shortfall for the 20th straight month, the longest spell in more than three decades, the finance ministry said.

so, this is the situation after shooting three arrows or those arrows are still intact and will be used at most appropriate moment?

-1 ( +0 / -1 )

Other nations safely and successfully operate nuclear plants

How many do it safely and successfully on the Ring of Fire?

3 ( +4 / -1 )

Disillusioned,

The manufacturing and export markets are floundering terribly and the sales tax increase is going to push them even further into the red.

I don't buy that. The tax increase is actually pretty meager when you compare it with the effects of exchange rate fluctuations.

jerseyboy,

Hopo are these aren't the same economists who are advising Abe. Being off by 33% or so is not very confidence inspiring.

There really isn't such a thing as an economic "forecast" is there. These people are just making (sometimes) educated guesses, but they have no chance of getting it consistently right without any objective measures to work off. Typically such economic data subsequently gets revised up and down over time as well. If the data can't even be gathered accurately no chance of actually predicting the numbers!

-3 ( +0 / -3 )

C'mon fxgai,

Japan’s trade deficit expanded 3.5% year-on-year to 800.3 billion yen in February

It's shocking that they "forecast" 595 billion yen. A 3 to 6 % up or down would have made sense. But 595 billion yen?

0 ( +1 / -1 )

The cost of the nukes being off is only 40 billion USD per year. Per year. Abe is printing 50 billion USD per month. Per month. Now, with monthly deficits of 10 billion on trade. The fuel bill should be no problem for the BOJ and their printing press. Maybe there is a deeper problem? Ya' think?

2 ( +2 / -0 )

FizzBit, it's a median forecast though, I guess the individual numbers are all over the place.

-2 ( +0 / -2 )

just stop buying crap from China for one month...one week.. one day... and see what happens... women are addicted to shopping and spending money they do not have.. same in America.. women with a credit card are a curse.

-1 ( +1 / -2 )

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