Machinery / Industrial Parts & Tools

According to import and export 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. Import and export data shows that in April, the amount of domestic machine tool orders in Japan was 41.72 billion yen, a decrease of 15.5% compared to the previous month, which is 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%.

Import and export 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. According to import and export data, 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; 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, according to import and export data, the export order value of Japanese machine tools to India in April was 6.6 billion yen, a double year-on-year increase. It 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.

Yoji Inaba, president of Japan Machine Tool Manufacturers Association (JMTBA) and president of FANUC, said that the Indian market is booming, especially in the growth fields related to automobiles, IT, agricultural machinery and infrastructure, and expects to have sustained strong demand.