Japan’s industrial output stutters in November as global risks pressure growth
Industrial output contracted by 1.1% in November on a month-on-month basis due to a pullback in output from the general-purpose machinery segment.
Japan’s factory output shrank for last month, reversing from the gains in October, government data showed on Friday.
Industrial output contracted by 1.1% in November on a month-on-month basis due to a pullback in output from the general-purpose machinery segment. The reading contrasts from a 2.9% increase in October. Economists had expected a 1.9% decline for the month.
Manufacturers are feeling dismal towards industrial output performance in the coming months. Based on a survey by the Ministry of Economy, Trade and Industry, manufacturers expect output to rise 2.2% in December but to fall by 0.8% in January.
After a slew of natural disasters which hit the nation from July to September this year, affecting businesses and disrupting factory production, economists expect the country to rebound for the last quarter of the year.
However it remains to be seen for the trade-dependent economy as the world continues to be mired in global risks such as the China-United States (US) trade war, US fiscal and monetary policies, and trade protectionism stance seen from some countries.
Live prices on most popular markets