Japan’s Top Trading Partners

Japan’s top trading partners, in 2023, include China, the United States, South Korea, Taiwan, Hong Kong, Thailand, Germany, Vietnam, Australia, and Singapore.

Strategically located near the East China Sea, Japan borders Russia, China, South Korea, North Korea, Taiwan, and the Philippines by sea.

In 2023, Japan exported $717.3 billion worth of exported goods to its trading partners.

From a continental perspective, 56% of Japanese goods exported went to fellow Asian countries and 24% to North American buyers. Furthermore, It shipped another 13% of its exports to its key trading partners in Europe.

Given Japan’s population of 123.7 million people, $717.3 billion in exports in 2023 translates to roughly $5,800 for every resident in Japan.

Read: China’s Top Trading Partners

Japan’s Top Exports: 2023

The following export product groups categorize the highest dollar value in Japanese global exports in 2023.

• Vehicles ($157.7 billion): Japan is renowned for its high-quality automobiles, with brands like Toyota, Honda, and Nissan being global leaders.
• Machinery, including computers ($130 billion): This category encompasses various products, including industrial machinery, robotics, and electronics manufacturing equipment.
• Electrical machinery equipment ($102.1 billion): Semiconductors, integrated circuits, televisions, cameras, and consumer electronics are key exports.
• Optical, technical, and medical apparatus ($36.2 billion): Japan is known for precision optical and medical devices.
• Iron & steel ($30.6 billion): A crucial industrial material, Japan exports iron and steel products for various applications.
• Plastics, plastic articles ($23.7 billion): A significant export with applications across numerous industries.
• Gems, precious metals ($18.5 billion): High-quality precious metal exports
• Organic chemicals ($14.8 billion): Used to produce various goods, including pharmaceuticals and plastics.
• Refined Petroleum ($12.8 billion): Japan refines crude oil and exports refined products like gasoline and diesel.

Japan’s Main Industries

• High Technology, vehicles, electric machinery, machine tools

Trade Organizations

• World Trade Organization: Ensures Japan’s access to global markets under transparent trade rules.
• Comprehensive and Progressive Agreement for Trans-Pacific Partnership: Strengthens Japan’s trade ties in the Asia-Pacific region.
• Organization for Economic Co-operation and Development: Helps shape global trade norms and policies beneficial to Japan’s interests.
• Asia-Pacific Economic Cooperation: Enhances Japan’s trade presence in Asia-Pacific markets. Promotes free trade and economic cooperation among Pacific Rim countries.
• Regional Comprehensive Economic Partnership: 15 Asia-Pacific nations, including Japan, ASEAN members, China, South Korea, Australia, and New Zealand. Creates the largest free trade agreement globally, covering goods, services, and investments.
• Free Trade Agreements (FTAs): Japan has negotiated multiple bilateral and regional FTAs to enhance trade and economic cooperation. Key agreements include:
  • Japan-European Union FTA
  • Japan-Australia FTA
  • Japan-UK FTA
• G7 & G20: Participates in shaping global trade policies, addressing economic challenges, and enhancing multilateral trade. Platforms for addressing global trade and economic challenges.

Japan’s Top Trading Partners

Below is a list of the Japan’s top trading partners. These countries imported the most Japanese shipments by dollar value in 2023.

• United States ($145.5 billion):  A long-standing and major market for Japanese goods, particularly automobiles and electronics.
• China ($126.8 billion): A significant trading partner, with strong economic ties and a growing demand for Japanese technology and machinery.
• South Korea ($46.9 billion): Close economic & trade ties between the two countries, with trade in electronics, automotive parts, and machinery.
• Taiwan ($42.9 billion): A key destination for Japanese high-tech exports, including semiconductors and electronic components.
• Hong Kong ($32.7 billion): A vital trade hub for Japan serving as a gateway for exports to mainland China and other Asian markets.
• Thailand ($29.4 billion): A major market for Japanese automobiles, machinery, and electronics, driven by Thailand’s growing manufacturing sector.
• Germany ($19.3 billion): A major market and importer of Japanese vehicles, machinery, in Europe.
• Singapore ($18.8 billion): A key trading partner and logistics hub, facilitating trade flows between Japan and other Southeast Asian countries.
• Vietnam ($17.2 billion): An emerging market for Japanese exports, driven by Vietnam’s rapid economic growth and increasing demand for Japanese technology and industrial equipment.
• Australia ($16.8 billion): A significant market for Japanese vehicles, machinery, and electrical appliances.

Companies Servicing Japan’s Top Trading Partners

• Aiza Corporation Japan (consumer electronics)
• Akasaka Diesels Limited (marine engines, generators)
• Aktio Corp. (construction equipment)
• Astellas Pharma (pharmaceuticals)
• Canon (business products, supplies)
• Denso (automotive parts)
• Fanuc (industrial products)
• Fuji Latex Co., Ltd. (shock absorbers)
• Fujitsu (information technology)
• Hitachi (conglomerate)
• Honda Motor (vehicles, automotive parts)
• Itochu (trading)
• Japan Tobacco (tobacco)
• Kubota (tractors, excavators, other heavy equipment)
• Mitsubishi Electric (electrical equipment)
• Mitsubishi UFJ Financial Group (financials)
• Nippon Steel (iron, steel)
• Nissan Motor (vehicles, automotive parts)
• Panasonic (electronics)
• SoftBank Group (conglomerate)
• Takeda Pharmaceutical (pharmaceuticals)
• Toyota Motor (cars, trucks)