The world’s second largest economy is plunging into depression.
Japan’s exports plummeted 45.7 percent in January, as noted by the BBC News, representing the lowest figure in 10 years. Imports exceeded exports by almost $10 billion, officials said.
Along with the demand for cars – down almost 69 percent – trade in electronics has been hit hard by the lack of consumer spending around the world.
As reported by the BBC News, Japanese exports have fallen at almost the same rate in each of the three major world markets: U.S. Exports are down nearly 53 percent, exports to the European Union fell 47 percent, while exports to Asia were also down 47 percent.
Shipments to China also fell 45 percent, signaling that the global economy is shrinking.
Japan has not witnessed an economic crisis like this since WW II, the government said. The economy is contracting at an annualized rate of 12.7 percent, according to figures from the last quarter of 2008.
World Trade Organization head Pascal Lamy told reporters on a visit to Tokyo that "Japan is particularly vulnerable to this downturn because trade is so central to the economy."
