Latest news with #ReutersTankan
Yahoo
20-05-2025
- Business
- Yahoo
Japanese manufacturers less confident due to Trump tariff action
By Kaori Kaneko TOKYO (Reuters) - Japanese manufacturers were less confident about business conditions in May compared with April and they expect sentiment to weaken over the next three months as changing U.S. tariff action saps optimism, a Reuters Tankan poll showed. The subdued mood illustrates the challenge policymakers face after the economy shrank in the January-March quarter, with recovery under threat from U.S. President Donald Trump's trade policy involving the imposition and suspension of steep tariffs. In the monthly poll, which tracks the Bank of Japan's quarterly business survey, the manufacturers' business sentiment index slipped to plus 8 in May from plus 9 in April. Manufacturers also said sentiment is likely to weaken to plus 7 over the coming three months. Still, the figures remain in positive territory, indicating optimists outnumber pessimists about business conditions. The Reuters poll surveyed 504 major non-financial companies of which 224 responded on condition of anonymity. Issues raised included rising prices and Chinese economic stagnation. The poll was conducted from May 7-16, after Japan held a second round of tariff talks with the United States. Japan wants the U.S. to fully remove tariffs on its goods, including a 25% duty on automobiles and auto parts. "Uncertainty over the outlook, including the U.S. tariffs, persists," a manager at an electronics machinery maker wrote in the survey. "Business conditions are not good due to the delay and freezing of capital investment in Japan caused by the U.S. trade policies," said a manager at a steelmaker. Still, sentiment in the transport sector jumped to its highest level since December 2023, with one manager saying their business had experienced an increase in vehicle production volume. In the near term, firms in the transport and metal products said sentiment is likely to worsen due to tariff uncertainty, accelerating inflation and China's weakening economy. For the service sector, the business sentiment index stood at plus 30 in May, unchanged from April. Companies expect sentiment to weaken to plus 28 in the three months ahead. Rising labour and raw material costs weighed on confidence, said a manager at a transportation firm, whereas some managers found support from inbound tourism. Error in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
25-04-2025
- Business
- Yahoo
Japan manufacturers turn cautious about business outlook due to Trump tariffs: Reuters poll
By Makiko Yamazaki TOKYO (Reuters) - Japanese manufacturers expressed improved business sentiment in April versus March though are bearish about their outlook over the next three months as they brace for the impact of sweeping U.S. import tariffs, a Reuters Tankan poll found. The poll, which tracks the Bank of Japan quarterly business survey, yielded a manufacturers' business sentiment index of plus 9 in April, recovering from minus 1 in March. For the three months ahead, however, the index was seen falling back to zero. A positive figure indicates optimistic respondents outnumber those who are pessimistic about their business outlook. The poll was conducted over April 2-11, just as U.S. President Donald Trump introduced a 25% tariff on car and truck imports and a further 24% tariff on Japanese goods - though the latter has been cut to 10% for 90 days. The outlook turned sour particularly among export-heavy businesses such as automotive and machinery makers. "With uncertainty increasing around Trump's tariffs and other global affairs, we've seen a slump in orders since late February and there are a number of other worrying factors ahead," a manager at a precision machinery maker wrote in the survey on condition of anonymity. "It's absolutely impossible to predict the impact of Trump's tariffs," wrote a manager in the automotive sector. Another manager at a machinery maker said clients have been cautious about investing due to tariff uncertainty. Some also cited weakness in China's economy as a source of concern. "Weak demand in China has caused low-priced products to flow into the Japanese market," a chemicals firm manager wrote. Of 505 major, non-financial companies surveyed, 222 responded. The poll's service-sector business sentiment index rose to plus 30 in April from plus 25 in March, while the index was seen at plus 21 in the three months ahead. Real estate and information service firms were confident about their outlook whereas shipping firms voiced concern about rising labour costs and falling volume due to intensifying Sino-U.S. trade tension. Sign in to access your portfolio
Yahoo
15-04-2025
- Business
- Yahoo
Japan manufacturers turn cautious about business outlook due to Trump tariffs: Reuters poll
By Makiko Yamazaki TOKYO (Reuters) - Japanese manufacturers expressed improved business sentiment in April versus March though are bearish about their outlook over the next three months as they brace for the impact of sweeping U.S. import tariffs, a Reuters Tankan poll found. The poll, which tracks the Bank of Japan quarterly business survey, yielded a manufacturers' business sentiment index of plus 9 in April, recovering from minus 1 in March. For the three months ahead, however, the index was seen falling back to zero. A positive figure indicates optimistic respondents outnumber those who are pessimistic about their business outlook. The poll was conducted over April 2-11, just as U.S. President Donald Trump introduced a 25% tariff on car and truck imports and a further 24% tariff on Japanese goods - though the latter has been cut to 10% for 90 days. The outlook turned sour particularly among export-heavy businesses