International
Car exports boost Japan's trade surplus in August - a month when domestic car sales fell for the 26th straight month
By Finfacts Team
Sep 26, 2007, 09:55

At the Diet, Yasuo Fukuda was named the Prime Minister of Japan today, Wednesday, September 26, 2007. He was appointed to the position at the investiture ceremony at the Imperial Palace.

Japan today reported that its trade surplus nearly quadrupled in August, marking the biggest rise in  24 years, resulting from big rises in exports to the rest of Asia and Europe.

Car shipments recovered in August after they slowed in July because an earthquake had disrupted production at car part suppliers. 

Japan's economy had contracted in the second quarter and the domestic economy has been spluttering with car sales at 30-year lows.

Sales in Japan of new cars, trucks and buses fell 1.9% in August from a year earlier to 227,737 units, falling for the 26th straight month, the Japan Automobile Dealers Association said.

Japan's August surplus was$6.5 billion, up 288% - in the biggest annual increase since May 1983. The report was well ahead of market expectations and came after a 21.7% drop in July.

Shipments to the US rose 4.6% in August, accelerating from 1.3%; Exports to the European Union rose 15.6%, faster than July's 13.1%. Growth in exports to China jumped to 23.8% from 20.6%.

Export volumes, which excludes price effects, rose 8.2% last month, the biggest rise since January.

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