The au Jibun Bank Japan Manufacturing PMI was revised higher to 49.4 in May 2025, from 49.0 in the preliminary estimates, up from 48.7 in the previous month. Still, it marked the eleventh consecutive month of contraction, though it was the softest decline since last December, as the downturn in new orders eased while output shrank modestly. Total new business fell modestly due to subdued demano conditions, with foreign sales moderated amid US tariffs. As a result, output contracted modestly, despite a slight pickup from April. Employment increased at the strongest pace since April 2024, while backlogs of work declined more gradually. Purchasing activity fell at a softer and only modest rate, while supplier performance deteriorated slightly, with marginal delays amid material and labor shortages. On prices, input cost inflation eased to a 14-month low, while output price inflation slowed to a near four-year low. Sentiment strengthened from April's nearly five-year low.