12.11.202500:02:49UTC+00Japan Manufacturers’ Mood Hits Near 4-Year High

The Reuters Tankan index for Japanese manufacturers experienced an increase in November 2025, reaching +17 up from +8 in October. This marks the index's highest level since January 2022, aided by a weaker yen, which bolstered international demand for automobiles and electronics. Notably, the electronics sub-index witnessed significant growth, jumping from +5 to +25, driven by a rise in chip-related orders and enhanced export competitiveness. The auto and transport machinery sectors also showed strong recovery, advancing to +27 from +9, benefitting from steady orders and favorable currency conditions. Nonetheless, some companies expressed caution, indicating that supply limitations and sluggish sales may hinder progress in the coming months. The overall manufacturing index is anticipated to slightly decline to +15 by February, with companies citing reduced production at key automakers such as Honda and Nissan, both of which have recently revised their production targets downward. Additionally, business leaders voiced concerns over potential impacts on exports due to US tariffs and increasing trade tensions with China.