Global Recessions and Declining Logistics Demand
First written in FY2016. 12 of 33 entries say "Worsened", first in FY2017-Q2. Latest entry: 2026-08-04.
Mitsui-Soko Holdings moved to the "Worse" side of this theme in 2019, 1 year after the typical company in this theme (2018).
The whole theme swung hardest in 2022: 7 of 7 companies on the "Worse" side.
1 other company's latest entry also says "Mitigated".
- 2026-08-04MitigatedEarnings
「The inventory adjustment phase among customer companies has paused, and cargo movements are gradually recovering.」
The pause in inventory adjustments and recovery in cargo movements indicate that the risk of shrinking logistics demand continues to ease partially. - FY2026MitigatedAnnual report
「Customers' inventory adjustments for raw materials, components and other items came to a pause, and domestic cargo volumes remained flat. Air cargo volumes, meanwhile, were solid.」
Inventory adjustments came to a pause and air cargo volumes were reported to be solid, indicating a partial easing of the risk of shrinking logistics demand. - FY2026-H1MitigatedAnnual report
「Customers' inventory adjustments for raw materials, components and other items came to a pause, and domestic cargo volumes remained flat. Air cargo volumes, meanwhile, were solid.」
The inventory adjustment phase that had continued through the previous fiscal year came to a pause. Domestic cargo was flat, while air cargo was reported to be solid, indicating a partial easing of the risk of shrinking logistics demand. - FY2024-Q2RestatedAnnual report
「As companies continued adjusting inventories through the second quarter of the current fiscal year, international cargo volumes remained subdued.」
Inventory adjustments and subdued international cargo volumes have continued, indicating that the contraction in logistics demand is persisting. - FY2024-Q1WorsenedAnnual report
「Through the previous fiscal year, companies built up inventories of raw materials, components and other items in response to supply chain disruptions. Since the first quarter of the current fiscal year, however, inventory adjustments have continued, keeping international cargo volumes subdued.」
The shift from inventory build-ups during the supply chain disruptions to inventory adjustments has kept international cargo volumes subdued. The risk of shrinking logistics demand is emerging in the actual business environment. - FY2023-Q3MitigatedAnnual report
「Disruptions in the ocean freight market, including shortages of shipping containers, and constraints on cargo space due to reduced passenger flights are moving toward resolution. Although shortages of ocean and air transport capacity and soaring freight rates remain above pre-pandemic levels, they have recently shown signs of easing.」
Although supply constraints and soaring freight rates remain above pre-pandemic levels, the shortage of transport capacity is moving toward resolution and freight rates have recently stabilized, indicating some easing of the previous risks in the logistics environment. - FY2023-Q2Supply constraints and soaring freight rates continueAnnual report
「The prolonged situation in Ukraine and restrictions on economic activity, including lockdowns in China, have constrained companies' procurement of basic raw materials and components. Disruptions in the ocean freight market, including shortages of shipping containers, and constraints on cargo space due to reduced passenger flights have continued. Accordingly, although shortages of ocean and air transport capacity and soaring freight rates have recently shown signs of easing, they remain above pre-pandemic levels.」
In addition to the situation in Ukraine, restrictions on economic activity in China and constraints on component procurement, shortages of ocean and air transport capacity and elevated freight rates have continued. Meanwhile, economic and social activity and imports and exports have shown signs of recovery. Improvement factors and external-environment risks coexist, so this was classified as Other. - FY2023-Q1WorsenedAnnual report
「In the first quarter, the global economy remained challenging, as the prolonged situation in Ukraine, restrictions on economic activity in China, intensifying inflationary pressure and constraints on the procurement of basic raw materials and components weighed on corporate activity and consumption. In the environment surrounding logistics, exports related to automobiles remained sluggish, partly due to difficulty procuring components resulting from the impact of lockdowns in China, while the cargo turnover rate, an indicator of cargo movement, declined slightly year on year.」
The situation in Ukraine, restrictions on economic activity in China, inflation and procurement constraints added to the challenging conditions for demand and the external environment, as reflected in sluggish automobile-related exports and a slight year-on-year decline in the cargo turnover rate. - FY2022Recovery in imports and exports coexists with supply chain disruptionAnnual report
