Japan Services PMI2013-2021 Data | 2022-2023 Forecast | Calendar | Historical

The au Jibun Bank Japan Services PMI declined to 46.4 in July 2021 from 48 a month earlier, a preliminary figure showed. This was the steepest pace of contraction in the service sector since February, amid persistent rises in local COVID-19 cases and state of emergency measures in Japan. New orders shrank further, extending the current sequence of decline to 1-1/2 years. Also, export orders dropped at a faster rate, while employment saw a renewed contraction, with job shedding being reported for the first time since December 2020. On the cost front, input price inflation accelerated while selling prices went up at a slower rate. Lastly, firms remained confident that activity would increase over the coming 12 months, the degree of optimism dipped to the lowest since January.

The au Jibun Bank Japan Services PMI was at 48.0 in June 2021, compared with the preliminary reading of 47.2 and a final 46.5 in the prior month. This marked the 17th consecutive month of contraction in the service sector, as restrictions introduced to curb the spread of COVID-19 remained in place through much of June. New orders dropped at a softer rate despite falling for the 17th month running; while export sales contracted the least in the current 17-month sequence of the downturn. Meanwhile, employment grew for the fifth month running, while outstanding business fell for the 19th month. Turning to prices, average cost burdens increased the least in four months, with firms reporting a marginal rise in output charges for the third month in a row. Looking ahead, sentiment reached the strongest since March, amid an acceleration in vaccine roll-outs.

The au Jibun Bank Japan Services PMI rose to 47.2 in June 2021 from a final 46.5 in the prior month, a flash figure showed. Still, this was the 17th consecutive month of contraction in the service sector, amid coronavirus disruptions. New business reduced at a broadly unchanged pace compared to May, extending the current sequence of decline to 17 months. At the same time, job creation continued for the fifth month running, with the pace of growth remaining marginal while backlogs of works falling at a steeper rate. Meanwhile, export orders fell at a slower pace. On the cost front, both output prices and input cost went up faster. Lastly, confidence strengthened, amid expectations of the accelerated vaccination programme.

The au Jibun Bank Japan Services PMI was revised upward to 46.5 in May from a preliminary reading of 45.7 and compared with a final 49.5 in April. New business shrank the most in three months, extending the current sequence of falls to 16 months, on the back of the latest wave of COVID-19 cases and the reimposition of a state of emergency. In addition, foreign demand deteriorated further as key markets around Asia faced stricter restrictions. Positively, employment rose for the fourth month in a row, suggesting that firms took on additional staff in anticipation of higher sales once the pandemic subsided. That said, outstanding business fell for 18th month. On the cost side, input cost went up for the sixth successive month, due to higher raw materials, staff and energy costs. Meantime, prices charged increase for the second month running, though the rate of inflation was marginal. Lastly, confidence remained positive but the degree of optimism weakened to the lowest since January.