Japan Core Consumer Prices: Ideas Later.

Japan core consumer prices up 1.4% in April, slowed by free school lunches

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TOKYO (Kyodo) -- Japan's core consumer prices in April rose 1.4 percent from a year earlier, with the increase partly curbed by the launch of a free lunch program at public elementary schools, government data showed Friday.

The increase in the nationwide consumer price index, excluding volatile fresh food, followed a 1.8 percent rise in March and marked the lowest level since March 2022, according to the Ministry of Internal Affairs and Communications.

Core-core CPI, which strips away both energy and fresh food to reflect underlying price trends, was up 1.9 percent in April.

Energy costs fell 3.9 percent on year, following a 5.7 percent drop in March, as gasoline prices plunged 9.7 percent due to government subsidies and electricity bills declined 2.6 percent.

With the Middle East conflict pushing up crude oil prices, the government has decided to offer aid to wholesalers to keep the average retail price of gasoline at around 170 yen ($1.06) per liter.

Prices for food, excluding fresh items, climbed 4.1 percent in the reporting month, decelerating from a 5.2 percent increase in the previous month.

"There are no clear signs in the consumer price index" of the impact of the Middle East crisis, including soaring crude oil prices, a ministry official said.

However, there were cases in which suppliers refrained from taking orders for system kitchens and unit baths, making it difficult to collect price data, he added.

The data will be among the materials considered by the Bank of Japan in determining whether to hike its key policy rate from 0.75 percent to sustainably achieve its 2 percent inflation target.

Japan's monthly average real wages fell 0.5 percent in the fiscal year ended March, marking the fourth consecutive yearly decline, separate government data showed Friday, as pay hikes failed to keep pace with rising prices.

Nominal wages, or the average monthly cash earnings per worker including base and overtime pay, were up 2.5 percent at 357,979 yen ($2,250) in fiscal 2025, the Ministry of Health, Labor and Welfare said.

Consumer prices rose 3.0 percent in the reporting fiscal year, slowing from an average increase of 3.5 percent in the previous fiscal year.

Article source:  https://mainichi.jp/english/articles/20260522/p2g/00m/0bu/016000c

Japan Foreign Visitors: Ides Later.

Foreign visitors to Japan fall in April amid Middle East tensions

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TOKYO (Kyodo) -- The number of foreign visitors to Japan in April fell 5.5 percent from a year earlier to 3.69 million, a decline attributed to flight suspensions and reductions linked to the conflict in the Middle East as well as a diplomatic row with China, government data showed Wednesday.

It was the first decline since January, although the April figure marked the highest monthly total so far in 2026, according to the Japan National Tourism Organization.

By country and region, visitors from the Middle East dropped 21.4 percent to 22,300, as the U. S.-Israeli war with Iran disrupted air traffic at some airports and flights from Europe through the Middle East to Japan.

Visitors from China plunged 56.8 percent to 330,700 following Beijing's call for its citizens to avoid traveling to Japan. The advisory came after bilateral relations worsened over remarks by Japanese Prime Minister Sanae Takaichi on Japan's potential involvement in a Taiwan contingency.

South Korea topped the list with 878,600 visitors, up 21.7 percent, followed by Taiwan with 643,500, up 19.7 percent.

Record highs were reached in April for visitors from nine markets, including South Korea, Taiwan, Vietnam and the United States.

Article source:  https://mainichi.jp/english/articles/20260520/p2g/00m/0na/043000c

Japan Convenience Store Sales: Updated May 20, 2026

Japan convenience store sales rise slightly in April, up for 14th month

Ideas

If you've ever been to a Japanese convenience store it seems like the 8th wonder of the world as they are completely different from US style gas station convenience stores as they can be considered one stops shops for everything that you need in your daily life from being a mini post-office, to being a mini bank, to having fax machines, ATM's, and being able to pick up a product you ordered on Amazon at the convenience store near your home, not to mention all of the fresh food that Japanese convenience stores have in the stores almost 24 hours a day.

Here is another interesting observation about Japanese convenience stores that might not be well known or observed. Many or most of the convenience stores in Japan are staffed by international students and it seems, by observation, not many Japanese students want to work in a convience as maybe they don't think the pay is enough or the work just doesn't appeal to them, as again any convience store I've been to in Japan have international student workers with name tags in katakana, which means they are not Japanese students but international students with their in names written in the katakana script.

As most of Japan is a densely populated country with huge metropolitan areas there might be one or two convenience stores on every block and in the big cities you probably can't walk more than a few hundred meters, if even that, before you run into another convenience store.

Some might think Japanese convenience stores have reached a saturation point meaning there are just to many stores now as there is not just too much competition and some, especially in the huge metro areas but there doesn't seem to any proof of that just yet. 

