Japan has reported its exports grew at an 11% annual pace in February while imports declined slightly, leaving a surplus after two straight months of deficits as worries grow about President Donald Trump’s tariff hikes

ByYURI KAGEYAMA AP business writer

TOKYO — Japan has reported its exports grew at an 11.4% annual pace in February while imports declined slightly, leaving a surplus after two straight months of deficits as worries grow about President Donald Trump’s tariff hikes.

The stronger export growth yielded a trade surplus last month after two straight months of deficits, the Finance Ministry said Wednesday.

Japan recorded a trade surplus of 584 billion yen ($3.9 billion) last month. It had a trade deficit of 415 billion yen the previous year. The surge in exports outpaced a 7% annual increase in January. Exports totaled 9.19 trillion yen ($61 billion), while imports fell 0.7% to 8.61 trillion yen ($57 billion).

In January, imports jumped nearly 17% year-on-year.

Japan’s exports have surged in recent months as businesses rushed to send overseas shipments before Trump’s tariffs kick in.

Higher U.S. tariffs on steel and aluminum have already started, but the biggest threat to the Japanese economy will come in auto tariffs that are due to take effect next month. Japanese officials have been seeking an exemption from the Trump administration for Japan, an important trading partner and ally of the U.S.

Japan’s exports to the U.S. grew 10.5% in February while imports from the U.S. fell 2.7%, compared to a year earlier, leaving a surplus of 918.8 billion yen ($6.2 billion).

Exports to Asia jumped about 16% from a year earlier while those to Europe fell 4.5%.

A large share of the jump in exports included food, machinery and vehicles.

Imports from the Middle East fell as oil prices declined.

Also Wednesday, Japan’s central bank chose, as expected, to keep its benchmark interest rate unchanged at 0.5%. The central bank has been gradually raising the key rate from below zero to counter rising inflation, but Trump’s policies have raised uncertainty over the global economic outlook as well as trade.

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Yuri Kageyama is on Threads: https://www.threads.net/@yurikageyama

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