Japan’s MT orders from both domestic and foreign are on a recovery trend

On August 25, 2021, Japan Machine Tool Builders’ Association (JMTBA) announced the confirmed figures of Japan’s machine tool orders in July.

The total amount of orders was 134.9 billion yen, up 93.4% year-on-year and up 2.2% month-on-month. The total orders have exceeded 130 billion yen for the second consecutive month.

Domestic demand was 45.3 billion yen, up 82.9% from the same month of the previous year. By industry, demand for semiconductor manufacturing equipment is strong, and orders from machinery, electrical and precision equipment have increased, while automobiles have been sluggish.

Foreign demand was 89.6 billion yen, up 99.2% year-on-year and up 2.5% month-on-month. Foreign demand has exceeded 85 billion yen for five consecutive months, and high-level orders continue. By region, in Asia, orders from China were more than 30 billion yen for the first time in two months, but orders from other countries and regions, and the total of Asia decreased from the previous month. North America also decreased slightly from the previous month, but has exceeded 20 billion yen for the third straight month, and the recovery trend continues. On the other hand, Europe increased for 7 consecutive months from the previous month, and Italy, France and Turkey drove the growth of foreign demand.