The S&P Global Japan Manufacturing PMI rose to 48.8 in November 2025, up from 48.2 in October, which had marked the weakest level in 19 months, preliminary estimates showed. The latest reading signaled the fifth consecutive month of contraction in factory activity, but also the softest decline since August, reflecting a move toward stabilization, even as new orders continued to fall amid weaker foreign demand. On prices, input costs continued to rise due to higher raw material prices. As a result, output prices also increased as firms passed higher costs on to customers. Looking ahead, business sentiment improved, supported by expectations of new product launches and innovation, along with hopes for firmer domestic and foreign demand.