Japan PMI Manufacturing dropped from 44.8 to 43.7 in April, biggest contraction in 2009. PMI Services dropped from 33.8 to 22.8, worst contraction since survey began in 2007. PMI Composite dropped from 36.2 to 27.8.
Joe Hayes, Economist at IHS Markit, said: “The crippling economic impact from global coronavirus pandemic intensified in April… The decline in combined output across both manufacturing and services was the strongest ever recorded by the survey in almost 13 years of data collection, surpassing declines seen during the global financial crisis and in the aftermath of the 2011 tsunami.
“Overall, GDP looks set to decline at an annual rate in excess of 10% in the second quarter. The current state of emergency will stay in place until 6 May, although given Japan’s lagged response relative to other parts of the world, one would expect this to be extended, meaning the the harsh economic effects are likely to drag out further”.
