TOKYO -- Japan's shipments of construction machinery increased year on year for the 13th straight month in November, jumping 26.6% on strong foreign demand fueled by building booms worldwide.
Exports soared 57.9% to 141.7 billion yen ($1.25 billion) for the 13th consecutive month of year-on-year gains, the Japan Construction Equipment Manufacturers Association said Wednesday. Demand spiked 76.7% for hydraulic excavators and 11.4% for mini-excavators.
But domestic shipments slid 4.2% to 87.2 billion yen for the third straight month of decreases. Companies had made last-minute purchases of construction machinery before stricter emissions regulations took effect in September, bringing demand forward and lowering sales in its wake.
The industry's view on Chinese demand is brightening toward construction machinery's biggest sales season in the major market after Chinese New Year. The market could build further momentum if sales after that major holiday in February remain as robust as this year.
Chinese demand for building machinery stands only around half of its most recent peak, leading some to see plenty of room for recovery. But public policy and public works, along with private construction, heavily influence this market.