The Japan Machine Tool Builders’ Association (JMTBA) reported that the total value of Japan’s machine tool orders reached 139.15 billion yen (USD 896.42 million) in September 2025, rising 15.8% month-on-month and 11.0% year-on-year. This marks the third consecutive month of YoY growth and the seventh consecutive month in which total orders exceeded 120 billion yen.

The industry also extended its streak of 56 consecutive months with orders above 110 billion yen, reflecting resilient demand for industrial machinery despite global trade uncertainties and geopolitical risks. September, which closes Japan’s first fiscal half, saw a strong push in last-minute orders.

However, manufacturers remain cautious about the outlook for Q4, even though U.S. tariff pressures have partially eased.

Domestic Orders in Japan - September 2025

Domestic orders in September rose to 43.65 billion yen (USD 281.18 million), an increase of 36.8% from August and 5.1% YoY. This is the first time in six months that domestic orders have surpassed 40 billion yen, although September figures remain below the five-year historical average.

By major industry compared to August:

• Automotive: up 15.9%
• Industrial machinery: up 21.3%
• Electronics & precision machinery: up 61.2%
• Aerospace, shipbuilding & transport equipment: up 150.1%

​These figures indicate broad-based momentum across the manufacturing sector, driven by replacement investments and efforts to enhance domestic production capacity.

Foreign Orders - September 2025

Foreign orders reached 95.501 billion yen (USD 615.25 million), up 8.2% MoM and 13.9% YoY, marking the 12th consecutive month of YoY growth.

By region:

• Asia: Orders rose 14.9% MoM to 49.61 billion yen (USD 319.63 million), marking a 15.9% YoY increase
  • China: up 16.9% MoM to 34.28 billion yen (USD 220.86 million)
  • India: up 1.1% MoM to 5.32 billion yen (USD 34.29 million)
  • Thailand: down 19.5% MoM to 1.44 billion yen (USD 9.26 million)
• Europe: Orders rose 9.9% MoM to 15.54 billion yen (USD 100.14 million), and jumped 15.1% YoY
• North America: Orders rose 1.6% MoM to 29.55 billion yen (USD 190.38 million), marking a 19.3% YoY increase
  • United States: up 7.6% MoM to 25.90 billion yen (USD 166.87 million)

Asia remains the largest contributor to overall demand, while North America continues to demonstrate solid appetite for replacement machinery, despite economic volatility.

(1 JPY = 0.0064 USD)

Read more: Japan Machine Tool Orders: August 2025