Japan exports surge 11.7% despite Iran war

Japan's exports surged 11.7% year-over-year in March 2026, marking the second-highest growth rate since May 2024 and accelerating sharply from February's 4.0% increase. The growth was primarily driven by exports to China, which rose 17.7%, with semiconductors and electronic components leading the expansion. This economic resilience comes despite ongoing global tensions from the Iran war, which has disrupted shipping and trade routes worldwide. The data suggests Japan's export sector is adapting to the conflict's challenges while capitalizing on demand from key Asian markets.