Japan's industrial output rises 0.4 pct in Feb., outlook glim amid coronavirus effects

Source: Xinhua| 2020-03-31 20:01:43|Editor: xuxin
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TOKYO, March 31 (Xinhua) -- Japan's industrial output rose 0.4 percent in February from a month earlier, the government said in a report on Tuesday, although looking ahead it will likely slump as factories shutter operations and supply chains have been disrupted by the coronavirus outbreak.

According to the Ministry of Economy, Trade and Industry, the seasonally adjusted index of production at factories and mines stood at 100.2 against the 2015 base of 100.

Despite the index rising for a third successive month, output remained particularly thin compared to recent years owing to supply chains being hit by the coronavirus pandemic.

As such, the ministry maintained its assessment that "industrial production fluctuates indecisively, but it has weakened."

In terms of production, industries that mainly contributed to the increase included electronic parts and devices, inorganic and organic chemicals, iron, steel and non-ferrous metals, the ministry said in its preliminary report.

The index of Japan's industrial shipments in February, meanwhile, rose 2.6 percent to 99.8, the ministry also said. Inventories, meanwhile, decreased 2.0 percent to 103.8, in the recording period.

Looking ahead, manufacturers surveyed by the ministry said they predict industrial output to decrease 5.3 percent in March and rise 7.5 percent in April.

The ministry's monthly report on factory output serves as a key economic indicator for the government which reflects changing business conditions and provides a view of the economy's direction in the near future.

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