Japan’s core machinery orders surged 19.1% month-over-month in December 2025, sharply reversing from an 11.0% decline in November, according to data updated on 18 February 2026. The volatile indicator, often viewed as a leading gauge of private-sector capital expenditure, shows a strong rebound in corporate investment appetite at year-end.
The December figure is calculated as a month-over-month change compared with November 2025, while the previously reported November reading reflected the change relative to October. The swing from a double-digit contraction to a nearly 20% increase underscores the sensitivity of capital spending to shifting business conditions and may signal improving confidence among Japanese firms following a weak patch in late 2025.
While the data cover only a single month, the robust December performance partly offsets concerns raised by November’s drop and will be closely watched for confirmation in subsequent releases to gauge whether this marks the start of a more durable recovery in investment activity.
