Japan factory output rose 5.9 percent in April

By AFP

July 15, 2010 Updated Jun 14, 2009 at 9:41 PM CDT

Japan's factory output rose 5.9 percent in April from the previous month, revised data showed, boosting hopes Asia's biggest economy is emerging from its worst post-World War II slump.

The government last month estimated that production rose 5.2 percent in April, the fastest monthly pace in more than half a century as output of electronic parts and chemicals picked up after a long decline.

The revised reading helped boost the Nikkei benchmark stock index above 10,000 for the first time in eight months.

Compared with a year earlier, industrial production was still down 30.7 percent as a result of the global downturn, which has hit the export-led economy by reducing demand for its cars, electronics and other goods.

The production index rose for a second consecutive month, and the trade and industry ministry said that "factory output is seen to be recovering overall."

Revised figures showed April shipments rose 3.0 percent month-on-month.

The new data left a 2.7 percent fall in inventory stockpiles unchanged.

Production is expected to surge 8.8 percent in May from April and 2.7 percent in June, according to the manufacturers' own forecasts.

To submit a comment on this article, your email address is required. We respect your privacy and your email will not be visible to others nor will it be added to any email lists.