「Meanwhile, in the environment surrounding logistics, imports and exports are trending toward recovery compared with the previous fiscal year, but the timing of the end of the global supply chain disruption remains difficult to predict.」
While signs of recovery in imports and exports and cargo demand were evident, the timing of the end of the supply chain disruption could not be predicted, with improvement and uncertainty coexisting. - FY2022-Q3WorsenedAnnual report
「Meanwhile, in the environment surrounding logistics, imports and exports are trending higher year on year, but the global disruption to supply chains remains difficult to predict when it will subside.」
While the recovery in imports and exports represents an improvement, the timing of the end of the global supply chain disruption remains difficult to predict, indicating that uncertainty in the external environment persists. - FY2022-Q2MitigatedAnnual report
「In the second quarter, Japan's economy remained partly uncertain, but the industrial production index showed signs of recovery year on year. In the environment surrounding logistics, imports and exports, particularly involving China, Europe and the United States, also trended higher year on year, while the cargo turnover rate, an indicator of cargo movement, increased year on year.」
Although some uncertainty remains, imports and exports and the cargo turnover rate recovered year on year, and the risk of weaker logistics demand continued to ease. - FY2022-Q1MitigatedAnnual report
「Although uncertainty remains over the outlook for the environment surrounding logistics, the cargo turnover rate, an indicator of cargo movement, increased year on year.」
While uncertainty over the outlook remains, the cargo turnover rate increased year on year, indicating some improvement in logistics demand. - FY2021WorsenedAnnual report
「In the environment surrounding logistics, stored cargo volumes increased slightly year on year due to cargo stagnation, while the cargo turnover rate, an indicator of cargo movement, remained weak.」
As the impact of COVID-19 continued for an extended period, the weakness in the cargo turnover rate and cargo stagnation continued throughout the fiscal year. - FY2021-Q3WorsenedAnnual report
「In the environment surrounding logistics, stored cargo volumes increased slightly year on year, but the cargo turnover rate, an indicator of cargo movement, has remained weak, indicating a tendency toward cargo stagnation. As infections have begun to spread again in Japan and across Europe and the United States, the outlook for the global economy as a whole remains uncertain.」
While stored cargo volumes increased slightly, the cargo turnover rate remained weak and cargo stagnation continued, compounded by uncertainty in the global economy resulting from the renewed spread of infections in Japan and overseas. - FY2021-Q2MitigatedAnnual report
「In the environment surrounding logistics, stored cargo volumes increased slightly year on year, while the decline in the cargo turnover rate, an indicator of cargo movement, has continued to ease but remains weak, indicating a tendency toward cargo stagnation. Continued close monitoring of the spread of infection is required, and the outlook remains uncertain.」
Stored cargo volumes increased slightly year on year, and the decline in the cargo turnover rate also narrowed, indicating some improvement from the sharp decline in the previous quarter. Meanwhile, the turnover rate remains weak, and cargo stagnation and an uncertain outlook continue. - FY2021-Q1MaterialisedAnnual report
「In the environment surrounding logistics, economic activity has been restricted in Japan and overseas to prevent the spread of infection. Although stored cargo volumes increased slightly year on year, the cargo turnover rate, an indicator of cargo movement, has recently declined substantially, and the challenging environment indicating stagnation in cargo movement continues.」
The risks of global economic uncertainty and weaker logistics demand have emerged in the actual business environment as restrictions on economic activity, a substantial decline in the cargo turnover rate and stagnation in cargo movement. - FY2020WorsenedAnnual report
「In addition to global economic uncertainty caused by rising labor costs due to labor shortages and the prolonged US-China trade friction, downward pressure on the global economy has intensified as the economic impact of the global spread of COVID-19 has worsened, with restrictions on going out, lockdowns and other measures implemented in Japan and overseas to contain the infection. The outlook remains uncertain.」
In addition to the existing risks of economic downturns and weaker demand, the global spread of COVID-19, restrictions on going out and lockdowns added to downward pressure on the economy, increasing risks in the external environment. - FY2020-Q3WorsenedAnnual report
