Main import partners of Japan 2023

Japan receives almost half of its commodity imports from Asia, as China remains a key trade partner. In 2023, commodities imported from China accounted for a 22.2 percent share of imports on a value basis. The United States followed as the second-largest source of goods entering Japan, while it overtook China as the leading export partner in 2023.

What goods are entering Japan?

The country’s low energy self-sufficiency and lack of reserves makes mineral fuels like petroleum, liquified natural gas, and coal a key import item. Another commodity group important to domestic manufacturers is electrical machinery, including semiconductors and communications devices. As Japan is home to prominent multinational corporations in the automotive, technology, and consumer electronics industries, semiconductors have become a strategic element to the country’s economic success. While the Japanese government plans to revive the domestic semiconductor industry through financial support, imports of integrated circuits from production areas like Taiwan and South Korea are needed to meet demand.

Japan’s import position in the global market

Japan’s current account of goods and services is characterized by a deficit as imports exceed exports. The country managed to shrink the deficit in the last decade, but it grew again since 2022. A jump in mineral fuel prices and the weakening of the yen compared to major currencies like the U.S. dollar and euro drove up import costs. Apart from China, major trade partners with whom Japan recorded a negative trade balance include mostly suppliers of mineral fuels like Australia, Saudi Arabia, and the United Arab Emirates.