August 2025
Economic Trends Research, July 2025
The domestic economy improved for the second consecutive month, albeit slightly
— Uncertainty receded as Japan and the US reached agreement on Trump tariffs, and trends in consumer spending will become the focus going forward —
Trend in June 2025: Slight Improvement
The Economic Diffusion Index (DI) in July 2025 increased by 0.1 points from the previous month to 42.8, improving for the second consecutive month, albeit slightly.
The domestic economy continued to show a slight upward trend, driven by the recovery in production in the manufacturing industry, particularly in the automotive sector, despite lingering weakness in consumer spending.
Future outlook: Remain unchanged
The domestic economy is expected to remain flat going forward, despite some concerns, as uncertainty over tariff measures recedes.
Primary points of survey results(summary)
- 1 By industry: Improvement in 4 out of 10 industries, with the manufacturing industry boosting the economy.
- 2 By scale: "Large firms" and "small to medium-sized firms" showed improvement, but "micro firms" deteriorated.
- 3 By region: 7 out of 10 regions improved, with tourism demand serving as a positive factor.
Economic Trends Research, July 2025Economic and Industry Trends TOP