The following is the unedited transcript of the news release from the Ministry of Economy, Trade and Industry, Japan


Industrial Production

Industrial Production in May increased 5.9% from the previous month, showing an increase for the third consecutive month. It showed a decrease of 29.5% from the previous year. The index in May was 79.2(seasonally adjusted).

Industries that mainly contributed to the increase are as follows: 1. Transport equipment, 2.Electronic parts and devices, 3.Steel and Iron, in that order.

Commodities that mainly contributed to the increase are as follows: 1.Large passenger cars, 2.Portable telephone, 3.Drive, transmission and Control parts, in that order.

Survey of Production Forecast ( for June and July)

According to the Survey of Production Forecast in Manufacturing, Production is expected to increase 3.1% in June and to increase 0.9% in July.

Industries that mainly contributed to the increase in June are as follows: 1. General machinery, 2. Electronic parts and devices, 3.Information and communication electronics equipment, in that order.

Industries that mainly contributed to the increase in July are as follows: 1. Transport equipment, 2. Steel and Iron, 3. Information and communication electronics equipment, in that order.

The Realization Ratio in May was plus 0.8%. The Amendment Ratio in June was plus 1.2%.

The Survey of Production Forecast is conducted monthly to search the planned production amounts for the current and proceeding months. The survey is one of the useful economic indicators which reflect changing business conditions and provide a view of where the economy is heading in near future.

The Realization Ratio is defined as the ratio of the real amount of the previous month in the current time''s survey to the estimated amount for the current month in the previous time''s survey.

The Amendment Ratio is defined as the ratio of estimated amount for the current month in the current time''s survey to the estimated amount for the following month in the previous time''s survey.

Changes in Shipments

Shipments in May increased 4.5% from the previous month, showing an increase for the third consecutive month. It showed a decrease of 30.0% from the previous year. The index in May was 78.7(seasonally adjusted).

Industries that mainly contributed to the increase are as follows: 1.Transport equipment, 2.Electronic parts and devices, 3. Information and communication electronics equipment, in that order.

Changes in Inventory

Inventory in May decreased 0.6% from the previous month, showing a decrease for the fifth consecutive month. It showed a decrease of 8.3% from the previous year. The index in May was 96.5(seasonally adjusted).

Industries that mainly contributed to the decrease are as follows: 1.Information and communication electronics equipment, 2.Chemicals, 3.Electronic parts and devices, in that order.