December Trade Statistics

◆According to December 2014 trade statistics, export value grew for the fourth consecutive month at +12.9% y/y, while exceeding market consensus at +11.2% y/y. This was due to the progressively weak yen, which caused export price to grow considerably by +8.7% y/y. In addition, export volume grew for the first time in two months by +3.9% y/y, helping to push up the export value. The seasonally adjusted figure for export value grew by +2.0% m/m, its seventh consecutive month of growth. The growth trend in export value continues as prices rise due to the progressively cheaper yen.

◆December import value grew for the first time in two months at +1.9% y/y. As was the case with export volume, the import price was given a boost by the weak yen at +3.8% y/y, helping to push up import value. However, the decline in the international commodities market was a factor working toward a decline in import prices, and the extent of growth in import price shrank in comparison to the previous month, recording +5.7%. Compared to the extent of growth recorded by export prices, growth in import price was fairly small on a y/y basis.

◆The trade balance recorded a deficit for the thirtieth consecutive month at -660.7 bil yen. However, this figure is about half the amount recorded during the same month of the previous year. In seasonally adjusted terms, import value marked time in contrast to the growth trend in export value. In seasonally adjusted terms, the trade balance recorded -712.1 bil yen, representing the third month in a row the trade deficit actually shrank.