Japan's trade deficit narrowed to €13 billion for the first six months of the year, as the country's exports were hit by President Donald Trump's tariffs.
In June, Japanese exports shrank by 0.5% year-on-year, following a 1.7% drop in May.
Japan's exports to the United States also fell 11% in June, driven by a 26.7% drop in car exports following the US's imposition of a 25% tariff on car imports in April.
Japan's total exports in June fell for the second straight month to €53 billion, with a trade surplus of €890 million compared to a deficit of €3.7 billion in May.
In the first half of the year, Japan's exports rose by 3.6% to €310 billion, while imports also rose 1.3% to €320 billion.
In addition, Japan and the US have been holding trade talks, with Japanese officials stressing that they are a key US ally.
Customs data also shows that almost a fifth of the total value of exports in 2024 will go to the US, making trade deals with the country crucial to its economy.
Japan's economy is now at risk of contracting again in the second quarter due to its reliance on exports after recording a decline in the first quarter.
