MNI 5 THINGS: Japan Feb Exports Slow on China; Trade Surplus

     TOKYO (MNI) - Trade statistics from the Ministry of Finance released

Monday.

     * Japanese exports rose 1.8% on year in February, coming in firmer than the

MNI median economist forecast for a 1.4% drop. It was the 15th straight

year-on-year rise but the pace of increase decelerated from +12.3% in January

and double-digit percentage gains in most of 2017 due to slower shipments around

the Lunar New Year holidays.

     * The February export increase was led by higher shipments of automobiles,

aircraft and metal processing machines. Exports to the U.S. and European Union

marked the 13th straight year-on-year gains while those to Asia and China posted

the first y/y drops in 16 months.

     * Japanese officials expect a pickup in exports and production to continue,

leading a modest recovery in the domestic economy.

     * Imports gained 16.5% on year, weaker than the MNI median forecast of

+17.4%. It was the 14th straight year-on-year rise after +7.7% in January, led

by increased purchases of clothing, liquefied natural gas and refined petroleum

products.

     * The February trade balance came to a surplus of Y3.4 billion, compared

with the MNI median forecast for a Y70.1 billion deficit. It was the first

surplus in two months after a deficit of Y944.1 billion in January and a surplus

of Y804.5 billion in February 2017.

--MNI Tokyo Bureau; tel: +81 90-2175-0040; email: hiroshi.inoue@marketnews.com

--MNI Tokyo Bureau; tel: +81 90-4670-5309; email: max.sato@marketnews.com

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