In this Aug. 17, 2020 file photo taken from a Mainichi Shimbun helicopter, automobiles are seen parked prior to export at Kawasaki Port in Kanagawa Prefecture. (Mainichi)
TOKYO (Kyodo) -- Japan's current account surplus for May rose 85.3 percent from a year earlier, with a significant increase in exports that recovered from a slump last year hit by the coronavirus pandemic, government data showed Thursday.
The current account balance, one of the widest gauges of international trade, marked a surplus of 1.98 trillion yen ($18 billion), up for the third straight month to log the 83rd consecutive month of black ink, the Finance Ministry said in a preliminary report. In April, the surplus posted a more than six-fold jump.
The country's goods trade balance came to a surplus of 2.0 billion yen, a turnaround from a 512.5 billion yen deficit a year ago, as exports increased 46.5 percent to 6.18 trillion yen.
The value of shipments to Asian nations expanded 32.5 percent, and those to North America soared 94.0 percent, boosted by strong demand for car-related products and semiconductor-producing equipment, a ministry official told reporters.
In May 2020, Japan's exports were hit hard by shrinking overseas demand for cars, auto parts and other products as many major cities abroad were placed under hard lockdowns, adding to slowing production activities amid the spread of coronavirus infections in Japan.
Imports also rose 30.6 percent to 6.18 trillion yen. Purchases of crude oil expanded nearly threefold in terms of value on higher prices. Those of pharmaceutical products increased 61.2 percent, possibly pushed up by surging demand for COVID-19 vaccines, the official said.
The services trade deficit shrank to 255.5 billion yen from 271.1 billion yen the previous year, thanks to a recovery in charges Japanese companies receive for their patents, other intellectual property rights and shipping export items, the official said.
The surplus in primary income, which reflects returns on overseas investments, rose 18.8 percent from a year earlier to 2.45 trillion yen, lifted by increases in returns on direct overseas investments and dividend payments that domestic companies received from their overseas subsidiaries.
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