If anything, due to staff shortage, and the so called labor shortage in Japan, and especially in the rural areas, it has been suggested that convenience store franchise owners, which is usually a husband and wife team, can't find workers willing to work the so-called grave-yard shift of 11 PM to 6 AM in the morning, which means unfortunately, the store has to close or the husband or wife has too work that shift.

Discounts and marketing campaigns are good but the reality is Japan is still has a continued inflation problem and instead of going to a restaurant for lunch many Japanese workers instead are heading to the convenience stores to get a small lunch item such as a sandwich, an onigiri, which is like a triangular rice ball, or maybe a bento, which is small lunch set, or maybe even the very inexpensive coffee instead of going to Starbucks, Tullys, or Dot-our for their midday of after lunch coffee, and or even getting something for an early breakfast to take to the office t to eat it there.

A decrease of 1.5 percent can easily be attributed to a drop-off of Chinese tourists coming to Japan due to the continued diplomatic spat between the Japan and China, as many Chinese tourists have avoided going to Japan due to the Chinese government cautioning Chinese travelers from going there which in affect is a warning, an order, not to travel to Japan.

International tourists or foreign tourists, whatever term you want to use, have almost seen Japanese convenience stores as a go to place to visit while in Japan as they seem to be much different form any convenient stores they have seen before, and of course the prices are cheap and the food selections, especially for those on tight budgets are very good.

Have a nice day!

Article source:  https://mainichi.jp/english/articles/20260520/p2g/00m/0bu/033000c

Japan Economy Grows: Ideas Later.

 

Japan economy grows annualized real 2.1% in Jan.-March on robust exports

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TOKYO (Kyodo) -- Japan's economy grew an annualized real 2.1 percent in the January-March period, marking the second straight quarterly expansion, led by a recovery in exports and private consumption, government data showed Tuesday, with the full impact of the Middle East conflict yet to be felt.

In the first quarter of 2026, gross domestic product adjusted for inflation increased 0.5 percent from the October-December period, the Cabinet Office said in its preliminary report, beating market expectations. GDP is the total value of goods and services produced in a country.

Economists polled by the Japan Center for Economic Research had forecast an annualized real expansion of 1.56 percent while expecting growth to slow to 0.45 percent in the April-June quarter, amid concern that the Middle East crisis and surging crude oil prices will weigh on corporate profits and consumer spending.

In the January-March period, private consumption, which accounts for more than half of the economy, grew 0.3 percent, rising for the fifth straight quarter, helped by strong demand for clothing and a boost in spending at restaurants, an official said.

Spending was also underpinned by state subsidies for gas and electricity bills and solid wage growth, as rising earnings saw companies move to attract and retain talent, economists said.

But with data showing a rapid deterioration in consumer sentiment due to the Middle East conflict, its impact on private consumption warrants close attention, another government official said.

In the January-March period, exports rose 1.7 percent from the October-December quarter on a recovery in auto shipments bound for the U.S. market and strong demand for machinery and electrical devices for industrial purposes. Imports edged up 0.5 percent.

Economists said shipments to the world's largest economy have been recovering due to receding uncertainty over U.S. tariff policy following a bilateral deal struck last year.

Business investment rose 0.3 percent from the previous quarter, with increased expenditure for research and development on the back of robust corporate profits and for general-purpose machinery and electric lighting fixtures, the first official said.

She said the impact on the data of the Middle East conflict, triggered by U.S.-Israeli attacks on Iran that began in late February, was unclear.

Prolonged tensions in the Middle East could affect imports of crude oil and petroleum products such as naphtha and hit exports bound for the region, economists said.

GDP was dampened 0.1 percentage point by a reduction in private inventories, apparently due to the government's decision to release oil from stockpiles, starting with those held by the private sector.

Japan's heavy reliance on oil imports from the Middle East makes the country vulnerable to the effective closure of the Strait of Hormuz, a key shipping artery, with surging oil prices feared to drive up inflation.

Prime Minister Sanae Takaichi said Monday the government will consider compiling a supplementary budget for fiscal 2026 to ease the impact of elevated crude oil prices.

It is also looking for ways to finance the planned resumption of financial support to cover utility bills for the July-September period, in addition to gasoline subsidies launched from mid-March.

Nominal GDP increased 0.8 percent from the October-December period, at an annualized rate of 3.4 percent.

Article source:   https://mainichi.jp/english/articles/20260519/p2g/00m/0bu/010000c

Japan Regions and Semiconductors: Ideas later.

8 of 10 Japan regions target semiconductors in local growth plans

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TOKYO (Kyodo) -- The Japanese government on Monday released draft plans for local industrial clusters to attract investment, with eight of 10 regions identifying semiconductors as a target sector and seven choosing green industries.

