Fumiya Kokubun, chairman of the Japan Foreign Trade Council, said that the trade deficit is expanding due to rising energy prices and accelerating depreciation of the yen. , expressed concern.
Last month, Japan's trade deficit was the largest ever in a single month due to rising energy prices such as crude oil against the backdrop of the situation in Ukraine and accelerating depreciation of the yen.
Regarding the current situation in which the depreciation of the yen is leading to an increase in the trade deficit, Chairman Kokubun of the Japan Foreign Trade Council said at a regular press conference on the 21st that companies have moved their production bases overseas, making it possible for the yen to continue to appreciate. He expressed concern that the structure in which exports increased due to lower prices and the trade balance improved was beginning to collapse.
In addition, "Considering the impact on prices, the acceleration of the depreciation of the yen and the rise in energy and food prices due to the invasion of Russia will be a double blow for Japan, and it is clear that further rapid fluctuations toward a depreciation of the yen are undesirable. Even in the trading industry, I think it will be difficult for each company to deal with this," he said, acknowledging that government support measures may be necessary.