Japan's trade surplus was sharply higher in August compared with a year earlier as companies shipped more cars and steel to global markets.
Bank of Japan Governor Toshihiko Fukui also maintained his upbeat view of the economy on Thursday, telling a securities industry gathering that continued growth in exports and capital spending were helping the economy expand gradually.
The trade surplus widened 95.5 per cent to 200.5 billion yen as exports to the United States grew 19.3 per cent, and sales to China expanded 20 per cent, government data showed.
The value of exports of cars to the United States rose 49.3 per cent from a year earlier, the fastest pace since January 1997. Analysts had expected an overall surplus of 451 billion yen, which would have been a rise of 340 per cent.
But imports rose more strongly than anticipated, mainly due to high oil prices. Exports rose 17.7 per cent from a year earlier to mark the 33rd straight month of increase.
Imports were up 16.1 per cent to rise for the 30th consecutive month, as high oil prices inflated the value of Japan's import bill.
Crude oil import prices in August were the highest on record, at an average of $71.80 per barrel.
On a seasonally adjusted basis, the overall trade surplus fell 12.8 per cent from the previous month to 685.8 billion yen.