Japan's Food Exports Decline Amidst China Trade Dispute

Japan's food exports dipped 1.8% in the first half of 2024, totaling 701.3 billion yen. This marks the first decline in four years, largely due to a 43.8% drop in exports to China. China banned Japanese seafood imports in August 2023, reacting to the release of treated wastewater from Fukushima.

Exports to the U.S. surged 19.9%, reaching 115.6 billion yen, positioning it as the top export destination for the year. Meanwhile, shipments to Hong Kong fell 10.5%.

Despite the setback with China, exports to other regions, excluding China and Hong Kong, rose 14.3%. This growth was fueled by increased demand in the U.S. and Europe, and a favorable exchange rate.

Scallop exports, heavily reliant on China, dropped 37.2%. Japan is now shifting focus to Southeast Asia and Latin America for processing, with significant increases in scallop shipments to Vietnam and Thailand.

The Japanese government targets boosting these exports to 2 trillion yen by 2025 and 5 trillion yen by 2030. However, the ongoing trade issues with China and Hong Kong pose challenges to these ambitious goals.