Japan saw record trade deficit of $155.27 billion in 2022

[Mista]

Oh no, it's over for Japan.

It makes me sad to see Japan to decline like that. The Japanese don’t deserve that.

1) Current account balance is a better indicator than trade balance. Japan still likely recorded a current account surplus despite its record trade deficit as Japan has large amount of amounts of overseas investments generating income. A large portion of other countries' trade surplus (China or Vietnam for example) is actually accrued to Japanese companies.

The current account balance, a wider gauge of international trade, was also affected by the massive trade deficit last year, though economists say Japan likely stayed in the black with a smaller surplus than a year earlier, helped by returns on foreign investments by Japanese firms.

Japan posts record trade deficit of 19.97 tril. yen in 2022

Japan registered its biggest annual trade deficit of 19.97 trillion yen ($155.27 billion) in 2022, after imports grew far more than exports, boosted by higher energy and raw material costs along with a weaker yen, government data showed on Jan. 19.

english.kyodonews.net

TOKYO : Japan logged the largest current account surplus for the month of November, driven by a record rise in primary income gains from returns on Japanese overseas investment, Ministry of Finance data showed on Thursday.

The primary income surplus, an easing of trade deficits and the weak yen combined to bring Japan's current account surplus to 1.8 trillion yen ($13.65 billion) in November, the highest ever for that month, the data showed.

Japan posts record current account surplus for November

TOKYO : Japan logged the largest current account surplus for the month of November, driven by a record rise in primary income gains from returns on Japanese overseas investment, Ministry of Finance data showed on Thursday.The primary income surplus, an easing of trade deficits and the weak yen...

www.channelnewsasia.com

2) A trade or current account deficit doesn't necessarily mean it's bad as long as it's <3% of GDP. The US has the largest deficit in the world but it's also the world's most powerful economy. Its deficits grow in years when income and job growth is strong, like last year. There are also many advanced countries with trade deficits. For most if not all countries, domestic demand is a stronger source of demand of the economy than net exports.

OTOH, you have Russia and China having record surpluses last year but growth was very weak as sanctions/zero-Covid take a toll on their domestic demand. Would you say zero-Covid is good for China's economy? If China can successfully bring back consumer confidence and demand this year after relaxing Covid restrictions, would you say it's bad for their economy?

 

[beijingwalker]

1) Current account balance is a better indicator than trade balance. Japan still likely recorded a current account surplus despite its record trade deficit as Japan has large amount of amounts of overseas investments generating income. A large portion of other countries' trade surplus (China or Vietnam for example) is actually accrued to Japanese companies.

Japan posts record trade deficit of 19.97 tril. yen in 2022

Japan registered its biggest annual trade deficit of 19.97 trillion yen ($155.27 billion) in 2022, after imports grew far more than exports, boosted by higher energy and raw material costs along with a weaker yen, government data showed on Jan. 19.

english.kyodonews.net

Japan posts record current account surplus for November

TOKYO : Japan logged the largest current account surplus for the month of November, driven by a record rise in primary income gains from returns on Japanese overseas investment, Ministry of Finance data showed on Thursday.The primary income surplus, an easing of trade deficits and the weak yen...

www.channelnewsasia.com

2) A trade or current account deficit doesn't necessarily mean it's bad as long as it's <3% of GDP. The US has the largest deficit in the world but it's also the world's most powerful economy. Its deficits grow in years when income and job growth is strong, like last year. There are also many advanced countries with trade deficits. For most if not all countries, domestic demand is a stronger source of demand of the economy than net exports.

OTOH, you have Russia and China having record surpluses last year but growth was very weak as sanctions/zero-Covid take a toll on their domestic demand. Would you say zero-Covid is good for China's economy? If China can successfully bring back consumer confidence and demand this year after relaxing Covid restrictions, would you say it's bad for their economy?

lol, so record trade surplus is bad and deficit is good, nice, hope Japan enjoys this record trade surplus every year and we suffer this record trade surplus continuously.

 

[Mista]

lol, so record trade surplus is bad and deficit is good, nice, hope Japan enjoys this record trade surplus every year and we suffer this record trade surplus continuously.

Superb comprehension you have there, not unexpected from you.

 

[AZADPAKISTAN2009]

Force to buy Russian Oil in end

 

[beijingwalker]

Force to buy Russian Oil in end

Energy cost also pushed up inflation, but Japan dares not to disobey US order on banning Russia

Japan's Inflation Hits 4% for the First Time Since 1981

• Prices gain the most since 1981 led by energy, processed food
• BOJ still sees inflation cooling below 2% in next two years

2023年1月20日

Japan’s inflation hit 4% for the first time in more than four decades, an outcome likely to keep speculation of a monetary policy change smoldering as prices grow at twice the pace targeted by the Bank of Japan.

Consumer prices excluding fresh food rose 4% in December from a year ago, the internal affairs ministry reported Friday.

