Japan recorded a 1.01 trillion yen ($6.2 billion) trade deficit during the first half of 2026, according to preliminary government data. This does not mean that Japan will collapse tomorrow, but it is another crack in the foundation of a debt structure that can no longer withstand rising interest rates, a collapsing currency, and imported inflation.
Japan’s exports increased 13.7% during the first six months of the year to 60.66 trillion yen. Imports rose 10.7% to around 61.9 trillion yen. Yet Japan still imported more than it exported despite a yen so weak that Japanese products should be extremely competitive abroad.
The June figures reveal exports rose 19.3% year-over-year...
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