Japan Investment
Core machinery orders record largest decline in over one year in May
Core machinery orders—which cover the private sector, exclude volatile orders and are a leading indicator for capital spending over the coming three-to-six-month period—collapsed 7.6% month-on-month in seasonally-adjusted terms in May (April: +5.5% mom). The figure marked the worst reading since February 2022.
On an annual basis, machinery orders dove 8.7% in May, which was notably greater than April’s 5.9% fall and marking the worst result since November 2020. Accordingly, annual average machinery orders growth fell to 0.9% in May (April: +2.1%). This signals a worsening trend in the sector.
Japan Investment Chart
This chart displays Investment (annual variation in %) for Japan from 2013 to 2022.
Japan Investment Data
| 2018 | 2019 | 2020 | 2021 | 2022 | |
|---|---|---|---|---|---|
| Fixed Investment (ann. var. %) | 0.6 | 0.5 | -3.5 | 0.2 | -0.9 |
| Private Non-Residential Inv. (ann. var. %) | 2.3 | -0.7 | -4.7 | 1.1 | 1.9 |
| Government Investment (ann. var. %) | 0.0 | 3.0 | 5.5 | -8.0 | -2.2 |