Japan’s industrial production shrinks 5.9 percent in May
Tokyo, Jun 30 (EFE).- Japan’s industrial production declined by 5.9 percent in May compared to the previous month, according to figures published by the government on Wednesday.
The indicator, however, posted a 22 percent increase with respect to the fifth month of 2020, according to the Japanese Ministry of Economy, Trade and Industry, which noted that “industrial production is picking up.”
May’s drop follows a 2.9 percent month-on-month increase in the indicator in April, revised up from the preliminary figure of 2.5 percent.
The industries that posted the biggest decline in industrial production in May were motor vehicles, followed by machinery production, and then electrical machinery and information and communication electronics equipment.
On the other hand, the sectors that contributed the most to the growth of industrial production were transport equipment (excluding motor vehicles) and organic and inorganic chemicals.
According to data from a survey conducted by the ministry with domestic companies, Japan’s industrial production is expected to increase by 9.1 percent in June (compared to the 5 percent growth estimated in the previous month) and decrease by 1.4 percent in July.
Industrial production data, which measures the pace of Japanese factories, is considered key in anticipating the progress of the country’s economy as it is highly dependent on the manufacturing sector. EFE
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