Sluggish Domestic Automobile Production and Restraint on Capital Investment

「Within the industry, global trends showed weakness in the production and sales of new-energy vehicles in China, partly due to the expiration of tax incentives and other factors. Automotive production in India, where economic growth has been strong, remained firm. In Japan, production was at the same level as in the year-earlier period, but signs of production cuts emerged due to factory restructuring by automakers and worsening conditions in the Middle East.」

「Production, sales and exports of new-energy vehicles in China continued to increase, while automotive production remained firm in India, where economic growth has been strong. In Japan, domestic automotive production remained weak due to the impact of developments in US tariff policy, rising prices and other factors.」

「Within the industry, global trends showed continued increases in the production, sales and exports of new-energy vehicles in China. Automotive production also remained firm in India, where economic growth has been strong, with production volumes exceeding the year-earlier period. In Japan, domestic production stagnated partly because some factories suspended operations due to accidents and other incidents at certain automotive parts manufacturers.」

「In Japan, domestic production declined due to the impact of fraudulent vehicle certification issues and sluggish growth in sales for the Chinese market, among other factors.」

「In Japan, the impact of the prolonged shortage of automotive semiconductors has been easing, but domestic production declined partly because automotive production was suspended due to the Noto Peninsula Earthquake and issues involving fraudulent vehicle certification.」

「Within the industry, global trends showed continued expansion in the production and exports of new-energy vehicles, particularly in China, and global automotive production increased overall. In Japan, the impact of the prolonged shortage of automotive semiconductors has been easing, and production recovery progressed.」

「In Japan, the impact of shortages of automotive semiconductors has eased, and production recovery progressed.」

「Within the industry, global automotive production has been recovering, with production of new-energy vehicles continuing to expand, particularly in China. In Japan, the impact of shortages of automotive semiconductors has eased and production showed signs of recovery, although the effects remain.」

「In Japan, the impact of shortages of automotive semiconductors has been improving, and production volumes are returning to levels close to those before the COVID-19 pandemic.」

「Within the industry, global trends during the nine-month period ended in the third quarter showed year-on-year recovery in China, India and Mexico, major automotive-producing countries, with particularly strong growth in new-energy vehicles in China. In Japan, the impact of shortages of automotive semiconductors was improving, but supply constraints, particularly for EVs, remained in place.」

「Within the industry, global trends showed recovery, with China, India and Mexico, major automotive-producing countries, recording year-on-year growth. In Japan, domestic production volumes varied significantly by manufacturer, while the impact of prolonged shortages of semiconductor-related components continued.」

「Worldwide, China, India and Mexico, major automobile-producing countries, recorded year-on-year recovery in production. In Japan, however, domestic production recovered more slowly than elsewhere, partly because the shortage of automotive semiconductors continued for an extended period.」

「In this sector, automobile production recovered as supply constraints eased. Although both domestic and overseas production remained below the year-earlier level, the decline narrowed.」

「In this sector, demand is recovering worldwide, but production has been delayed because of semiconductor shortages and supplier shutdowns caused by the resurgence of COVID-19 infections.」

「In this sector, automobile production has been recovering, but the effects of shortages of automotive semiconductors have continued for an extended period.」

「Production recovered in the second half of the fiscal year, supported by a recovery in demand, particularly in China, but a global shortage of automotive semiconductors acted as a drag on the recovery.」

「In this sector, automobile production, which had declined sharply because of difficulties procuring automotive parts and factory shutdowns amid the severe impact of the COVID-19 pandemic on economic activity, was recovering. Although uncertainty remained in Europe and North America because of the resurgence of COVID-19 infections, demand in China was recovering, resulting in a gradual recovery overall. Machine tools also showed a gradual recovery trend: although some capital investment in Japan and North America remained weak, the Chinese market showed signs of recovery and overall demand had passed its worst point.」

「In this sector, automobile production declined sharply because of the severe impact of the COVID-19 pandemic on economic activity, difficulties procuring automotive parts and factory shutdowns. Although production was recently recovering toward normalization, it had not returned to previous levels, and new-vehicle sales in the major markets of the United States and Southeast Asia also fell sharply, leaving the outlook uncertain. Machine tools also remained weak, as capital investment in Japan and North America continued to cool. Although the Chinese market showed signs of recovery, this was insufficient to offset the overall decline.」

「In this sector, automobile production declined sharply because of the severe impact of the COVID-19 pandemic on economic activity, difficulties procuring automotive parts and factory shutdowns. Although production subsequently showed signs of recovery, it had not returned to previous levels, and new-vehicle sales in the major markets of the United States and Southeast Asia also fell sharply, leaving the outlook uncertain.」

「In this sector, demand for large vehicles in the United States remained firm, but the sedan market contracted, while new-vehicle sales in emerging markets, which had driven growth, slowed further, leaving overall conditions weak. The machine tool industry was also affected by US-China trade friction and austerity measures prompted by excess capacity: the Chinese market slowed sharply, the US and European markets also slowed, and domestic demand from the automotive industry continued to decelerate, leaving the outlook uncertain.」

