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Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Singapore Asia Pacific World Japan factory output up 1.3 percent in April AFP - 2 hours 39 minutes ago Send IM Story Print Japan factory output up 1.3 percent in April Slideshow: Full Photo Coverage: Business & Economy TOKYO (AFP) - – Japan's industrial output rose 1.3 percent in April from the previous month, official data showed Monday, as strong demand from China and emerging Asian nations continue to help buoy the economy. However, the reading, which was the second consecutive month of growth after rising a revised 1.2 percent in March, missed average market expectations for an increase of 2.5 percent. Shipments gained 1.6 percent from March, the Ministry of Economy, Trade and Industry said, as inventory stockpiles rose 0.3 percent. The April figure showed an increase of 25.9 percent from the previous year, the ministry said. Saddled with a stagnant jobs market, weak domestic demand and persistent deflation, Japan is reliant on external trade to boost its economy. Booming exports helped gross domestic product grow by an annualised 4.9 percent in the January-March period. But figures last week showed unemployment crept higher and household spending drifted lower as core consumer prices continued to fall, illustrating that the manufacturing upswing has yet to filter into the broader economy. Soaring welfare costs for a greying population and falling prices continue to burden Japan, with consumers deferring purchases in the hope of further price falls. Data last week however reinforced hopes that exports will drive Japan's recovery, as April shipments surged 40.4 percent year-on-year. Vehicle shipments more than doubled, indicating a strong second-quarter start for Japan, with exporters eyeing stronger profits in the year ahead. "Industrial production is expected to keep increasing, albeit at a slower pace than the beginning of this year," said Atsushi Matsumoto, economist at Mizuho Research Institute. "Given that emerging countries are set to maintain a very high pace of growth, Japanese exports are likely to grow accordingly and production is expected to keep up." He warned however that while Japan's export sector has not yet been overly affected by the eurozone crisis and its impact on the yen, there was a risk that a European decline may slow key partners such as China, causing a knock-on effect. "The Greek crisis has not impacted Japanese exporters very much, although we have to watch carefully a possible decline in Chinese exports to Europe," he said. Recommend Send IM Story Print Related Articles China's Wen maintains 'sense of crisis' on economy AFP - 18 minutes ago Indian growth higher than expected AFP - 42 minutes ago Honda says 'some progress' in talks with China strikers AFP - 46 minutes ago Japan factory output up 1.3 percent in April AFP - 2 hours 39 minutes ago China, HK property retains allure despite wobbles AFP - Monday, May 31 News Search Top Stories BP rushes new plan to stem Gulf oil leak Celine Dion pregnant with twins: report England football hopefuls wait on Capello call Fed's Bernanke urges G20 to pull together reforms Clashes as Israeli forces storm Gaza aid boat: Hamas TV More Top Stories » Related Full Coverage China Economychina economy All Full Coverage » ADVERTISEMENT Most Popular Most Viewed Most Recommended Egypt unearths tomb of pharaonic army chief The point about pain: New study sheds light on acupuncture Aid ships set out to bust Gaza blockade Celine Dion pregnant with twins: report Lindsay Lohan wants a Chanel alcohol tag More Most Viewed » Scientists stunned as grey whale sighted off Israel Hubble catches planet being devoured by its star Earth may be too hot for humans by 2300: study Ocean fish could disappear in 40 years: UN Paris museum burglar grabs 120-million-dollar art haul More Most Recommended » Elsewhere on Yahoo! Financial news on Yahoo! Finance Stars and latest movies Best travel destinations More on Yahoo! News Home Singapore Asia Pacific World Business Entertainment Sports Technology Subscribe to our news feeds Top StoriesMy Yahoo!RSS » More news feeds | What are news feeds? Also on Yahoo Answers Groups Mail Messenger Mobile Travel Finance Movies Sports Games » All Yahoo! Services Site Highlights Singapore Full Coverage Most Popular Asia Entertainment Photos World Cup 2010 Copyright © 2010 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Terms of Service | Privacy Policy | Community | Intellectual Property Rights Policy | Help

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