Machine tool orders fell for the 12th consecutive month in April

Abstract According to the Japan Machine Tool Industry Association, in April 2012, the total value of machine tool orders in Japan reached 81.963 billion yen, reflecting a significant drop of 23.6% compared to the same period in the previous year. This marked the 12th consecutive month of year-on-year decline, indicating ongoing challenges in the domestic and international markets. The data also revealed that orders for foreign-owned machine tools in Japan totaled 54.719 billion yen, a decrease of 25.0% from the previous year, continuing a seven-month downward trend. Despite the overall decline, some sectors showed resilience. Orders for aircraft-related machine tools in the U.S. rose by 1.1% year-on-year, showing continued demand from the American market. However, Japanese machine tool orders for China plummeted by 57.5%, with orders for precision instruments falling by more than 80%. On the other hand, orders for general machinery in Asia—including China—increased by 1.4% year-on-year, marking the first growth in 11 months. Domestic demand in Japan also faced a downturn, with machine tool orders reaching 27.244 billion yen in April, down 20.6% compared to the same month in 2011. This was the 11th consecutive month of decline. However, there were positive signs in certain sectors: orders for machine tools used in aviation, shipbuilding, and transportation equipment increased by 8.6%, while orders for auto parts rose by 3.3%, both showing their first growth in over a year. These figures highlight the mixed performance of Japan’s machine tool industry during this period, with some areas showing recovery while others remained under pressure.