In fiscal 2025, exports rose 4% on the back of demand for semiconductors and other electronic devices, while imports edged up 0.5% from a year earlier due to demand for communication devices, the finance ministry said in a preliminary report.

Goods bound for the US declined 6.6%, marking the first fall in five years, with autos falling 15.9%.

While US import duties on Japanese cars were lowered in September to 15%, from 27.5% imposed in April, under a trade deal struck by Tokyo and Washington, they remained six times higher than the 2.5% tariff in place prior to US President Donald Trump’s return to the White House.

For March, Japan recorded a trade surplus of ¥667 billion, up 25.9% from the previous year.

Crude oil imports rose 2.4% for the third straight month by volume.

As for the impact on oil imports of the US-Israeli war against Iran, a ministry official noted that the data reflected fuel shipped from the Middle East before the launch of the attacks on Feb 28, adding that the government had sought to secure supplies from other regions such as the US.