Sluggishness and an Unclear Outlook for the Japanese and Yamanashi Prefecture Economies

「The Yamanashi Prefectural economy generally remained broadly flat, although signs of recovery emerged in some areas. On the demand side, personal consumption lacked strength as rising prices persisted and consumers became more inclined to economize, while capital investment also showed signs of caution because of the increased burden from soaring material costs. On the production side, the machinery industry, including semiconductor manufacturing equipment and IT-related components, recovered.」

「Japan's economy in fiscal 2025 remained on a moderate recovery track. Production stayed broadly flat because of U.S. trade policy and slower external demand, while on the demand side capital investment remained firm against a backdrop of strong corporate earnings, and personal consumption showed signs of recovery as employment and income conditions improved. In the Yamanashi economy, production activity remained weak, but from early autumn signs of improvement emerged, particularly in generative AI-related products and semiconductor manufacturing equipment. Meanwhile, personal consumption weakened as consumers became more inclined to save amid higher prices, and some capital investment appeared cautious because of rising materials prices. Overall, the economy remained broadly flat. Tourism-related demand, which had remained strong, slowed from the start of the new year as Japan-China relations became more tense.」

「During the current interim consolidated accounting period, Japan's economy remained on a moderate recovery track. Production stayed broadly flat under the impact of U.S. trade policy and slower external demand, while personal consumption continued to recover as employment and income conditions improved, and capital investment remained firm, supported by solid investment appetite. In the Yamanashi economy, strong foreign tourist arrivals continued to support improvement in tourism-related activity. However, some segments of the machinery industry, including semiconductor manufacturing equipment and automotive parts, remained weak, while personal consumption lacked strength as households became more defensive amid prolonged price increases. Capital investment also appeared cautious, leaving overall recovery at a standstill.」

「Japan's economy in fiscal 2024 saw a slowdown in recovery as production stagnated in the first half of the fiscal year, partly because some automakers suspended shipments, while personal consumption weakened as consumers became more inclined to save in response to rising prices. From summer onward, production showed signs of recovery, and the economy remained on a moderate recovery track, supported by improved household income conditions resulting from wage increases and resilient corporate investment demand. In the Yamanashi economy, semiconductor manufacturing equipment was on a recovery trend, while electronic components, automotive parts and machine tools remained weak, leaving overall production broadly flat. On the demand side, the pace of growth in capital investment slowed because of higher materials prices and supply constraints, while personal consumption lacked strength as households became more defensive in response to prolonged price increases. Tourism-related industries remained strong, with foreign tourist arrivals reaching a record high.」

「In the Yamanashi economy, production, which had been trending weakly, showed signs of bottoming out, and capital investment showed signs of recovery. However, personal consumption lacked strength amid prolonged price increases, and overall economic activity remained stagnant.」

「The Yamanashi economy showed signs of recovery as the impact of COVID-19 eased, with stronger improvement in personal consumption, particularly services consumption, and tourism-related activity driven by increased inbound demand. However, personal consumption showed signs of losing momentum in the second half of the fiscal year as households became more defensive in response to higher prices. The machinery industry also continued to reduce production, partly because inventory adjustments persisted, while capital investment and residential investment remained cautious. Overall, the economy lacked strength.」

「During the third quarter of the fiscal year, Japan's economy remained on a moderate recovery trend, despite downward pressure from slowing overseas economies and persistently high resource prices and inflation. As socioeconomic activity normalised, various policies and improving employment and income conditions supported the recovery. In the Yamanashi economy, tourism-related businesses improved as services consumption, particularly personal consumption, increased and foreign visitor numbers rose as the effects of the pandemic eased. Although a moderate recovery continued as the underlying trend, some weakness was also evident, with the machinery industry, a key local industry, remaining on a production-cutting trend and cautious stances emerging toward capital investment and residential investment.」

「During the first quarter of the fiscal year, Japan's economy remained on a moderate recovery trend. Although exports declined as overseas economies slowed and downward pressure arose from supply constraints, higher resource prices and the yen's depreciation, economic activity continued to normalise after the pandemic, supported by the effects of various policies and improving employment and income conditions. In the Yamanashi economy, some areas of the machinery industry, including semiconductor manufacturing equipment and IT-related components, were reducing production, while a cautious stance was also evident in capital investment. On the other hand, as the effects of the pandemic eased, personal consumption, particularly services consumption, and tourism-related businesses showed increasingly strong signs of improvement, resulting in a moderate overall recovery trend.」

