JAPAN'S exports fell by the smallest margin in 10 months in September, showing the slump in its economy may be easing.

Exports were down 30.7 percent in September from a year earlier, the 12th straight month of declines, but the lowest decrease since November of last year, the Ministry of Finance said yesterday. Exports totaled 5.1 trillion yen (US$56 billion). Automotive exports, which make up nearly a fourth of Japan's exports, were down 35.2 percent.

Imports, meanwhile, fell 36.9 percent to 4.6 trillion yen, the smallest drop fall in five months.

Japan's stagnant economy has caused consumers to cut back in spending as unemployment increases, and imports have now fallen for 11 straight months.

Exports to China were down 13.8 percent to 982 billion yen, a smaller decrease than the 27.6 percent fall recorded in August.