TOKYO - Japan's trade deficit nearly doubled in the first half of fiscal 2026 to 2.8184 trillion yen, driven largely by surging crude oil prices following turmoil in the Middle East, while the value of oil imports from the United States increased nearly ninefold as Japan sought alternative sources of supply.
Trade statistics released on October 21 showed that the country's trade balance, calculated by subtracting imports from exports, recorded a deficit of 2.8184 trillion yen during the April-September period, approximately twice the level recorded in the same period of the previous fiscal year.
The widening deficit was primarily attributed to higher crude oil prices resulting from instability in the Middle East, which pushed up Japan's energy import costs. The value of crude oil imports increased 26.3% from a year earlier, adding significantly to the country's overall import bill.
Imports of crude oil from the United States recorded particularly strong growth, with their value rising to nearly nine times the previous year's level. The sharp increase reflects Japan's efforts to diversify its energy supply and secure alternative sources of crude oil outside the Middle East.
The figures highlight the impact of higher energy prices on Japan's trade balance, as the country increasingly turns to alternative suppliers to reduce its reliance on Middle Eastern oil.
Source: FNN
