AI Data Insight
Japan's newly released Q3 2026 industrial production inventory ratio fell to 101.9, a significant decline from the previous Q2 2026 value of 102.8. Coupled with a 1.3% month-on-month increase in industrial production for the month that beat market consensus, this indicates that excess inventory was not accumulated during capacity expansion. Going forward, attention must be paid to the potential impact of Middle East geopolitics on the supply chain.