Japan’s trade surplus narrowed to JPY 153.1 billion in June 2025 from JPY 221.3 billion a year earlier, falling short of market expectations for a JPY 353.9 billion surplus. Exports declined 0.5% year-on-year to JPY 9,162.6 billion, marking the second consecutive monthly drop and missing forecasts for a 0.5% gain, as rising U.S. tariffs weighed on overseas demand. Meanwhile, imports edged up 0.2% to JPY 9,009.5 billion, pointing to the first increase in three months and beating the consensus of a 1.6% decline, driven by government support measures aimed at bolstering domestic demand from both households and businesses.