Japan’s industrial production edged up 0.1% month-over-month in May 2026, easing from April’s 0.5% increase and falling short of the preliminary estimate, which had pointed to a similar gain. While output expanded for a second consecutive month, the softer reading highlighted persistent risks to supply chains and energy costs from prolonged Middle East tensions. On an annual basis, industrial output declined 2.1%, reversing a 2.0% rise in April and marking the first drop in six months.