FX.co ★ Japan Industrial Production Rises More Than Expected

Japan witnessed a 2.5% increase in industrial production month-over-month in February 2025, surpassing market expectations of a 2.3% rise, as per preliminary data. This marks a recovery after three months of decline and represents the highest level since March 2024. The primary drivers of this growth were production machinery, electronic parts and devices, and chemicals (excluding inorganic and organic chemicals, along with pharmaceuticals). Conversely, the sectors that underperformed included transport equipment (excluding motor vehicles), inorganic and organic chemicals, and iron, steel, and non-ferrous metals. On a year-over-year basis, industrial production rose by 0.3%, a deceleration from January's 2.2% increase.