Japan machine tool orders total JPY 204.3 billion in October 2026, exceeding JPY 200 billion for the second consecutive month

The Japan Machine Tool Builders’ Association (JMTBA) released preliminary machine tool order figures for October 2026. Total orders reached JPY 204.3 billion, down 8.4% month-on-month (MoM) but up 42.5% year-on-year (YoY). Although orders declined MoM for the first time in three months, they exceeded JPY 200 billion for the second consecutive month, marking the second-highest monthly total on record, behind only September this year. YoY growth has exceeded 40% for the fifth consecutive month, and strong capital investment demand remains evident in both domestic and foreign markets. 

Domestic orders exceed JPY 50 billion for the fifth consecutive month 

Domestic orders totaled JPY 52.2 billion, down 18.2% MoM but up 46.5% YoY. The decline followed the previous month’s substantial increase, when orders had been boosted by fiscal half-year-end demand and subsidy awards. Even so, YoY growth continued for the 10th consecutive month, and orders exceeded JPY 50 billion for the fifth consecutive month. In recent months, demand related to data centers and semiconductor manufacturing equipment has remained strong, while signs of improvement have also emerged in other sectors. October’s domestic orders are believed to have followed this trend. According to reports from member companies, business discussions at JIMTOF2026, the 33rd Japan International Machine Tool Fair, held in the last week of October, were generally substantive. However, any resulting orders are expected to appear in the order figures no earlier than November. 

Foreign orders exceed JPY 150 billion for the second consecutive month 

Foreign orders totaled JPY 152.0 billion, down 4.5% MoM but up 41.1% YoY. Orders declined MoM for the first time in three months but increased YoY for the 25th consecutive month, exceeding JPY 150 billion for the second consecutive month. Like total orders, foreign orders ranked second-highest on record, behind only September. Foreign orders have exceeded JPY 130 billion for eight consecutive months since March this year, maintaining historically high levels. Because these figures are preliminary, a regional breakdown is not yet available. However, based on recent trends, capital investment is believed to remain strong, particularly in Asia and North America.