「The Yamanashi economy generally continued to recover, with the machinery industry maintaining strong performance and capital investment remaining resilient. However, from the beginning of the calendar year, production cuts spread in the machinery industry due to slowing overseas economies and inventory adjustments, while a cautious stance toward capital investment also emerged, resulting in some weakness.」

「In the Yamanashi economy, production maintained its growth momentum, led by the strong machinery industry, while capital investment remained on a recovery trend. As the effects of the pandemic eased, services consumption and tourism-related businesses also began to improve, resulting in an overall recovery. However, from early autumn, growth slowed in some areas of the machinery industry due to concerns about a slowdown in overseas economies and other factors, while capital investment also showed signs of slowing, causing uncertainty about the outlook to emerge.」

「During the second quarter of the fiscal year, Japan's economy remained on a recovery trend as economic activity normalised and public support measures were implemented, despite supply constraints on raw materials, components and materials caused by China's zero-COVID policy and the prolonged Russia-Ukraine situation, rising resource prices, the yen's depreciation and downward pressure from the resurgence of COVID-19. In the Yamanashi economy, the machinery industry generally maintained strong performance on the production side, although some weakness emerged due to supply constraints. On the demand side, capital investment and personal consumption, particularly services consumption, remained on a recovery trend. Tourism-related businesses also showed increasingly strong signs of improvement, and the economy generally continued to recover moderately.」

「During the first quarter of the fiscal year, Japan's economy remained on a recovery trend overall as the effects of COVID-19 subsided, despite concerns about economic activity, including shortages of semiconductors, components and materials, higher resource prices resulting from the prolonged Russia-Ukraine situation, and the yen's depreciation. In the Yamanashi economy, some weakness was evident in production due to supply shortages, but the machinery industry, led by semiconductor-related businesses, maintained strong performance, while capital investment remained on a recovery trend. As economic activity gradually normalised, services consumption and tourism-related businesses also showed increasingly strong signs of improvement, resulting in a broad-based recovery.」

「In the Yamanashi economy, personal consumption and tourism-related businesses moved unevenly due to the effects of the pandemic. However, production maintained its growth momentum, led by the machinery industry, including semiconductor manufacturing equipment, machine tools and various electronic components, while capital investment also remained on a recovery trend, resulting in a moderate overall recovery.」

「During the third quarter of the fiscal year, economic activity in Japan was affected by restrictions and easing measures as COVID-19 infections rose and fell, but generally remained on a moderate recovery trend. However, from early autumn, production growth slowed in some areas due to shortages of semiconductors, components and materials. In the Yamanashi economy, personal consumption lacked strength, but production maintained its growth momentum, led by the strong machinery industry, and capital investment also showed signs of recovery. From early autumn, services consumption and tourism-related businesses showed signs of improvement as new infections declined and public support measures took effect.」

「During the second quarter of the fiscal year, Japan's economy continued to recover moderately in the first half as exports and production increased with the recovery of the global economy. In the second half, production slowed due to supply shortages, including semiconductors, while downward pressure on personal consumption intensified as the resurgence of COVID-19 led to restrictions on economic activity, resulting in some weakness. In the Yamanashi economy, production maintained its growth momentum, led by the machinery industry, while capital investment also showed signs of recovery, resulting in a moderate overall recovery trend. However, personal consumption and tourism-related businesses showed some weakness due to the resurgence of the pandemic.」

「During the first quarter of the fiscal year, Japan's economy continued to recover moderately overall. Although personal consumption lacked strength due to the resurgence of COVID-19, exports and production increased as the global economy recovered. In the Yamanashi economy, some sectors, including food service, leisure and tourism, remained weak as the pandemic continued to weigh on conditions, but the machinery industry maintained its growth momentum and some areas of capital investment showed signs of recovery, resulting in a moderate overall recovery trend.」

