June 2024 Japan machine tool orders – total JPY 133.8 billion

July 30, 2024

The Japan Machine Tool Builders’ Association (JMTBA) has released the final figures for Japan’s machine tool orders in June 2024, reporting a total of JPY 133.8 billion. This marks the second consecutive month-on-month (MoM) growth and the second consecutive month of year-on-year (YoY) growth, exceeding JPY 130 billion for the third consecutive month. Excluding the quarter-end periods in March and September, this is the highest level in a year.

Domestic orders show positive trend

Domestic orders increased to JPY 40.8 billion, the first MoM increase in three months and the first time exceeding JPY 40 billion in three months. Although this is the 22nd consecutive month of YoY decline, eight out of eleven industries posted MoM growth and seven industries posted YoY growth, indicating an overall recovery trend. Major contributions came from large orders in the Motor Vehicles and Aircraft /Shipbuilding /Transport equipment sectors, although a strong upward trend is still lacking.

Foreign orders drive growth, especially from Asia

Foreign orders reached JPY 93 billion, marking the second consecutive month of MoM growth and the second consecutive month of YoY growth, and exceeded 90 billion yen for the first time in 14 months since April 2022. While Europe and North America remained relatively stable, a significant increase in orders from Asia, particularly China, was the main driver of growth in June.

Regional breakdown:

Asia: Orders in China exceeded JPY 30 billion for the first time in 15 months, boosted by subsidies. As a result, total orders from Asia exceeded JPY 45 billion for the first time in 18 months since December 2022.

Europe: Orders increased slightly month-over-month and continue to hover around JPY 17 billion since the early 2024.

North America: Orders decreased in all countries within the region, falling below JPY 25 billion for the first time in two months.

June Summary

	Amount (million yen)	MoM change (%)	YoY change (%)
Total Orders	133,816	107.5	109.7
Domestic total	40,810	117.1	99.9
Industrial Machinery	16,468	114.7	85.4
Motor Vehicles	9,245	119.8	126.9
Electrical & Precision Machinery	3,971	90.8	82.5
Aircraft/Shipbuilding/Transport equipment	2,732	134.1	216.5
Foreign total	93,006	103.7	114.6
Asia	46,997	110.3	141.1
Europe	17,302	100.2	89.3
North America	23,602	85.4	90.0