Mount Fuji, Japan

Japan Investment September 2018

Japan: Machinery orders plummet to an all-time low in September

In September, core machinery orders, a leading indicator for capital spending over a three- to six-month period, logged the sharpest contraction since records began in 1987. The dismal performance reflected a strong earthquake and a typhoon in September, which disrupted economic activity, as well as a base effect from healthy expansions in the previous two months. Headline machinery orders (private sector, excluding volatile orders) fell 18.3% in September from the previous month in seasonally-adjusted terms, contrasting the 6.8% increase in August. The print was well below the 9.0% decrease expected by market analysts.

Both manufacturing and non-manufacturing orders recorded a sharp decline in September as did export orders.

Compared to the same month of the previous year, core machinery orders contracted 7.0% in September, contrasting August’s 12.6% rise. The annual average variation in core machinery orders fell from 3.5% in August to 3.2% in September.

Japan Fixed Investment Forecast

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest