Japan Oct industrial output seen rising but Toyota disruptions will weigh- Reuters poll

TOKYO : Japan’s industrial output likely inched up in October, a Reuters poll found on Friday, although widespread disruptions at top automaker Toyota Motor are expected to weigh heavily on the data.

Industrial production likely grew 0.8 per cent in October from the previous month, according to a median estimate of 16 economists, after rising 0.5 per cent in September.

Toyota suspended work at several group factories for varying periods over more than a week last month due to an accident at a supplier’s facility.

“Transportation-related output is highly likely to undershoot plans due to the disruption,” said Chisato Oshiba, an economist at Dai-ichi Life Research Institute, who forecast a 0.3 per cent fall in October output.

“We expect industrial production to have continued on a weak note, dragged down by a global downturn in demand.”

In September, industrial output only eked out a rise despite a strong recovery in automobile production from disruptions caused the previous month by a typhoon and a system failure at Toyota.

Output of electronic products and devices is expected to have remained strong, another economist said.

The government will release the October industrial output data at 08:50 a.m. on Nov. 30 (2350 GMT, Nov. 29).