Quarterly Survey of Overseas Subsidiaries

Trade Transactions

(1)Current situation of imports and exports

• Exports by domestic parent companies totaled 9 trillion and 712 billion yen, up by 4.6% compared to the same period of the previous year, compensating the domestic sales decrease as was the case with the previous period. In terms of business categories, exports increased in nine industries like transport machinery industry.
  
  The amount of Import by domestic parent companies totaled 2 trillion and 94.6 billion yen, down by 6.1% compared to the same period of the previous year. In terms of business categories, imports decreased in nine business categories like OTHER BUSINESSES.
• In light of comparison of DI between the current and previous period regarding the prospects for October 1998-March 1999, the DI went down by 0.3 points from -8.5 to -8.8 for exports and up by 3.1 points from -14.0 to -10.9 for imports, marking a relative upturn for imports compared to the previous period. In terms of business types, exports decreased in seven industries like electrical equipment industry while imports increased in eight industries like transport machinery industry.

(2)Inter-company trade transactions between parent companies and their overseas subsidiaries

• Exports from domestic parent companies to their overseas subsidiaries totaled 4 trillion and 419.2 billion yen, up by 11.4% from the same period of the previous year. The amount accounts for 45.5% of all the exports by parent companies, expanding by 2.8 percentage points from the same period of the previous year.
• Imports from overseas subsidiaries to their parent companies totaled 736.2 billion yen, up by 2.4% from the same period of the previous year, in contrast to a decrease in total amount of import by domestic parent companies.
  
  Imports from overseas subsidiaries accounts for 35.1% of all the imports to domestic parent companies, up by 2.9 percentage points from the same period of the previous year.
• The balance of payments between domestic parent companies and their overseas subsidiaries shows a surplus of 3 trillion and 683 billion yen for domestic parent companies, with the surplus expanding 13.4% compared to the same period of the previous year. In terms of business categories, the excess was large in transport machinery and electrical machinery industries, which accounts for 85.1% of all the surplus for domestic parent companies.