such as automotive and machinery makers. "With uncertainty increasing around Trump's tariffs and other global affairs, we've seen a slump in orders since late February and there are a number of other worrying factors ahead," a manager at a precision machinery maker wrote in the survey on condition of anonymity. "It's absolutely impossible to predict the impact of Trump's tariffs," wrote a manager in the automotive sector. Another manager at a machinery maker said clients have been cautious about investing due to tariff uncertainty. Some also cited weakness in China's economy as a source of concern. "Weak demand in China has caused low-priced products to flow into the Japanese market," a chemicals firm manager wrote. Of 505 major, non-financial companies surveyed, 222 responded. The poll's service-sector business sentiment index rose to plus 30 in April from plus 25 in March, while the index was seen at plus 21 in the three months ahead. Real estate and information service firms were confident about their outlook whereas shipping firms voiced concern about rising labour costs and falling volume due to intensifying Sino-U.S. trade tension. Sign in to access your portfolio
Reuters
15-04-2025
- Business
- Reuters
Japan manufacturers turn cautious about business outlook due to Trump tariffs: Reuters poll
TOKYO, April 16 (Reuters) - Japanese manufacturers expressed improved business sentiment in April versus March though are bearish about their outlook over the next three months as they brace for the impact of sweeping U.S. import tariffs, a Reuters Tankan poll found. The poll, which tracks the Bank of Japan quarterly business survey, yielded a manufacturers' business sentiment index of plus 9 in April, recovering from minus 1 in March. For the three months ahead, however, the index was seen falling back to zero. A positive figure indicates optimistic respondents outnumber those who are pessimistic about their business outlook. The poll was conducted over April 2-11, just as U.S. President Donald Trump introduced a 25% tariff on car and truck imports and a further 24% tariff on Japanese goods - though the latter has been cut to 10% for 90 days. The outlook turned sour particularly among export-heavy businesses such as automotive and machinery makers. "With uncertainty increasing around Trump's tariffs and other global affairs, we've seen a slump in orders since late February and there are a number of other worrying factors ahead," a manager at a precision machinery maker wrote in the survey on condition of anonymity. "It's absolutely impossible to predict the impact of Trump's tariffs," wrote a manager in the automotive sector. Another manager at a machinery maker said clients have been cautious about investing due to tariff uncertainty. Some also cited weakness in China's economy as a source of concern. "Weak demand in China has caused low-priced products to flow into the Japanese market," a chemicals firm manager wrote. Of 505 major, non-financial companies surveyed, 222 responded. The poll's service-sector business sentiment index rose to plus 30 in April from plus 25 in March, while the index was seen at plus 21 in the three months ahead. Real estate and information service firms were confident about their outlook whereas shipping firms voiced concern about rising labour costs and falling volume due to intensifying Sino-U.S. trade tension.
Reuters
18-03-2025
- Business
- Reuters
Japan manufacturers' mood sours in March over Trump tariffs, Chinese economy
Summary Manufacturers sentiment index -1 in March vs +3 in February Index for non-manufacturers falls to +25 from +30 Manufacturers index seen at +4 in June, non-manufacturers at +28 For table of results, please click here TOKYO, March 19 (Reuters) - Business sentiment among Japanese manufacturers in March worsened for the first time in three months into negative territory on concerns about U.S. tariff policies and weakness in China's economy, a Reuters Tankan poll found. The poll, which tracks the BOJ quarterly business survey, showed the manufacturers' index at minus 1 in March, down from plus 3 in February. It marks the first negative reading since December when it was also minus 1. A negative figure means pessimistic respondents outnumber those optimistic about the business outlook. Later in the day, the central bank will end a policy meeting with expectations high that its key rate will be kept at 0.50% as board members assess the risks to Japan's export-reliant economy posed by U.S. tariffs on many of its major trading partners. "Although we recognise that the long-term demand environment is strong, there may be fluctuations in short-term customer trends," wrote a manager at a nonferrous metal maker in the survey, citing the impact of the uncertainty surrounding tariffs. Others noted a stagnant Chinese economy had meant fewer orders. "Orders that had been mainly from China are now being replaced by production in Japan and other overseas locations," a manager at a chemical firm wrote. "Orders from these locations are increasing, but they haven't yet gotten to the point where they contribute to significant sales," the manager added. The March 5-14 poll of large non-financial companies was conducted by Nikkei Research for Reuters with 225 firms responding on condition of anonymity. The service-sector sentiment index fell to plus 25 in March from plus 30 in February, a second month of decline. "We were unable to pass on all the higher costs of labour, work and transport, and there was a decrease in distribution volume due to rising prices," a transport firm manager wrote. Sentiment was somewhat more upbeat for three months ahead with the manufacturers index seen at plus 4 in June and the non-manufacturers index seen at plus 28.
