FILE PHOTO: An employee wearing a protective face mask and face guard works on the automobile assembly line as the maker ramps up car production with new security and health measures as a step to resume full operations, during the outbreak of the coronavirus disease , at Kawasaki factory of Mitsubishi Fuso Truck and Bus Corp., owned by Germany-based Daimler AG, in Kawasaki, south of Tokyo, Japan May 18, 2020.
As the pandemic’s pain persists, a ruling party heavyweight signalled Japan’s readiness to compile a “large-scale, bold” additional spending package. “The big manufacturers’ index turned out a little weaker than expected, reflecting an uneven recovery,” said Takeshi Minami, chief economist at Norinchukin Research Institute.
Both manufacturers and non-manufacturers expect conditions to improve three months ahead, giving new premier Suga some breathing space. Total spending plans by companies of all size and industry for the current fiscal year fell 2.7%, the biggest drop marked in any September survey since fiscal 2009, the tankan showed.
Factory activity posted its longest streak of declines on record in September, a separate private survey showed on Thursday, underscoring the huge toll the health crisis has taken on the manufacturing sector.
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