Japan has reported its exports fell in May as shipments of autos to the U.S. dropped nearly 25% from a year earlier due to higher tariffs imposed by President Donald Trump.

US President Donald Trump’s tariffs threaten to batter Japan’s vital auto industry and derail the country’s long-standing efforts to engineer a sustainable economic recovery. With the 25% US tariff now in place on cars and auto parts,

TOKYO—Japan’s exports declined for the first time in eight months in May, highlighting the impact of President Trump’s tariffs. Exports, a main engine of growth for Japan’s economy, fell 1.7% in May from a year earlier.