Japan’s capital spending growth stalled in the first quarter of 2026, with the indicator registering 0.0% year-over-year, according to data updated on 31 May 2026. The reading marks a sharp slowdown from the previous rate of 6.5% year-over-year recorded in the fourth quarter of 2025.
The figures compare the change in capital spending in each period with the same quarter a year earlier. While the fourth quarter of 2025 showed robust expansion versus its year-ago level, the latest first-quarter data indicate that business investment has effectively flatlined on a year-over-year basis, signaling a loss of momentum in Japan’s corporate spending at the start of 2026.
