Mount Fuji, Japan

Japan PMI February 2022

Japan: Composite PMI falls deeper into contractionary territory in February

The Jibun Bank Composite Purchasing Managers’ Index (PMI)—which combines the PMIs of the services and manufacturing sectors—slipped lower to 44.6 in February according to a flash reading, down from January’s final figure of 49.9. As such, the reading moved further below the 50-threshold, indicating a deterioration in operating conditions for the second consecutive month.

Concurrently, the services PMI plunged to 42.7 in February from 47.6 in January, on the back of a fall in demand amid the rapid spread of the Omicron variant. On the manufacturing side, the PMI fell to a five-month low of 52.9 in February from 55.4 in the prior month. The reading reflected declining output and lower growth in new orders, but still marked the thirteenth consecutive month of improving conditions.

Commenting on the reading, Usamah Bhatti, economist at IHS Markit, reflected:

“Activity at Japanese private sector businesses contracted sharply during February as the Omicron variant of Covid-19 led to record case numbers and renewed restrictions in Japan. The decline was the second in successive months though was the sharpest recorded for 20 months and came amid the steepest downturn in the services sector since the first wave of the pandemic in May 2020.”

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