1. Home
  2. News Releases
  3. Back Issues
  4. July FY2018
  5. Results of the Regional Economic and Industrial Research (April-June 2018)

Results of the Regional Economic and Industrial Research (April-June 2018)

July 26, 2018

The Ministry of Economy, Trade and Industry (METI) has compiled the results of the regional economic and industrial research that the regional Bureaus of Economy, Trade and Industry conduct on a quarterly basis to identify regional economic trends, and METI hereby releases the results.

[Highlights]
The assessment of the national economic situation remains the same as that in the previous quarter. It is “improving moderately.” Compared to the previous quarter, the assessment of the regional economic situation remains the same across Japan.

1. Regional Economic and Industrial Research

The regional Bureaus of Economy, Trade and Industry survey enterprises in their service areas using interviews and other survey techniques on a quarterly basis for the purpose of identifying economic trends in the areas, such as those related to business conditions, production, and investment in facilities, and they collect and analyze the survey results.

2. General summary

The national economic situation is improving moderately (no change).
Production shows steady performance as seen in the brisk performance of semiconductor-related products in the general-purpose, production, and business-oriented machinery industries as well as products in the electronic parts and devices industry for automobiles. Business investment shows proactive movement in investments in productivity and labor-saving equipment. The employment situation remains at a high level in the jobs-to-applicants ratio. As for private consumption, sales of high-priced goods remain brisk and consumption by overseas tourists to Japan also continues to be brisk, while sales of clothing are sluggish due to weather and other conditions.

3. Regional summaries

[Hokkaido] Picking up (no change)
Production shows signs of picking up due to a production increase in steel and automobile components, while the electric appliances industry shows a decrease in production. Private consumption is picking up due to the steady performance in sales of duty-free items and food and beverages. As for tourism, private consumption remains brisk due to an increase in the number of overseas tourists and other factors.

[Tohoku] Picking up moderately although some businesses show weak performance (no change)
Production shows signs of picking up due to semiconductor-related production remaining at a high level. Private consumption is at a standstill due to weak movement in sales of clothing and other products. Business investment shows signs of picking up due to an increase in demand and introduction of automation.

[Kanto] Improving (no change)
Production shows signs of picking up because of briskness in the general machinery industry. The employment situation is improving in a steady manner. Private consumption is picking up backed by recovery of consumer confidence seen in the middle-class consumers shopping at department stores. Private consumption shows signs of picking up, while some businesses have been negatively influenced by weather.

[Tokai] Improving (no change)
Production shows a moderate increase in the transportation equipment and electronic parts and devices industries. Private consumption is moderately picking up due to the steady performance in convenience stores and drug stores.

[Hokuriku] Improving (no change)
Production remains at a high level mainly in the chemicals and electronic parts and devices industries, while some businesses are influenced by labor shortages and other factors. Private consumption is moderately picking up due to continuing brisk sales at drug stores.

[Kansai] Improving moderately (no change)
Production shows signs of picking up moderately, mainly in the general-purpose, production and business-oriented machinery and electrical machinery industries. Private consumption is improving moderately, still backed by brisk sales of duty-free items and high-priced goods, while weak movement is seen in sales of clothing and foods and beverages.

[Chugoku] Picking up (no change)
Overall production remains flat due to high operating ratios continuing in major industries. Private consumption is experiencing a pause in an improving trend due to the sluggishness of sales of seasonal products caused by an increase in rainy days over the annual average.

[Shikoku] Picking up moderately (no change)
Production shows signs of picking up moderately, backed by steady demand in the pulp, paper and paper products, electrical machinery and metal products industries. Private consumption shows signs of picking up while some businesses have been negatively influenced by weather and other factors.

[Kyushu] Improving moderately (no change)
Production continues to be at a high level. As for business investment, some businesses are investing in facilities to increase production and in opening new stores. Private consumption shows steady performance in sales of high-priced goods, cosmetics and other goods while sales of clothing are sluggish.

[Okinawa] Continuing to improve (no change)
Against the backdrop of the increase in the number of tourists and the improvement of employment environments, private consumption continues to improve. Business investment is also picking up.

Note: The term “upward” means a higher performance from the previous research results, the term “no change” means performance remaining flat, and the term “downward” means lower performance.

Division in Charge

Regional Economic and Industrial Research Office, Regional Economic and Industrial Policy Group