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Financial News: Japan Manufacturing PMI Improves Top 49.9 - Jibun

Japan Manufacturing PMI Improves Top 49.9 - Jibun

08/20/2025 - 20:35:00 (RTTNews)

(RTTNews) - The manufacturing sector in Japan continued to contract in August, although at a slower rate, the latest survey from Jibun Bank revealed on Thursday with a manufacturing PMI score of 49.9.

That's up from 48.9 in July, although it remains just barely beneath the boom-or-bust line of 50 that separates expansion from contraction.

The survey also showed that the services PMI slipped to 52.7 in August from 53.6 in July. Also, the composite index ticked up to 51.9 from 51.6 a month earlier.

Underlying data indicated that the upturn was broad-based by sector and led by the service industry. Manufacturing production increased slightly for the second time in three months, albeit marginally, while services companies recorded a softer, but still solid rate of activity growth.

Higher output was generally linked to improved client demand and increased amounts of new work. At the composite level, new business expanded at a modest pace that was the steepest in six months. This was solely driven by the service sector, however, as new work fell across manufacturing companies, albeit at a slower rate than in July.

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