Machinery / Industrial Parts & Tools

According to customs data, in April 2023, the total amount of Japanese machine tool orders was 132.69 billion yen, a decrease of 5.9% month on month, marking the first consecutive month on month decline in two consecutive months; A year-on-year decrease of 14.4% is the fourth consecutive month of year-on-year decline. The total order amount fell below 140 billion yen for the first time in two months, but exceeded 100 billion yen for 27 consecutive months.

In April, Japanese machine tool orders remained at a stable level, mainly due to strong overseas market orders, while domestic orders decreased due to the impact of the fiscal year-end effect. Customs data shows that in April, the amount of domestic machine tool orders in Japan was 41.72 billion yen, a decrease of 15.5% month on month, marking the first time in two months that there has been a month on month decrease; The domestic market orders decreased by 21.5% year-on-year, marking the eighth consecutive month of year-on-year decline. From the perspective of major user industries, compared to March, orders from the industrial machinery industry decreased by 10.4%, orders from the automotive industry decreased by 8.2%, orders from the electrical and precision machinery industries decreased by 26.1%, and orders from the aircraft, shipbuilding, and transportation equipment industries increased by 7.7%.

Customs data shows that in April, the overseas market order amount of the Japanese machine tool industry was 90.97 billion yen, a decrease of 0.7% month on month, marking the first month on month decline in two months; Overseas market orders decreased by 10.7% year-on-year, marking the fourth consecutive month of year-on-year decline. From a regional perspective, orders from Asia amounted to 41.12 billion yen, a decrease of 1.4% month on month and 14.2% year-on-year; According to customs data, orders from Europe amounted to 20.78 billion yen, an increase of 5.1% month on month and 0.4% year-on-year; Orders from North America were 26.65 billion yen, a decrease of 4.7% month on month and 13.8% year-on-year.

In addition, customs data shows that the export order value of Japanese machine tools to India in April was 6.6 billion yen, a double increase compared to the same period last year. This was greatly affected by large orders in the electrical and precision machinery fields, second only to December 2022, and reaching the second highest level in history.

Sanji Inaba, President of the Japan Machine Tool Manufacturers Association (JMTBA) and President of Fanuc, stated that the Indian market is showing a thriving trend, especially in the growth areas of automobiles, IT, agricultural machinery and infrastructure, and looks forward to sustained strong demand.