Japan trade deficit surges to record on weak exports

Japan’s trade deficit ballooned to a record in the first half of the year as exports fell further in June, data showed Thursday, ramping up pressure on the central bank to unveil fresh measures to boost the economy. The figures come days after the government cut its fiscal year growth forecasts, blaming weak exports and a jump in imports as well as the negative impact of an April sales tax hike on consumer spending and business confidence. Thursday's data from the finance ministry showed the country logged a record 7.60 trillion yen ($74.7 billion) deficit for the first six months of the year, expanding 58 per cent from a year earlier. The half-year figures were released with June data that showed the monthly deficit more than quadrupled to 822.2 billion yen from 180.5 billion yen a year earlier and blowing past market expectations of 684.7 billion yen. Japan has now logged 24 consecutive monthly trade deficits. Last month, exports fell 2.0 per cent year on year to 5.94 trillion yen while imports rose 8.4 per cent to 6.76 trillion yen, according to AFP.