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Japan's core private-sector machinery orders drop for 4th straight month in October

2019-12-19    Author:   Source:Xinhua   Views:1093    


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Japan's core private-sector machinery orders dropped in October from a month earlier, marking the fourth straight monthly decline, owing to consternation about a global economic slowdown, the government said in a report on Thursday.

According to the Cabinet Office, the orders, excluding those for ships and utilities because of their volatility, fell 6.0 percent in October from the previous month, totaling 798.85 billion yen (7.35 billion U.S. dollars).

October's reading marked the lowest level since August 2015, with the drop in core orders leading to the Cabinet Office downgrading its assessment for the second straight month stating that they are "showing signs of stalling in their recovery."

Orders from manufacturers fell 1.5 percent to 354.87 billion yen (3.26 billion U.S. dollars), the Cabinet Office said, with orders from computer and metal processing machinery sectors seeing a notable downturn in the recording period, owing to a slowdown in the global economy.

Those from non-manufacturers, excluding ships and electric utilities, declined 5.4 percent to 463.27 billion yen (4.26 billion U.S. dollars), as demand slumped for agricultural machinery following October's consumption tax hike here from 8 to 10 percent.

Overseas orders, which act as a barometer of future exports, however, rose 2.9 percent to 877.47 billion yen (8.07 billion U.S. dollars) in the reporting period, as orders for heavy equipment and industrial machinery saw an uptick, the Cabinet Office said.

Total orders, including those in the public sector, climbed 5.2 percent to 2.25 trillion yen (20.70 trillion U.S. dollars) in the recording period, helped by hefty orders such as one for railway cars, the Cabinet Office said in its latest report.

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