Japan’s Ministry of Economy, Trade and Industry reported 2.0% mom increase in industrial production in June, below expected 2.4%. This places the seasonally adjusted index of production at factories and mines at 105.3, with 2020 as the base of 100.
Motor vehicles led industrial production growth, surging 6.1% thanks to robust demand in both domestic and overseas markets. Out of 15 industrial sectors covered , 10 sectors saw increased output, while production in five dropped.
Despite the production growth coming in lower than expected, the Ministry maintained its basic assessment, noting that industrial production was “showing signs of moderately picking up.”
Looking ahead, the Ministry’s forecast based on a poll of manufacturers anticipates slight output decline of -0.2% in July, followed by climb of 1.1% in August.
Also released, retail sales rose 5.9% yoy in June, above expectation of 5.4% yoy, picked up from prior month’s 5.7% yoy.
