Japan posts weak industrial output on restricted recovery
December had seen Japan’s industrial output plunge deeper, indicating that the country’s emergence from the coronavirus drag is dwindling. This was mainly from factories’ worsening demand as different countries implemented tighter coronavirus measures.
The country’s factory output recorded a 1.6% contraction in December. This followed after a strong performance in inorganic and organic chemicals manufacturing was dragged by decelerating production of general machinery and automobiles.
The weak figure came larger than the 0.5% drop seen in November, just a shade lower than the 1.5% decline expected by economists in a Reuters poll. After the country experienced a sharp economic downturn last year, the subdued reading might bring in concerns that the world’s third-largest economy has failed to stage a brisk recovery.