Weaker yen, costly oil push Japan’s trade deficit higher

By ELAINE KURTENBACH
AP Business Writer

Japan has reported a much bigger than expected trade deficit for March as a weaker yen and high oil prices pushed costs of imports sharply higher. Preliminary customs figures released Wednesday showed exports rose nearly 24% and imports surged 33%. For the fiscal year ending in March, the trade deficit widened to a seven year high of about $42 billion. The Japanese yen has weakened against the dollar as the Federal Reserve has begun raising interest rates to tamp down inflation that is at 40-year highs. Japan also is paying more for imports as the war in Ukraine plus rising demand from economies recovering from the pandemic push prices of oil and other commodities higher.