「In this sector, new-vehicle sales in the United States remained weak, while new-vehicle sales in China, the largest market, and India also slowed further, leaving overall conditions weak. Machine tools were also affected by US-China trade friction and austerity measures prompted by excess capacity: the Chinese market slowed sharply, the US and European markets also slowed, and although domestic demand for steel and nonferrous metals increased, demand from the automotive industry slowed sharply, leaving the outlook uncertain.」

「In this sector, new-vehicle sales in the United States remained weak because of higher auto loan rates, while new-vehicle sales in China, the largest market, and India also slowed further, leaving overall conditions weak. In Japan, signs of full-scale rush demand emerged ahead of the consumption tax increase, but the outlook remained uncertain amid worsening economic sentiment against a backdrop of US-China trade friction and risks related to Japan-US trade issues. Meanwhile, the Chinese machine tool market slowed sharply because of US-China trade friction and austerity measures prompted by excess capacity, while the US and European markets also slowed. Domestic demand for steel and nonferrous metals increased, but demand from the automotive industry slowed sharply, leaving the outlook uncertain.」

「The Chinese machine tool market slowed sharply because of US-China trade friction and austerity measures prompted by excess capacity, but the US and European markets remained firm, and domestic demand for automotive and semiconductor applications continued to be strong, keeping overall conditions firm.」

「In this sector, the US market remained weak for sedan models in which Japanese automakers specialize, while production in China and Southeast Asia grew steadily. In Japan, signs of full-scale rush demand emerged ahead of the consumption tax increase, but the outlook remained uncertain amid worsening economic sentiment against a backdrop of US-China trade friction and risks related to Japan-US trade issues. Meanwhile, the Chinese machine tool market slowed sharply because of US-China trade friction and austerity measures prompted by excess capacity, but the US and European markets remained firm, and domestic demand for automotive and semiconductor applications continued to be strong, keeping overall conditions firm.」

「In this sector, concerns grew about the headwinds from rising interest rates in the United States, an important source of earnings for Japanese automakers. In Japan, the boost from new models subsided, and new-vehicle sales fell below the year-earlier level, indicating a slowing trend. Although the Southeast Asian market remained strong, the Chinese market, the largest market, was slowing, and the outlook remained uncertain as economic conditions were expected to deteriorate against a backdrop of US-China trade friction. Meanwhile, the Chinese machine tool market, which had driven growth, slowed sharply as companies began to defer purchases because of US-China trade friction and other factors. However, the US market grew, and domestic demand for automotive and semiconductor applications remained strong, keeping overall conditions firm.」

「In this sector, the North American market showed signs of plateauing, while the boost from new models in Japan also subsided, resulting in a decelerating trend. However, China and Asian markets remained strong, and global unit sales remained firm. Meanwhile, the Chinese machine tool market, which had driven growth, began to slow because of US-China trade friction and other factors, although demand from the general machinery and automotive industries remained strong and firm.」

「In this sector, sales in Japan remained firm, driven by strong sales of new models, particularly minicars. Overseas, new-vehicle sales in China remained strong, while in North America, sales of SUVs and pickup trucks remained firm but passenger vehicle sales continued to underperform. Global machine tool demand remained firm against a backdrop of increased semiconductor demand and the electrification of automobiles, while demand in China increased on the back of capital investment. In Japan, demand related to semiconductor manufacturing equipment also remained firm.」

「In this sector, sales to Asia, including China, where new-vehicle sales were strong, increased, while sales in Japan also remained firm. In Europe, sales of hybrid vehicles began to recover, offsetting the plateauing North American market. Meanwhile, demand for machine tools from the automotive and aircraft industries in North America remained firm, and demand in China increased on the back of capital investment. In Japan, demand also remained firm, supported by strong sales of semiconductor manufacturing equipment.」

「In this sector, the effects of the Kumamoto Earthquake subsided, and strong sales in China, where the automobile market was expanding, and in Japan offset the slight downward trend in North America. Meanwhile, demand for machine tools improved in North America as capital investment recovered, while demand for semiconductor manufacturing equipment, robots and other products increased in Japan, resulting in a recovery trend.」

「In this sector, automobile production exceeded the year-earlier level for the first time in 3 years. Strong sales of compact four-wheel vehicles, together with increased exports of passenger vehicles such as SUVs, boosted production. Machine tool orders remained below the year-earlier level, but orders related to smartphones in China, where economic weakness had continued, began to recover, resulting in some recovery.」

「In this sector, strong sales in North America drove growth in overseas production, and exports also increased, particularly to North America. Meanwhile, machine tool orders turned positive year on year in December for the first time in 17 months, supported by firm orders from the automotive and semiconductor industries, among others, pointing to an improving outlook.」

「In this sector, automobile production exceeded the year-earlier level as overseas production increased, particularly in North America and China, although performance varied among automakers. Meanwhile, companies continued to take a wait-and-see approach to capital investment because of concerns about the outlook for the global economy, and machine tool orders fell below the year-earlier level.」

「Domestic automobile production remained weak after some manufacturers suspended production following the Kumamoto Earthquake in April and a fuel-economy data falsification issue, while growth in overseas production helped offset the decline. Meanwhile, amid greater concerns about the outlook for the global economy, companies increasingly held back on capital investment, and machine tool orders continued to fall below the year-earlier level.」