20230831 Data Watch

Japan has lagged behind other countries in Europe and Asia in imposing taxes on consumer goods imported by individuals. 

Surging e-commerce imports threaten Japan's retail sector

Parcel deliveries of cross-border merchandise jumped 2.4 times over three years

TOKYO -- Imports of apparel and other consumer goods by individuals have risen sharply in Japan as people increase cross-border purchases of duty-free items online. Led by a surge in shipments of small-lot cargoes for home delivery, the number of import permits issued by Japan topped 100 million in 2022, more than double the level of 2019.

But experts on the nation's retail sector are worried about the impact of this trend, as many foreign items that are purchased online are exempt from Japan's consumption tax and tariffs and thus have a price advantage over local goods.

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