The Japan Machine Tool Builders’ Association reported total orders of ¥197.87 billion for August 2026, up 64.7% year on year and 2.5% month on month, marking the second-highest level on record for the summer period.
Japan’s total machine tool orders in August 2026 came to ¥197.87 billion, up 2.5% month on month and 64.7% year on year. Orders remained above ¥190 billion for the third consecutive month during the summer period, reaching the second-highest level after the ¥203.4 billion recorded in June this year. The figures indicate that strong capital equipment demand is continuing.
By breakdown, domestic demand was ¥51.52 billion, remaining above ¥50 billion for the third consecutive month. Demand for backup power at data centers, semiconductor manufacturing equipment and power generation-related products continued to support the high level, while the automotive and aerospace, shipbuilding and transport equipment sectors also maintained a certain level of demand. Overseas demand was ¥146.35 billion, up 4.6% month on month and 65.8% year on year, setting a new record. Among major regions, large orders from North America remained strong, Europe was recovering despite the impact of summer holidays, and Asia maintained a high level.
Looking ahead, a survey conducted in early September showed that the order trend DI for the fourth quarter stood at +8.7pt, indicating an upward trend, and orders are expected to remain at a high level toward year-end. Although demand for data centers and semiconductor-related products is continuing to expand, the possible impact of fluctuations in the supply of parts and materials and in the international situation also warrants attention. Against a backdrop of recovering domestic demand and growing appetite for investment in automation and higher efficiency, many view the broad trend of capital investment as likely to continue.