A central bank survey has shown that the mood among Japan’s big manufacturers soured for a second straight quarter in the three months to June, hit by rising input costs and supply disruptions caused by China’s strict COVID-19 lockdowns.
Firms expect to ramp up capital expenditure and are steadily passing on costs to consumers, the tankan showed, suggesting the economy remains on course for a moderate recovery.
The tankan’s headline index gauging big manufacturers’ mood slipped to plus 9 in June from plus 14 in March, hitting the lowest level since March 2021.
