Tokyo — Japan factory activity grew at the slowest pace in the eight months of September due to lower production and orders, but service sector activity remained sluggish and the long-term coronavirus pandemic Emphasizes the impact.
au Jibun Bank Flash Japan Manufacturing Purchasing Managers Index (PMI) fell from the last 52.7 of the previous month to seasonally adjusted 51.2 in September, recording the slowest growth since January.
Factory activity faces headwinds due to the rapid spread of highly contagious delta variants and disruption of component supply due to a global shortage of semiconductor chips.
According to September data, Japanese manufacturers’ production shrank at the fastest pace in a year, while overall new orders shrank at the fastest pace in 10 months.
The PMI index of au Jibun Bank Flash Service rose from 42.9 in the final of the previous month to 47.4, which was seasonally adjusted, which was the lowest since the depth of the slump in Japan’s COVID-19 in May 2020, but continued to shrink. Did.
The au Jibun Bank Flash Japan Composite PMI, calculated using both the manufacturing and service industries, rose from 45.5 in the final in August to 47.7, but shrank for the fifth straight month.
“Flash PMI data shows that the activity of Japanese private sectors was further reduced in September,” said Usamah Bhatti, economist at IHS Markit, who summarized the study.
“The pace of decline was slower than that seen in August, as larger service sectors saw a significant reduction in contraction rates.”
According to the survey, manufacturers’ input prices have risen at the fastest pace since September 2008.
“Private sector input prices are rising at the fastest pace in 13 years, and companies are due to rising raw material, freight and labor costs amid supply shortages,” Bati said.