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  HOME | Business & Economy (Click here for more)

Japanís Machinery Orders Increased by 10.1% in April

TOKYO Ė Machinery orders in Japan rose 10.1 percent in April compared to the previous month, reaching 943.1 billion yen ($8.61 billion), the Japanese government announced on Monday.

The rise of this indicator, which excludes orders of power plants and shipyards due to their excessive volatility, contrasts with the 3.9-percent month-on-month decline recorded in March and is notably higher than the 2.1-percent increase seen in February.

The total orders of Japanís manufacturing sector increased 22.7 percent in the fourth month of the year, while the non-manufacturing sector grew 0.4 percent, according to data published by the Cabinet Office.

In the manufacturing sector, the rise of machinery orders for the shipbuilding sector stood out at 285 percent, as well as those for non-ferrous metals and the paper industry sector, which hit 159.2 percent and 118.4 percent, respectively.

Meanwhile, more pronounced falls were recorded among orders for chemical (-32 percent), oil and coal (-31.1 percent), electrical machinery (-20 percent) and food and beverage (-2.8 percent).

In the non-manufacturing sector, the most remarkable increase in orders was seen in the electricity companies and in the information services industry, at 94.4 percent and 31.7 percent, respectively.

The most marked drop in orders was in the transport sector and postal services, at 32 percent, and in real estate, at 27.5 percent.

Machinery orders are regarded as an indicator of fixed capital spending of Japanese firms over the next six months.

 

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