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Japan Machine Tool orders in October: strong orders from Europe and the U.S.

November 26, 2021

On November 25, 2021, Japan Machine Tool Builders’ Association (JMTBA) announced a confirmed figure of Japan’s machine tool orders in October. The total amount of orders received was 149.2 billion yen, up 81.5% from the same month last year. Domestic demand decreased from the previous month, but orders from Europe, the U.S. and other countries increased, and total orders exceeded 140 billion yen for the second consecutive month.

Domestic demand was 50.2 billion yen, down 12.6% from the previous month and up 74.1% from the same month last year; although October was the month following the end of the first half of the fiscal year and month-on-month (MoM) declined, domestic demand recovered and the subsidy effect continued to contribute this month. By industry, 7 of the 11 industries saw MoM decreases, while all industries saw year-on-year (YoY) increases. Orders from aviation, shipbuilding and equipment for transport exceeded 3 billion yen for the first time in 34 months.

Foreign demand was up 13.7% MoM and 85.5% YoY to 98.9 billion yen. Foreign demand exceeded 95 billion yen for the first time since June 2018. By region, China’s demand remained flat, but large orders received were seen in Thailand and India. In Europe, in addition to the recovery trend in the whole region, the effect of the exhibition held in Italy partly contributed, and Italy and France recorded the highest amounts since the start of statistics by country/region. In North America, large orders from automobiles also contributed to the strong performance.


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