Japan’s Machine Tool Orders Reach 120.17 Billion Yen in August 2025

Japan’s Machine Tool Orders Reach 120.17 Billion Yen in August 2025 – Thailand Surges 73.5% from July

Latest Update October 14, 2025
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The Japan Machine Tool Builders’ Association (JMTBA) reported that the total value of Japan’s machine tool orders in August 2025 reached 120.17 billion yen (USD 792.15 million).
This represented a 6.4% decrease compared to July 2025, marking the second consecutive month of decline on a month-to-month basis. However, when compared to the same month of the previous year, orders increased 8.5% year-on-year (YoY), marking the second straight month of annual growth.

The total monthly orders have now exceeded 120 billion yen for six consecutive months, and remained above 110 billion yen for 54 consecutive months, indicating a steady recovery in the sector despite global economic headwinds.

Looking ahead, JMTBA expects machine tool orders to gradually improve in the second half of 2025, supported by both domestic and overseas demand, while noting potential downside risks from global economic uncertainty and the waning impact of U.S. tariff measures.

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Domestic Orders in Japan - August 2025

Domestic machine tool orders in Japan fell 10.0% from July to 31.90 billion yen (USD 210.24 million), down 0.9% year-on-year. This was the first time in three months that domestic orders dropped below 35 billion yen, reflecting a slowdown in growth both MoM and YoY.

By major industry compared to July:

  • Automotive: down 23.9%
  • Industrial machinery: down 2.4%
  • Electronics & precision machinery: down 17.4%
  • Aerospace, shipbuilding & transport equipment: up 13.5%

 

Foreign Orders - August 2025

Foreign orders totaled 88.28 billion yen (USD 581.90 million), down 5.0% from July, marking the fifth consecutive monthly decline. Nevertheless, foreign orders still rose 12.3% YoY, maintaining eleven straight months of annual growth.

By region:

  • Asia: Orders fell 9.1% MoM to 43.20 billion yen (USD 284.75 million), down 1.0% YoY
    • China: down 8.2% MoM to 29.32 billion yen (USD 193.30 million)
    • India: down 18.5% MoM to 4.98 billion yen (USD 32.84 million)
    • Thailand: surged 73.5% MoM to 1.79 billion yen (USD 11.78 million)
  • Europe: Orders decreased 14.0% MoM to 14.14 billion yen (USD 93.23 million), but jumped 32.1% YoY
  • North America: Orders rose 8.8% MoM to 29.08 billion yen (USD 191.67 million), marking a 26.5% YoY increase
    • United States: up 1.2% MoM to 24.08 billion yen (USD 158.73 million)


(1 JPY = 0.0066 USD)

Read more: Japan Machine Tool Orders: July 2025