Japan trade deficit grows as oil prices surge, yen drops

YURI KAGEYAMA
AP Business Writer

TOKYO (AP) — Japan has reported its trade deficit for the first half of this year totaled nearly 8 trillion yen, or about $58 billion, because of surging oil prices and a weakening yen. The deficit for January- June was the second consecutive half-year of deficits. Finance Ministry data released Thursday showed imports shrank nearly 38% in the first half of the year while exports grew 15%. In June, imports surged 46% while exports rose 19%. Imports from the Middle East, source of a large share of Japan’s oil and gas supplies, jumped 125%. The yen has been trading at about 138 yen to the dollar, down from about 110 yen a year ago.