Japan's exports tumble as US demand collapses

Workers wearing protective face masks work under flow ducts to avoid heatstroke during summer season, amid the coronavirus disease (COVID-19) outbreak, at Marelli's factory in Ora Town, Gunma Prefecture, Japan July 30, 2020. Picture taken July 30, 2020. REUTERS/Naomi Tajitsu

TOKYO: Japan's exports extended their double-digit slump into a fifth month in July as the Covid-19 coronavirus pandemic took a heavy toll on auto shipments to the United States, dashing hopes for a trade-led recovery from the deep recession.

Meanwhile, core machinery orders, a leading indicator of business spending, unexpectedly fell to a seven-year low in June, dashing hopes domestic demand would make up for some of the slack from sluggish global growth.