「In the environment surrounding logistics, stored cargo volumes are trending higher, but the cargo turnover rate, an indicator of cargo movement, has recently declined year on year. Labor costs continue to rise due to labor shortages, while the latest monthly trade statistics show that import and export values for major regions, including the United States, China and the EU, continue to decline year on year. Global economic uncertainty also persists, including uncertainty over the outlook for the Chinese economy due to the effects of US-China trade friction, and the challenging operating environment continues.」
While stored cargo volumes are trending higher, the cargo turnover rate shifted to a year-on-year decline, compounded by lower import and export values for major regions and uncertainty over the outlook for the Chinese economy. Risks related to demand and the external environment are increasing. - FY2020-Q2WorsenedAnnual report
「In the environment surrounding logistics, stored cargo volumes are trending higher, but the cargo turnover rate, an indicator of cargo movement, has recently declined year on year. The challenging operating environment continues amid global economic uncertainty, including rising labor costs due to labor shortages, the effects of US-China trade friction and higher crude oil prices.」
While stored cargo volumes increased, the cargo turnover rate, which had been flat through the previous quarter, shifted to a year-on-year decline, compounded by trade friction and higher crude oil prices. - FY2020-Q1Cargo turnover rate changes from declining to flatAnnual report
「In the environment surrounding logistics, stored cargo volumes are trending higher year on year, while the turnover rate, an indicator of cargo movement, has remained flat. The business environment remains uncertain due to rising labor costs resulting from labor shortages and the lack of visibility into the effects of US-China trade policy.」
While the cargo turnover rate, which had been trending lower in the previous fiscal year, became flat, stored cargo volumes increased, labor costs rose and uncertainty over US-China trade policy remained, with improvement and headwinds coexisting. - FY2019WorsenedAnnual report
「In the environment surrounding logistics, stored cargo volumes are trending higher year on year, but the turnover rate, an indicator of cargo movement, is trending lower. The challenging operating environment continues amid rising labor costs due to labor shortages and uncertainty over the direction of US-China trade policy.」
While higher stored cargo volumes represent a positive factor, the cargo turnover rate has shifted to a declining trend, compounded by rising labor costs and uncertainty over US-China trade policy. - FY2019-Q3Cargo turnover rate changes from declining to flatAnnual report
「In the business environment surrounding logistics, both stored cargo volumes and the cargo turnover rate, an indicator of cargo movement, were flat year on year recently. The challenging operating environment, including elevated labor costs due to labor shortages, continues.」
While the cargo turnover rate had been described as declining in the previous quarter, both stored cargo volumes and the cargo turnover rate were flat year on year recently in the current quarter. Meanwhile, the challenging environment, including elevated labor costs, continues. - FY2019-Q2WorsenedAnnual report
「In the business environment surrounding logistics, stored cargo volumes have continued to increase year on year, while the cargo turnover rate, an indicator of cargo movement, has been trending downward. The challenging operating environment, including elevated labor costs due to labor shortages, continues.」
While stored cargo volumes have increased, the cargo turnover rate, which had been rising or flat through the previous quarter, changed to a declining trend, and elevated labor costs have continued. - FY2019-Q1Higher stored cargo volumes, a flat turnover rate and rising costs coexistAnnual report
「In the business environment surrounding logistics, stored cargo volumes have continued to increase year on year, while the cargo turnover rate, an indicator of cargo movement, has recently been broadly flat compared with the previous fiscal year, when it had continued to rise. In addition, labor costs due to labor shortages have continued to increase, and the challenging operating environment persists.」
While stored cargo volumes increased year on year, the cargo turnover rate was recently broadly flat, and labor costs continued to rise due to labor shortages. Improvement in the demand environment coexists with stagnation and rising costs. - FY2018Cargo movement recovery coexists with declining stored cargo volumes and rising costsAnnual report
