Japan Navigates Trade Challenges Amid Leadership Shift

Japan's exports showed growth, bolstered by shipments to Asia, despite a decline in exports to the U.S. due to tariffs. Newly elected Prime Minister Sanae Takaichi, the nation's first woman leader, advocates bigger public spending and supportive policies for giant exporters, facing political challenges within a divided ruling party.

Amid recent political changes, Japan's exports surged by 4.2% in September, propelled by a significant increase in shipments to Asian markets. This growth offset a decline in exports to the United States affected by tariffs introduced by President Donald Trump.

Japan's trade with Asia saw a sharp 9.2% rise last month, contrasting with a concerning 13.3% drop in exports to the U.S., marking a prolonged decline. Notably, auto shipments to the U.S., crucial for Japan's economy, fell by 24.2%.

The elevation of Sanae Takaichi as Japan's first female Prime Minister marks a significant shift. Known for her conservative views, she supports increased public spending, promising higher wages and a looser monetary policy, favoring weak yen benefits for giant exporters.

(With inputs from agencies.)