The Dollar-Yen Is Making US Firms Move Production to Japan

Episode 99 of The Trade Deficit Podcast. Lucas and Luna explore how a prolonged dollar-yen above 162 is pushing US manufacturers to open production lines in Japan and Southeast Asia. Using May trade balance data showing a $77.6 billion deficit — up from $54.6 billion — they trace the shift from exporting goods to exporting factory jobs. The hosts discuss Toyota's Tennessee engine plant being partially duplicated in Aichi Prefecture, and what the rising yen-denominated repatriation of profits means for the current account. They also touch on how China's export curbs on rare earths and Europe's heatwave-driven AC demand complicate the picture. A concrete look at how currency misalignment reshapes real supply chains. #DollarYen #TradeDeficit #USManufacturing #Japan #Toyota #CurrencyWar #SupplyChain #BOJ #FOMC #Exports #Imports #BalanceOfPayments #Yen #ProfitRepatriation #Economics #FexingoBusiness #BusinessPodcast #Macro Keep every episode free: buymeacoffee.com/fexingo