Japan Nov industrial output seen swinging back to contraction: Reuters poll
2023.12.22 00:18
© Reuters. People work on a construction site in Tokyo, Japan, February 29, 2016. REUTERS/Yuya Shino/file photo
TOKYO (Reuters) – Japan’s industrial output in November likely swung back to contraction for the first time in three months, a Reuters poll of analysts showed on Friday, dented by sluggish demand and slowdown in overseas economy.
Industrial production was projected to shrink 1.6% in November from the previous month, according to a median estimate of 17 economists, followed by 1.3% growth in October.
Production recovery in the automobile industry, which has underpinned industrial output, has slowed recently and exports were also weak in November, said Chisato Oshiba, an economist at the Dai-ichi Life Research Institute.
“Industrial production has continued to seesaw due to sluggish domestic demand for goods and the slowdown in overseas economies, and is on a gradual downtrend when evened out.”
Japan’s exports in November fell for the first time in three months, dragged down by China-bound chip shipments.
Output for electronic components and devices as well as electric machinery are expected to decline in November partly due to a reaction to the large increase in the previous month, said Shunpei Fujita, an economist at Mitsubishi UFJ (NYSE:) Research and Consulting.
The government will release the November industrial output data at 0850 a.m. local time on Dec. 28 (2350 GMT, Dec. 27).