Japan’s Inflation Hits 4% for the First Time Since 1981

www.bloomberg.com

Superb comprehension you have there, not unexpected from you.

lOl, of course , your statement is very loud and clear.

 

[casual]

probably has more to do with yen exchange rates and BOJ refusing to let up on low interest rates

 

[kankan326]

1) Current account balance is a better indicator than trade balance. Japan still likely recorded a current account surplus despite its record trade deficit as Japan has large amount of amounts of overseas investments generating income. A large portion of other countries' trade surplus (China or Vietnam for example) is actually accrued to Japanese companies.

Japan posts record trade deficit of 19.97 tril. yen in 2022

Japan registered its biggest annual trade deficit of 19.97 trillion yen ($155.27 billion) in 2022, after imports grew far more than exports, boosted by higher energy and raw material costs along with a weaker yen, government data showed on Jan. 19.

english.kyodonews.net

Japan posts record current account surplus for November

TOKYO : Japan logged the largest current account surplus for the month of November, driven by a record rise in primary income gains from returns on Japanese overseas investment, Ministry of Finance data showed on Thursday.The primary income surplus, an easing of trade deficits and the weak yen...

www.channelnewsasia.com

2) A trade or current account deficit doesn't necessarily mean it's bad as long as it's <3% of GDP. The US has the largest deficit in the world but it's also the world's most powerful economy. Its deficits grow in years when income and job growth is strong, like last year. There are also many advanced countries with trade deficits. For most if not all countries, domestic demand is a stronger source of demand of the economy than net exports.

OTOH, you have Russia and China having record surpluses last year but growth was very weak as sanctions/zero-Covid take a toll on their domestic demand. Would you say zero-Covid is good for China's economy? If China can successfully bring back consumer confidence and demand this year after relaxing Covid restrictions, would you say it's bad for their economy?

Japanese investments already sound alarm in China market. Japanese car sales dropped 40% in recent months. US doesn't care about trade deficit simply because it prints trade currency. While others don't.

 

[beijingwalker]

Japanese investments already sound alarm in China market. Japanese car sales dropped 40% in recent months. US doesn't care about trade deficit simply because it prints trade currency. While others don't.

Yes, it's common sense, because of dollar domination US can live with massive trade deficit, even comfortably, but other countries can't.

 

[Mista]

Japanese investments already sound alarm in China market. Japanese car sales dropped 40% in recent months.

Still doesn't stop Japan from recording current account surpluses.

US doesn't care about trade deficit simply because it prints trade currency. While others don't.

Lol relative to GDP Japan prints more than the US.

Trade is not a zero sum game. The world does not need to gain trade surpluses against Mars for its economy to grow and its inhabitants' standards of living to improve.

One country's surplus is another country's deficit. Should all deficit recording country reflect on themselves why they have recorded deficit every year? As long as the deficit is reasonable (<3% of GDP) and doesn't jeapordize its financial system, it isn't too much of a concern. And Japan does have a large position in net external assets.

 

[beijingwalker]

One country's surplus is another country's deficit. Should all deficit recording country reflect on themselves why they have recorded deficit every year? As long as the deficit is reasonable and doesn't jeapordize its financial system, it isn't too much of a concern. And Japan does have a large position in net external assets.

Record high deficit of $155.27 billion is not a concern? how about record high inflation?

 

[Indos]

Record high deficit of $155.27 billion is not a concern? how about record high inflation?

It is a concern, but what Mista means is that Japan can still manage it due to its large overseas investment.

So Japan economy is unlikely to fall as some members suggest, they can still cope it

 

[Mista]

It is a concern, but what Mista means is that Japan can still manage it due to its large overseas investment.

So Japan economy is unlikely to fall as some members suggest, they can still cope it

He can't even differentiate between trade balance current account balance lol. He's posting this just because he hate Japan.

 

[beijingwalker]

It is a concern, but what Mista means is that Japan can still manage it due to its large overseas investment.

So Japan economy is unlikely to fall as some members suggest, they can still cope it

It's definitely a concern, as for if Japan's economy will rise or fall, it's still too early to tell. but Japan has been in the red for too long

Trade Balance by Country

www.macrotrends.net

He can't even differentiate between trade balance current account balance lol. He's posting this just because he hate Japan.

Why you try so hard to go off topic.

 

[Indos]

It's definitely a concern, as for if Japan's economy will rise or fall, it's still too early to tell. but Japan has been in the red for too long

Trade Balance by Country

www.macrotrends.net

Why you try so hard to go off topic.

I dont see Japan on the data you show, Japan is able to be in the black since 2016 and now since 2021 due to higher energy and commodity prices they are in the red again.

https://www.imf.org/external/datamapper/profile/JPN

UNCTADstat - General Profile: Japan

Overview of key economic statistics. The statistical themes covered are: International trade, economic trends, foreign direct investment, external financial resources, population and labor force, information economy and maritime transport.

unctadstat.unctad.org

 

[beijingwalker]

I dont see Japan on the data you show,

The third one from the bottom