Japan Business Confidence

Last Release

Sep 30, 2025

Actual

Units In

Points

Frequency

Quarterly

Next Release

Dec 14, 2025

Time to Release

2 Months 9 Days 18 Hours

Highest	Lowest	Average	Date Range	Source
53 Jun 1989	-58 Mar 2009	2.09 Points	1983-2025	Bank of Japan

In Japan, the quarterly Tankan Index of Sentiment at Large Manufacturers covers about 1,100 companies with capital over 1 billion Yen. The survey is done by mail or e-mail and asks participants to evaluate current trends and conditions in the business place and their respective industries as well as their expected business activities for the next quarter and year. The indicator is calculated by subtracting the percentage share of enterprises responding on the negative side from the share giving positive assessments. The index varies on a scale of -100 to 100 such that a value above zero indicates business optimism, a value below zero pessimism and 0 indicates neutrality.

Latest Updates

The Bank of Japan’s index for large manufacturers edged up to 14 in Q3 2025 from 13 in Q2, improving for the second straight quarter and marking the highest reading since Q4 2024, as a trade deal between Tokyo and Washington soothed concerns about U.S. tariffs. However, the latest result was below the market consensus of 15. Confidence was upbeat among firms producing textiles (4 vs 0 in Q2), chemicals (15 vs 14), ceramics, stone & clay (30 vs 17), general-purpose machinery (27 vs 23), production machinery (17 vs 15), electrical machinery (16 vs 11), shipbuilding & heavy machinery (36 vs 27), processed metals (0 vs -3), and motor vehicles (10 vs 8). At the same time, sentiment remained stable for business-oriented machinery (at 22) but fell for lumber & wood (-8 vs 0), petroleum and coal (0 vs 9), and iron & steel (-14 vs -3). Meanwhile, large firms planned to increase capital expenditure by 12.5% in Q3, after a 11.5% growth in Q1 and pointing to the strongest rise in seven quarters.