AI Data Insight
Japan's Q2 (May 2026) total import year-on-year growth rate climbed to 12.5%, expanding further from the previous 9.7%, though slightly below the market expectation of 12.8%. Despite a decline in the real volume of imports, the massive import value—driven by the sharp depreciation of the yen and strong demand for AI chips—has once again turned Japan's trade balance into a deficit. Looking ahead, it is necessary to continue monitoring the upward risks to energy prices and inflation posed by Middle Eastern geopolitics.