Mount Fuji, Japan

Japan Industry September 2018

Japan: Industrial production contracts in September

Industrial production declined 1.1% on a month-on-month and seasonally-adjusted basis in September, contrasting August’s 0.2% increase. The print represented the first contraction in three months and exceeded the 0.3% drop that market analysts had expected.

The categories that drove the month-on-month contraction were transport equipment and general-purpose, production and business oriented machinery. Falling output for these categories was partially offset by increases in electronic chemicals (excluding drugs), fabricated metals and petroleum and coal products.

On an annual basis, industrial output fell 2.9% in September, contrasting the 0.2% increase registered in August. Annual average growth in industrial production ticked down from 2.6% in August to an over one-year low of 2.1% in September.

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