Japan trade surplus with US shrinks for second month

Japan's sensitive trade surplus with the United States shrank sharply for the second consecutive month, according to official data published Wednesday, as Tokyo nervously eyes Washington's trade war with China.

The surplus came in at 455.8 billion yen ($4.05 billion) in August, as the rise in US aerospace, natural gas and coal imports outpaced Tokyo's exports of pharmaceutical and construction products.

US President Donald Trump has reportedly cited Japan as his next target after China as he seeks to reduce Washington's trade deficit.

The US-China trade war has shown no sign of cooling, with Trump moving forward with tariffs on $200 billion in Chinese imports, sparking immediate retaliation from Beijing.