「Japan's economy in fiscal 2020 deteriorated sharply as the global spread of COVID-19 restricted socioeconomic activity and caused both external and domestic demand to decline. The economy showed signs of a moderate recovery in the second half as economic activity resumed and government measures took effect, but uncertainty about the outlook intensified after the beginning of the calendar year as the pandemic resurged. In the Yamanashi economy, severe conditions continued in both the manufacturing and non-manufacturing sectors due to the pandemic.」

「During the third quarter of the fiscal year, Japan's economy deteriorated sharply as the global spread of COVID-19 restricted socioeconomic activity and caused both domestic and external demand to decline. From the summer onward, however, economic activity resumed and, supported by government measures, the economy showed signs of a moderate recovery. In the Yamanashi economy, severe conditions continued due to the pandemic, but personal consumption recovered as the effects of government and local-government support measures broadened, while production activity also improved, led by the machinery industry, indicating signs of recovery.」

「During the second quarter of the fiscal year, Japan's economy deteriorated rapidly in the first half as domestic and external demand declined amid the spread of COVID-19. In the latter half, however, production and demand both showed signs of a moderate recovery as economic activity resumed in Japan and overseas, supported by government measures. In the Yamanashi economy, severe conditions continued due to the pandemic, but some signs of recovery also emerged.」

「During the first quarter of the fiscal year, Japan's economy deteriorated rapidly as the global spread of COVID-19 led to severe restrictions on socioeconomic activity worldwide, causing both domestic and external demand to decline. The Yamanashi economy generally remained sluggish due to the effects of the pandemic.」

「Japan's economy in fiscal 2019 saw a slowing recovery in the first half of the fiscal year. Personal consumption remained resilient as employment and income conditions improved, but production weakened as external demand declined amid slowing overseas economies, while capital investment also lacked strength. In the second half, demand and production both declined as a result of the consumption tax increase and the spread of COVID-19, causing uncertainty to intensify rapidly.」

「During the third quarter of the fiscal year, Japan's production weakened as external demand declined amid slowing overseas economies. Personal consumption, which had remained resilient as employment and income conditions improved, also weakened from early autumn due to the consumption tax increase, poor weather and other factors, causing the recovery to slow overall. In the Yamanashi economy, production cuts in the machinery industry intensified, while capital investment and personal consumption also lacked strength, indicating a pause in the recovery.」

「During the second quarter of the fiscal year, Japan's economy remained stagnant. Personal consumption remained resilient as employment and income conditions improved, but production weakened as external demand declined amid the US-China trade tensions, while capital investment also lacked strength. In the Yamanashi economy, production cuts in the machinery industry intensified, while capital investment and personal consumption also lacked strength, slowing the previous recovery.」

「During the first quarter of the fiscal year, Japan's economy showed slight signs of slowing. Although the moderate recovery trend remained intact, production weakened as external demand declined amid the US-China trade tensions, while personal consumption and capital investment also showed weakness. In the Yamanashi economy, some areas of the machinery industry, including semiconductor manufacturing equipment and machine tools, were reducing production, while demand also lacked strength, slowing the pace of recovery.」

「Japan's economy in fiscal 2018 recovered moderately overall during the first half of the fiscal year, with production maintaining its growth momentum, led by export-related industries, while capital investment and personal consumption also improved. However, in the second half, exports stagnated and production began to weaken as a result of the US-China trade tensions and other factors, raising uncertainty about the economic outlook. In the Yamanashi economy, production remained at a high level in the first half, led by the machinery industry, while capital investment and personal consumption remained resilient, indicating a moderate recovery. In the second half, however, weak conditions emerged as production cuts spread to some areas of the machinery industry and a pause emerged in demand.」

「During the third quarter of the fiscal year, Japan's economy continued to recover moderately, with production remaining at a high level against the backdrop of strong overseas economies and capital investment and personal consumption showing resilience. However, following the summer, some weakness emerged as production and exports slowed amid the effects of repeated natural disasters and other factors. In the Yamanashi economy, production maintained its growth momentum, led by the strong machinery industry, while capital investment and personal consumption continued to recover, resulting in a moderate overall recovery. However, from early autumn, uncertainty emerged over the outlook for production as growth slowed in some areas of the machinery industry.」

