According to preliminary figures from the Japan Machine Tool Builders' Association, machine tool orders received by Japanese companies declined on the year for the fifth consecutive month in September 2012. Orders slipped 3% YoY to JPY 107.2 billion.

Domestic orders fell by 13.2%, down for the fourth month in a row. The association blames moves by corporations to shift investment abroad, including factory construction. The strong yen is a major factor driving domestic manufacturers away from Japan.

Orders from overseas customers grew 1.8% to JPY 76.39 billion, topping the year earlier figure for a second straight month. A machine tool trade show in the US last month helped push up demand, with many orders received from firms with strong automobile related operations, according to the association. But demand in China has been slow to recover.

Source - Nikkei

(www.steelguru.com)