Japan’s goods trade deficit shrank in May for the second straight month, as imports were tepid with the first consumption tax hike in 17 years from April 1 dragging down personal spending and industrial output at home, the government said Wednesday.
Japan’s Finance Ministry said in a preliminary report, the country’s trade deficit stood at 909.0 billion yen last month, marking the 23rd straight month of red ink but contracting 8.3 percent from a year earlier, according to Japan’s (Kyodo) News Agency.
The value of imports fell 3.6 percent to 6,516.5 billion yen, down for the first time in 19 months, with those of crude oil plunging 15.1 percent and of coal plummeting 24.4 percent, suggesting production activities have been petering out after the tax hike.