「During the second quarter of the fiscal year, Japan's economy continued to recover overall, with production remaining at a high level against the backdrop of firm external demand and personal consumption continuing to recover as employment and income conditions improved. However, in the latter half of the period, concerns emerged that the economy could weaken as a result of natural disasters and other factors.」

「During the first quarter of the fiscal year, Japan's economy recovered moderately overall. Production increased moderately against the backdrop of improving overseas economies, while personal consumption continued to recover as employment and income conditions improved. In the Yamanashi economy, personal consumption on the demand side lacked some strength, but capital investment remained on a recovery trend and the machinery industry maintained its growth momentum, resulting in a moderate overall recovery.」

「Japan's economy in fiscal 2017 continued to recover throughout the fiscal year, with production increasing on the back of firm external demand, capital investment becoming more active as corporate earnings improved, and personal consumption also picking up moderately. In the Yamanashi economy, production remained at a high level, led by the machinery industry, while capital investment increased in areas such as capacity expansion, rationalisation and labour-saving investment. Personal consumption also showed signs of recovery against the backdrop of improving employment and income conditions, and the prefecture's economy generally recovered moderately.」

「During the third quarter of the fiscal year, Japan's economy recovered moderately overall. Production remained on an upward trend, led by export-related industries, as overseas economies improved, while capital investment and personal consumption also picked up. In the Yamanashi economy, growth accelerated in the machinery industry, particularly semiconductor manufacturing equipment and machine tools, while capital investment and personal consumption also showed signs of recovery, resulting in a moderate overall recovery.」

「During the second quarter of the fiscal year, Japan's economy continued to recover, with exports and production increasing against the backdrop of strong overseas economies and personal consumption broadly recovering as employment and income conditions improved. In the Yamanashi economy, capital investment and personal consumption were recovering on the demand side, while strong performance broadened in the machinery industry, particularly in semiconductor-related businesses, on the production side, indicating a moderate recovery.」

「During the first quarter of the fiscal year, Japan's economy generally followed a recovery trend. Production showed signs of recovery, supported by higher exports, while personal consumption gradually improved as employment and income conditions recovered moderately. In the Yamanashi economy, the machinery industry, particularly semiconductor-related businesses, performed well in terms of production, while demand also showed signs of recovery, with personal consumption and capital investment beginning to improve.」

「Japan's economy in fiscal 2016 generally remained stagnant in the first half of the fiscal year, as exports and production moved unevenly against the backdrop of slowing emerging-market economies and the yen's appreciation, while capital investment and personal consumption also lacked strength. In the second half, however, exports and production showed signs of recovery as concerns over a slowdown in emerging-market economies eased. In the Yamanashi economy, semiconductor manufacturing equipment and smartphone component-related businesses performed well, but growth in foreign visitors to tourism-related businesses appeared to be slowing, while capital investment and personal consumption remained weak.」

「During the third quarter of the fiscal year, Japan's economy generally remained within a flat range. Production and exports moved unevenly against the backdrop of slowing overseas economies, while capital investment and personal consumption also lacked strength. In the Yamanashi economy, some areas of the manufacturing sector, including semiconductor manufacturing equipment and smartphone-related products, performed well. However, the non-manufacturing sector lacked momentum, as growth in visitor arrivals to the previously strong tourism-related industries slowed.」

「During the second quarter of the fiscal year, Japan's economy generally remained stagnant. Exports and production moved unevenly against the backdrop of slowing overseas economies and the yen's appreciation, while capital investment and personal consumption also lacked strength. In the Yamanashi economy, some areas of the manufacturing sector, including semiconductor manufacturing equipment and smartphone components, performed well. However, momentum in the non-manufacturing sector appeared to be slowing, as growth in the previously strong tourism-related industries moderated amid sluggish growth in foreign visitors.」

「During the first quarter of the fiscal year, Japan's economy generally remained stagnant. Although employment and income conditions continued to improve, personal consumption remained lacklustre, while exports and production weakened against the backdrop of the yen's appreciation. In the Yamanashi economy, production in the key machinery industry remained broadly flat, while capital investment and personal consumption continued to reflect a cautious stance, leaving the economy generally lacking momentum.」