TOKYO (dpa-AFX) - Industrial production in Japan jumped a seasonally adjusted 2.0 percent on month in January, the Ministry of Economy, Trade and Industry said in Wednesday's preliminary reading - suggesting that Japan's recovery from the devastating earthquake and tsunami last March may be back on track.
The January headline figure beat forecasts for an increase of 1.5 percent following the 3.8 percent gain in December and the 2.6 percent contraction in November.
On an annual basis, industrial production shed 1.2 percent - also topping forecasts for a contraction of 1.6 percent following the decline of 4.3 percent in the previous month.
As a result of the data, the METI upgraded its assessment of industrial production, saying: 'Industrial production shows signs of an upward movement.'
Industries that contributed to the increase include transport equipment, communications equipment and iron and steel. Commodities that contributed to the decrease include large and small passenger automobiles, digital cameras and car navigation systems.
According to the survey of production forecast, production is expected to climb 1.7 percent in February and 1.7 percent in March.
Industries that contribute to the increase in February include electronic parts, iron and steel and electrical machinery. Industries that contributed to the increase in March include communications equipment, transport equipment and general machinery.
Shipments in January shed 0.7 percent on month, reversing the previous month's gains. Shipments fell 1.4 percent on year. Industries that contributed to the decline included electronic parts, electrical machinery and general machinery.
Inventories in January were up 3.1 percent on month following two straight months of decline. They also climbed 2.6 percent on year. Industries that contributed to the movement included electrical machinery, transport equipment and communication electronics equipment.
The Inventory Ratio in January added 1.2 percent on month, following three straight months of decline. It rose 5.0 percent on year.
Also on Tuesday, the Nomura/JMMA Manufacturing Purchasing Managers' Index saw a score of 50.5 for February, down from 50.7 in January.
Copyright RTT News/dpa-AFX