The manufacturing industry in Japan relentlessly contracted in April, albeit at a decelerated rate, according to recent statistics from Jibun Bank. These statistics revealed a manufacturing Purchasing Managers Index (PMI) score of 49.6, demonstrating an improvement from the March figure of 48.2. However, this score is still beneath the threshold index of 50, which distinguishes between expansion and contraction of the industry.
Recent data suggests that production faced a downturn in April, marking the ongoing contraction for the eleventh consecutive month. However, this slump was moderate and was the smallest recorded since the past October. Companies continue to resort to their current stock, instead of boosting output. Reports also suggest that the decrease in new business orders hampered production levels.
In light of depressed demand and stock reduction among clients, new orders experienced a downturn for the eleventh successive month. However, the extent of sales slump was minimal and has been gradually alleviating over the past two months. New foreign orders saw a decline due to low demand from major export markets such as China and the U.S.
