Japanese exports plunge amid coronavirus pandemic crash



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Japanese exports plunged 19.2% in July from a year earlier, as the coronavirus pandemic slashed global demand for goods from the third largest economy, government data showed on Wednesday.

Provisional figures from the Ministry of Finance show that Japanese imports fell 22.3% in July.

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Exports to the United States suffered particularly, falling 19.5%. Shipments of plastic, iron and steel products, and computer parts weakened.

But Japan recorded its first trade surplus in four months thanks to a recovery in China, where the coronavirus outbreak began.

Exports to China, including metals, paper products and machinery, rose 8.2% in July.

CHINA MANUFACTURING IMPROVES IN JULY, EXPORTS STRENGTHEN

The Japanese economy is heavily dependent on exports, so weak demand in major foreign markets is slowing its growth. The pandemic has caused the temporary shutdown of certain plant productions, stifled tourism and generally harmed economic activity.

So far, the economy has been in recession for the whole of 2020, although it has never experienced a full lockdown. Instead, authorities encouraged people to work from home, wear masks and practice social distancing. Some stores have closed or shortened their hours.

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Japan has so far reported around 1,100 deaths attributed to COVID-19, fewer than hardest-hit countries like the United States and Brazil. Concerns are growing over a recent increase in cases, especially in Tokyo and other urban areas.

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