Japan Exports Droped in January 2009

Imports exceeded exports for 952.6 bn yen ($ 9.9bn, £ 6.8bn). It's the biggest difference since records since 1980. The demand for Japanese cars, in particular, was reduced by 69%.

The trade of electronics and other goods has also slumped as the global economy and consumer spending contracts, pushing Japan into recession deeper.

"Japan is particularly vulnerable to this situation because trade is so central to the economy," World Trade Organization chief Pascal Lamy told reporters on a visit to Tokyo.

Japanese exports to America, where the global recession began, fell almost 53 percent in January, while shipments to the European Union fell by 47%, the Ministry of Finance of Japan said.

"Exports to Asia, particularly China, are falling at about the same pace as shipments to the United States, indicating that even China's economy can be reduced," said Takeshi Minami, chief economist at Norinchukin Research Institute. Exports to Asia fell by 47%, while China fell to 45%.

The government said last week that Japan's economy is in its worst crisis since World War II, having contracted at an annual rate of 12.7% in the last quarter of 2008. This was his worst performance in nearly 35 years, officials said. Among those hit hard by the global recession are export-oriented Japanese electronics makers. And manufacturers, who have had to cut production and eliminate jobs amid a sharp downturn in 8global demand. Pioneer has announced 10,000 layoffs and cut Sony is its global workforce of 8,000 positions.

Meanwhile, Barack Obama and Mr Aso agreed to work together to stimulate economic demand and the fight against protectionism. America and Japan are the largest economies in the world and the second largest.