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Japan's economy has shrunk because the trade war is damaging exports and trust in the market.

Japan's economy has shrunk because the trade war is damaging exports and trust in the market.

B2it-ITen-US

May 23rd, 2025

Japan's economy has shrunk because the trade war is damaging exports and trust in the market.

B2
Please note: This article has been simplified for language learning purposes. Some context and nuance from the original text may have been modified or removed.

en-US

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it-IT

Secondo i dati governativi di venerdì, l'economia giapponese si è ridotta dello 0,7% nel primo trimestre dell'anno. Questo calo è dovuto in parte alla guerra commerciale di Donald Trump, che ha colpito le vendite all'estero e reso i consumatori meno sicuri.

Secondo i primi dati dell'Ufficio di Gabinetto, corretti per le variazioni stagionali, il PIL reale del Giappone (la misura della sua produzione economica) è sceso inaspettatamente dello 0,2% tra gennaio e marzo, segnando il primo calo in un anno.

Exports have decreased by 2.3% each year. Consumer spending has remained steady, while investments in capital have grown by 5.8%.

Trump's tariffs will likely affect major Japanese exporters, especially car manufacturers, not just for goods shipped from Japan, but also from countries like Mexico and Canada. Officials admit that planning a response is difficult, as Trump frequently changes his mind.

"Regional car manufacturers are facing rising running costs and possible income losses, as their sales in the United States rely on different production sites and supply chains," said a report by S&P Global Ratings.

The report also noted that even companies with small sales in the United States could be affected indirectly but significantly, as tariffs influence the global economy and consumer demand.

L'economia giapponese ha difficoltà da anni, a causa di una bassa richiesta di beni e servizi, dell'invecchiamento della popolazione e del calo delle nascite.

The Bank of Japan, which has kept interest rates near zero for a long time, has slowly raised its key rate, pointing to stable wages and gradually rising prices.

Gli ultimi dati, che mostrano una possibile debolezza dell'economia, fanno pensare che la banca centrale potrebbe non aumentare ancora i tassi di interesse.

To help people with money problems, some experts suggest cutting the tax on spending by 10%, like the sales tax in other countries.

However, Prime Minister Shigeru Ishiba has not yet supported this idea. Japan's national finances are under significant strain because of the rising costs of social welfare.

In the last three months of 2024, the economy grew by 2.4% compared to the same period last year.

May 23rd, 2025

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