Industrial production in Japan dropped 0.4 percent month-on-month in September 2018, far less than a preliminary 1.1 percent fall suggested and following a 0.3 percent rise in August. Output fell for: iron, steel & non-ferrous metals (-2.4 percent vs 1.6 percent); electrical machinery, information & communication equipment (-2.8 percent vs -0.7 percent); electronic parts & devices (-1.2 percent vs -7.6 percent); transport equipment (-1.7 percent vs 4.8 percent); ceramics, stone & clay products (-0.7 percent vs -0.4 percent); plastics (-1.3 percent vs 2.2 percent); pulp, paper & paper products (-1.8 percent vs 4.2 percent); and foods & tobacco (-3.9 percent vs 1.1 percent). In contrast, production growth was seen for fabricated metals (1.5 percent vs 0.8 percent); production machinery (0.8 percent vs 7.1 percent); general purpose & business oriented machinery (2.5 percent vs -1.4 percent); chemicals (3 percent vs -4.3 percent); and petroleum & coal products (1.7 percent vs 1.3 percent). Industrial Production Mom in Japan averaged 0.40 percent from 1953 until 2018, 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 0.70 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 0.10 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.