Japan, the world's fourth-largest economy, conducts nearly $2 trillion in trade with countries around the world every year. It also trades with Bangladesh. The volume of imports and exports, or bilateral trade, between Bangladesh and Japan is only $3.28 billion. Japan is Bangladesh's ninth-largest export destination. Bangladesh mainly imports cars, electronic products, iron and steel from Japan.
At one time, it was widely believed that Japan would become the world's largest economy. Rising from the ruins of World War II, the country emerged as a major industrial power. It once enjoyed near-monopoly dominance in the global markets for automobiles, electronics and technological products.
Japanese products were once synonymous with cars and electronics in the Bangladeshi market. Honda motorcycles dominated the narrow lanes, roads and highways. People once associated the word motorcycle with Honda and colour televisions with Sony.
Ultimately, Japan failed to displace the United States as the world's largest economy. Instead, the country experienced a decline in various indicators, including per capita income. The financial crisis of the 1990s, a growing elderly population and falling behind in information technology amid China's rise all contributed to its failure to realise that ambition.
Despite these pressures and challenges, Japan remains one of the world's largest economies. It is currently the world's fourth-largest economy, with a GDP of approximately $4.44 trillion. Many countries around the world remain closely connected to this economy.
According to data from the Export Promotion Bureau (EPB) and Bangladesh Bank, bilateral trade between the two countries increased to more than $3.28 billion in the 2024–25 fiscal year. Japan is now Bangladesh's ninth-largest export destination globally. However, data on Bangladesh's position among Japan's export destinations were not available.
Bangladesh Prime Minister Tarique Rahman arrived in Japan today, Monday, on a four-day visit. The visit is expected to boost further momentum to bilateral trade between the two countries.
Let's take a look at the volume of Japan's total trade and its leading trading partners.
What is Japan's economy like?
According to World Bank data, Japan's merchandise exports amounted to approximately $708.5 billion in 2025, while imports stood at $725.5 billion. This means the country's total merchandise trade was approximately $1.434 trillion. However, Japan runs a trade deficit in merchandise trade.
Japan's international trade in services has also increased. In 2025, the country's service exports rose by 7.2 per cent to $246.1 billion. During the same period, service imports increased by 7.4 per cent to $269.2 billion.
In other words, Japan's total international trade amounted to approximately $1.98 trillion in 2025.
Japan is one of the world's largest exporters and importers. However, its market is not entirely open. There are various non-tariff barriers, particularly on imports in the agricultural sector. According to the latest World Bank data, foreign trade accounted for 45 per cent of Japan's gross domestic product (GDP) in 2024.
Japan's main export sectors are automobiles and technological products. In 2025, motor vehicles accounted for 14.3 per cent of the country's total exports. Japan also exports electronic circuits, semiconductor manufacturing equipment, gold, automobile parts and various types of machinery.
Meanwhile, its major import categories include energy and technological products. In 2025, crude petroleum accounted for 8.5 per cent of Japan's total merchandise imports. Other significant imports include gas, telephones, electronic circuits, computers and coal.
The United States is Japan's largest export market. In 2025, 18.6 per cent of the country's total exports went to the United States. China ranked second, accounting for 17 per cent of Japanese exports. Taiwan, South Korea and Hong Kong followed.
China is Japan's largest source of imports. In 2025, 23.6 per cent of Japan's total imports came from China. The country also imported substantial quantities of goods from the United States, Australia, Taiwan and the United Arab Emirates (UAE).
Relations with US and China
Trade relations with the United States and China are particularly important to Japan's economy. The US is a major market for Japanese automobiles and industrial products. China, meanwhile, is both a major export market for Japan and a source of industrial goods. As a result, relations with these two countries are particularly important for keeping Japan's economy running.
Japan also has particularly important trade relations with the European Union. Japan is the EU's second-largest trading partner in Asia after China. An economic partnership agreement between the two sides came into force in 2019.
Japan is also a member of the Regional Comprehensive Economic Partnership (RCEP). Several countries in the Asia-Pacific region, including China, Australia and South Korea, are parties to the agreement. Together, these countries account for approximately 30 per cent of global GDP.
Two aspects of Japan's trade landscape are clear. On the one hand, the country has a strong position in automobile and technology exports. On the other, its dependence on imports for energy and various industrial inputs influences its trade balance. Global energy prices, demand from major trading partners and changes in global supply chains are all important factors for Japan's economy.