Updated
Updated · The Japan Times · Jun 29
Japan Retail Sales Jump 5.3% in May as Wages and Subsidies Lift Spending
Updated
Updated · The Japan Times · Jun 29

Japan Retail Sales Jump 5.3% in May as Wages and Subsidies Lift Spending

2 articles · Updated · The Japan Times · Jun 29

Summary

  • Japan's retail sales rose 1.9% in May from April and 5.3% from a year earlier, extending gains to a third month and beating economists' 3% annual forecast.
  • Strong wage growth and government cost-of-living subsidies helped drive the increase, though the ministry's figures are not adjusted for inflation.
  • Vehicles, pharmaceuticals and cosmetics led the broad advance, while sales of air conditioners and other seasonal appliances nearly doubled as buyers rushed ahead of tighter efficiency rules.
  • Department store sales also climbed strongly, echoing separate data showing duty-free sales rose 16.7% in May as tourist spending stayed robust.

Insights

How is Japan's luxury market thriving despite a 30% drop in Chinese visitors?
Can a luxury sales boom mask the economic struggles of Japan's average households?