April 21, 2022
Japan Machine Tool Builders’ Association (JMTBA) announced the firm machine tool orders for March 2022. The total amount of orders received was 163.1 billion yen, exceeding 160 billion yen for the first time in 47 months. This is the second-highest order amount ever for a single month. While both domestic and overseas demand remained strong, the effect of the end of the fiscal year in Japan and large orders pushed up the number in March. This is the 14th consecutive month that orders have exceeded 100 billion yen.
Domestic demand increased for the second consecutive month and for the 13th consecutive month year-on-year(YoY), exceeding 60 billion yen for the first time in 42 months since September 2018 (64.4 billion yen). The effect of the end of the fiscal year in March was seen in a wide range of industries. General machinery exceeded 24.0 billion yen for the first time in 42 months, automobile exceeded 12.0 billion yen for the first time in 34 months, and electrical/precision reached the second-highest level on record following the previous month. The strong demand remained mainly due to equipment demand related to semiconductors and parts shortages.
Foreign demand was the second-highest order amount on record. Month-over-month(MoM) orders increased for the first time in two months and YoY orders increased for the 17th consecutive month, exceeding 100 billion yen for the first time in 48 months since March 2018 (107.3 billion yen). By region, Europe saw a MoM decline, but in Asia, orders expanded in China and there were large semiconductor-related orders in Taiwan and Southeast Asia, with the amount exceeding 50 billion yen for the first time in 10 months. In North America, orders in the U.S. increased in a wide range of industries and exceeded 30 billion yen for the first time in five months, setting a record.
Although there are some risk factors, such as the Ukraine crisis and the spread of COVID-19 infection in China, the March results showed no obvious signs of the effects becoming apparent. The situation regarding these impacts will need to be monitored closely in the following months and beyond.
Japan MT orders for
October 2021: strong orders from Europe and the U.S.
November 2021:Both domestic and foreign demand remain strong
February 14, 2022
April 19, 2022