Japan Machine Tool Orders Down for 10th Month

Economy

Tokyo, Aug. 22 (Jiji Press)--Machine tool order receipts in Japan tumbled 33.0 pct year on year to 101,278 million yen in July, down for the 10th consecutive month, an industry group said Thursday.

The decline came as companies kept their wary stance on fixed investment on the back of a prolonged U.S.-China war, the Japan Machine Tool Builders' Association said.

"It's hard to predict when demand for capital investment will turn upward," said Yukio Iimura, chairman of the association and also of Toshiba Machine Co. <6104>.

Meanwhile, Iimura played down the impact of the Japanese government's removal of South Korea from its list of trusted trade partners, set for Wednesday, on domestic machine tool builders, saying, "Products can be exported (to South Korea) after going through due procedures."

"But chances cannot be ruled out that the ongoing South Korean campaign to boycott Japanese products will have adverse effects if it extends into industrial machines," he pointed out.

[Copyright The Jiji Press, Ltd.]

Jiji Press