Industrial production in Japan dropped by 3.3 percent month-over-month in June 2019, compared to an initial estimate of a 3.6 percent fall. That was the steepest monthly decline in output since January 2018, as production fell for non-ferrous metals (-3.5% vs 4.4% in May); fabricated metals (-4.8% vs 1.2%); production machinery (-6.9% vs 4.4%); general-purpose and business-oriented machinery (-1.5% vs 2.0%); electronic parts & devices (-2% vs 6.4%); electrical machinery (-2.9% vs 4.1%); transport equipment (-7.5% vs 3.6%); motor vehicles (-8.4% vs 5.2%); and other manufacturing (-0.3% vs -0.8%). On an annual basis, industrial output fell 3.8 percent in June, the fifth consecutive month of contraction. Industrial Production Mom in Japan averaged 0.40 percent from 1953 until 2019, reaching an all time high of 6.80 percent in May of 2011 and a record low of -16.50 percent in March of 2011.
Industrial Production Mom in Japan is expected to be 0.10 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Industrial Production Mom in Japan to stand at 0.50 in 12 months time. In the long-term, the Japan Industrial Production MoM is projected to trend around 0.10 percent in 2020, according to our econometric models.