The Growth of Japan–U.S. Trade and the Changing Lineup of Key Products
During the Meiji era, Japan regarded the acquisition of foreign currency as a national priority in its effort to strengthen the country.
At the center of this strategy was Japan–United States trade.
Many Japanese merchants and pioneers challenged the American market, but this article does not focus on who succeeded.
Instead, it examines how Japan–U.S. trade itself expanded, and how the composition of exported goods changed over time.
Japan–U.S. Trade in the Early Meiji Period (1870s):
Tea as the Largest Export
Around 1873 (Meiji 6), the largest Japanese export to the United States was tea.
Export value at the time reached approximately 7 million yen, far surpassing any other product.
However, the critical point is that Japan did not fully benefit from these profits.
Much of the trade was handled by:
- Western foreign merchants
- Foreign trading houses
As a result, only a limited share of profits returned to Japanese tea producers.
Although the Japanese government hoped to earn foreign currency by exporting large quantities of domestically produced green tea, the American market proved far more competitive than expected.
The American Market: A “Battlefield of Tea”
In the late 19th century United States:
- Coffee was the dominant after-meal beverage
- The tea market was already controlled by
- British black tea
- Chinese tea
- Ceylon (Sri Lankan) tea
Japanese green tea entered an already saturated market.
North America at the time could truly be described as a “Warring States period of tea.”
Compounding the problem, Japan itself was fragmented by regional brands such as:
- Shizuoka tea
- Uji tea
- Sayama tea
This lack of a unified export system hindered growth abroad.
Another Early Meiji Export: Camphor
Another noteworthy export in the early Meiji period was camphor.
Although export value was relatively small—around 40,000 yen—it was highly valued worldwide for:
- Improving blood circulation
- Pain-relieving effects
Incidentally, the word “camphor” (as in medicinal camphor) derives from the Dutch Camphor, reflecting its global trade history.
The 1880s: Raw Silk Takes Center Stage
By 1883 (Meiji 16), the structure of Japan–U.S. trade had changed dramatically.
Export values that year:
- Tea: approx. 6 million yen
- Raw silk: approx. 6.05 million yen
For the first time, raw silk became Japan’s largest export to the United States.
With improved silk-reeling facilities, government-led industrial policies, and the efforts of Japanese merchants such as Rioichiro Arai, Japanese raw silk gained strong recognition in North America.
Even so, direct trade conducted by Japanese merchants accounted for only about 5% at this stage.
The 1890s: Raw Silk Becomes Dominant
In the 1890s, raw silk exports expanded rapidly:
- Raw silk: approx. 28 million yen
- Tea: approx. 7 million yen
Tea exports stagnated, while trade structure shifted decisively toward silk.
Key reasons included:
Tea producers failed to organize collectively
The United States imposed no tariffs on raw silk
American policy favored producing silk textiles domestically
Why Habutai Silk Sold in America, Filling the Gap That Raw Silk Could Not
Although raw silk dominated exports in the 1890s, silk textiles also deserve attention—especially habutai silk.
By 1895 (Meiji 28), habutai exports reached approximately 5.55 million yen.
Smaller than raw silk, but still a significant figure.
The policy background is important:
The U.S. preferred importing raw silk and manufacturing finished textiles domestically, which explains the lack of tariffs on raw silk.
So why import woven silk fabric from Japan?
Because turning raw silk into cloth required:
- Weaving processes
- Equipment, labor, and time
Habutai arrived already woven, allowing American manufacturers to proceed directly to:
- Dyeing
- Cutting
- Sewing
Habutae was not a “finished product,” but a ready-to-use material.
Its uses included:
- Dyeing to preferred colors
- Hat linings
- Dress linings
By skipping the weaving stage, habutae offered strong practical value.
Thus, even as raw silk dominated, silk fabrics like habutae filled an important niche in American demand.
Hana-mushiro: Why Japanese Straw Mats Sold in America
Another surprising export in the late Meiji period was hana-mushiro.
Hanamushiro were Japanese straw mats decorated with fashionable designs.
By 1895, exports reached approximately 3.08 million yen.
A Rural Inventor from Kurashiki
こBehind this product was Isozaki Shinchi, a farmer from Kurashiki, Okayama.
During the 1880s, he experimented tirelessly with ways to:
- Increase efficiency
- Enable mass production
- Turn straw mat making into an industry
The result was not a simple utilitarian mat, but a decorative, marketable product—the hanamushiro.
Why Did Japanese Straw Mats Sell in America?
At first glance, this seems puzzling.
America already had carpets, rugs, and floor mats.
A report from the New York consulate published in the 1894 Official Gazette provides clues.
The first factor was price:
Hanamushiro sold for roughly 10 to 50 cents per mat, dramatically cheaper than carpets.
They were particularly popular among:
- Rural communities
- Ordinary households rather than wealthy elites
Cheap, exotic in appearance, and practical—an ideal match.
Different Uses on the East and West Coasts
Usage varied by region:
- New York (East Coast):
Used at entrances as carpet substitutes - San Francisco (West Coast):
Hung on walls as decorative items
The same product functioned both as a utility and as interior décor.
Zenjiro Akao and the Hana-mushiro Trade
In the early 1900s, Zenjiro Akao, formerly with Morimura Brothers, became independent and founded Morimura Akao & Co. in New York.
The firm specialized in hana-mushiro trade, showing that the product was recognized as a viable business, not a temporary curiosity.
What Small Exports Reveal About Japan–U.S. Trade
Hana-mushiro were never a main export.
But they demonstrate how:
- Local innovation
- Japanese materials
- Price competitiveness
- Flexible usage
Allowed entry into the American market.
Such “minor exports,” often overshadowed by silk or ceramics, formed the real foundation of Meiji-era trade.
After 1900: Rapid Expansion of Japan–U.S. Trade
Following:
- The Sino-Japanese War
- The Spanish-American War (1898)
- The Russo-Japanese War (1904–05)
- World War I (1914–18)
Japan–U.S. economic ties tightened rapidly.
By 1918, Japanese exports to the United States reached approximately 600 million yen—a 60-fold increase over the 1870s.
Conclusion: Trade as the Backbone of Japan’s Modernization
Behind Japan’s modernization lay the steady expansion of Japan–U.S. trade.
- From tea
- To raw silk
- To silk textiles and crafts
Throughout this process, Japanese merchants such as Toyo Morimura, Ryōichirō Arai, and Yasukata Murai continued to challenge the American market.
Japan’s entry into the global economy was built not on a single breakthrough, but on the accumulation of these persistent, often overlooked efforts.