Japan trade surplus slips 40pc in Oct

TOKYO, Nov 20 (AFP): Japan's October trade surplus shrank 40.7 per cent from a year earlier as growth in exports were eclipsed by higher costs of importing crude oil and petroleum products, the government said Monday.

The world's third-largest economy logged a surplus of 285.4 billion yen ($2.5 billion), down from a 481.2-billion-yen surplus a year earlier, according to data from the finance ministry.

The latest figure was modestly lower than market expectations of a 330-billion-yen surplus, but still the fifth consecutive month of booking a black figure.

Exports rose for the 11th consecutive month on robust shipments of automobile and electronic parts including organic chemicals and semi-conductors.

Imports grew for a 10th monthly rise, boosted mainly by higher bills for crude oil, petroleum products and coal.

The ministry also said the yen was on average 9.8 per cent cheaper against the US dollar in October compared to the same month the year earlier, making Japan's imports costlier. Japan's politically sensitive trade surplus with the United States grew 11.3 per cent-the fourth monthly rise in a row-on increased exports of power generating machines, construction machines and computer parts.