「In the logistics industry, the cargo turnover rate, an indicator of cargo movement, has continued to rise moderately, while stored cargo volumes have trended slightly lower year on year. The challenging operating environment has also continued, due to rising labor costs resulting from labor shortages among drivers and other workers, as well as rising crude oil prices.」
While the increase in the cargo turnover rate represents an improvement, stored cargo volumes continue to decline and labor and crude oil costs continue to rise, with demand headwinds and cost pressures coexisting. - FY2018-Q3Improvement trend continues, but stored cargo volumes decline slightlyAnnual report
「In the logistics industry, stored cargo volumes declined slightly year on year, while the turnover rate, an indicator of cargo movement, rose moderately.」
Stored cargo volumes changed from being broadly flat in the previous quarter to declining slightly, while the increase in the turnover rate for cargo movement continued, indicating that improvement and weakness coexist in the demand environment. - FY2018-Q2MitigatedAnnual report
「In the logistics industry, stored cargo volumes have remained broadly flat year on year, while the turnover rate, an indicator of cargo movement, has increased.」
The deterioration in stored cargo volumes weakened from a year-on-year decline to broadly flat levels, while the turnover rate, an indicator of cargo movement, also increased, indicating some improvement in the logistics demand environment. - FY2018-Q1Cargo movement shows signs of recovery, while stored cargo volumes continue to declineAnnual report
「In the logistics industry, stored cargo volumes have continued to trend downward year on year, while the turnover rate, an indicator of cargo movement, has been rising.」
Although stored cargo volumes continue to decline, the turnover rate, an indicator of cargo movement, has been rising, indicating some improvement in the demand environment. - FY2017Some improvement, but recovery remains unstableAnnual report
「In the logistics industry, stored cargo volumes by quantity have continued to decline year on year, while the turnover rate, an indicator of cargo movement, has shown some signs of a slight recovery year on year, although the operating environment remains challenging and a stable recovery has yet to be achieved.」
While the turnover rate for cargo movement showed some signs of improvement, stored cargo volumes remained below the previous year and the unstable recovery continued. - FY2017-Q3WorsenedAnnual report
「In addition to concerns over a slowdown in the Chinese and emerging-market economies, the external environment is becoming increasingly uncertain due to the UK's departure from the EU and the change of administration in the United States. In the logistics industry, stored cargo volumes have remained below the same month of the previous year, while the turnover rate, an indicator of cargo movement, has yet to recover.」
The change of administration in the United States, along with concerns over a slowdown in the Chinese and emerging-market economies, was cited as contributing to greater uncertainty in the external environment. Stored cargo volumes also remained below the previous year, and cargo movement had yet to recover. - FY2017-Q2WorsenedAnnual report
「In addition to concerns over a slowdown in the Chinese and emerging-market economies, the external environment is becoming increasingly uncertain due to the UK's departure from the EU and expectations of further rate hikes in the United States. In the logistics industry, stored cargo volumes have remained below the same month of the previous year, while the turnover rate, an indicator of cargo movement, has yet to recover.」
In addition to growing uncertainty in the external environment, stored cargo volumes remain below the previous year and cargo movement has yet to recover, indicating that weak logistics demand is continuing and worsening. - FY2017-Q1MaterialisedAnnual report
「In the logistics industry, stored cargo volumes have continued to trend below the same month of the previous year, while the turnover rate, an indicator of cargo movement, has remained below a level indicating recovery.」
Weak logistics demand is evident in the continued decline in stored cargo volumes and the lack of recovery in the turnover rate. - FY2016First statedAnnual report
「In particular, economic downturns in North America, Europe, Japan, China and Southeast Asia, together with the resulting decline in demand, may lead to lower inventories, reduced intra-regional transportation, reduced international transportation and lower freight rates in markets with intense price competition.」
Economic downturns and weaker demand were identified as major risks, and the company also reported deteriorating profitability in its overseas operations during the current fiscal year against a backdrop of a sluggish global economy.