The initiative is aimed at fostering economic growth in local areas by creating hubs for businesses in competitive and advanced industries, as well as supporting existing local industries in the fields.

The government will examine the draft proposals and finalize each plan, reflecting them in its future regional strategy to be formulated as soon as June. It also plans to support the initiative through grants, infrastructure development and regulatory easing using special economic zone systems.

"We will strategically develop (the clusters) while working closely with local governments. No support will be spared for municipalities eager to take part," Prime Minister Sanae Takaichi said at a meeting Monday.

Study groups led primarily by local bureaus of the Ministry of Economy, Trade and Industry discussed the plans with an eye to 17 strategic fields identified by the Takaichi government as important sectors for investment, including artificial intelligence, semiconductors and shipbuilding.

The regions selected multiple sectors based on their existing industries and the presence of companies expanding into them.

Areas identified as potential chip hubs included the northernmost region Hokkaido, where Japanese chip venture Rapidus Corp. is based, and the southwestern Kyushu region, which hosts a plant belonging to Taiwan Semiconductor Manufacturing Co., the world's largest contract chipmaker.

On industries related to green transformation, regions selecting the sector included Tohoku, where wind power initiatives are underway, as well as Kanto and Chugoku.

The Hokkaido, Kinki and Kyushu regions, where space-related firms as well as launch facilities are located, identified space technology as a target sector. The Chugoku and Shikoku regions proposed shipbuilding, an existing industry.

Article source:  https://mainichi.jp/english/articles/20260518/p2g/00m/0na/047000c

Japan Retailers and Summer Sales: Ideas later.

Retailers ramp up summer sales as consumers brace for extreme heat in Japan

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TOKYO (Kyodo) -- Retailers in Japan are stepping up summer sales campaigns as consumers prepare for potentially prolonged periods of hot weather, where temperatures could reach 40 C or higher.

Some stores are also seeking to draw customers by promoting them as places to cool off and enjoy some time away from home, as electricity bills are expected to rise partly due to higher fuel costs amid tensions in the Middle East.

The move follows the Japan Meteorological Agency's addition in April of "kokushobi," or "severely hot day," to its forecast vocabulary for days of 40 C or higher, after the country experienced its hottest summer on record last year. Retailers are moving early to meet demand for cooling goods and heat-related services.

An official at general goods retailer Hands Inc. said consumers are more conscious of the heat than in past years. The company has set up sections featuring cooling products and parasols at its outlets.

Handheld fans are among the top sellers, with compact models designed to provide stronger airflow proving particularly popular, the official added.

Meanwhile, air conditioners are drawing strong interest at consumer electronics retailers. Bic Camera Inc. says that now is a good time to buy one, citing the possibility that new models for next summer could become more expensive when Japan tightens energy-saving regulations for air conditioners in April 2027.

The retailer is encouraging customers to make their purchases and book installation services early before demand peaks later in the season.

Retail giant Aeon Co. has designated about 5,000 group stores as "cooling spots," offering them as air-conditioned places where people can take breaks while shopping or seek temporary refuge from the outside heat. The company hopes customers will spend the day at its stores, free from concerns about electricity costs at home.

Among them, Aeon Mall Co. is also expanding children's play areas at its shopping centers, hoping families will use them as alternatives to nearby parks.

To draw customers to its group supermarkets, Aeon plans to freeze price increases on about 3,500 private-brand food items through the end of August.

"We want to support our customers through our pricing, responding to the small daily sacrifices they have to make," said Mitsuko Tsuchiya, president of Chiba-based Aeon Topvalu Co.

Article source:  https://mainichi.jp/english/articles/20260518/p2g/00m/0bu/028000c

Japan Rice Consumption: Updated May 19, 2026

Japan's rice consumption per person drops 6% to 7-year low in FY 2025

Ideas

Rice consumption in Japan has been decreasing the last few decades and the decrease peaked in 2024 with a combination of factors including a so-called rice shortage, or should i say in the summer of 2024 it became very apparent that rice consumption significantly slowing down.

And yes, again in 2024 due the so-called rice shortage rice prices surged and many stores had to either but the supply even more and or even put limits due to the hording of rice and some supermarkets.

Rice is the major stable in the Japanese food diet and it might be lessening but its far from being a non-stable food product and its still very popular in most if not all Japanese homes and even in supermarkets, convenience stores and other places.

While the 4.4 bowls of rice seems somewhat ambiguous related to is that per day or per person as the article is not clear on what it really represents, except the first paragraph mentions per month consumption, which might make sense.

Yes, due the good or not so good influence of western food, rice consumption again has been decreasing for decades and the trend might be continuing as younger Japanese, again good or not so good, are adapting western style food habits in Japan.

Maybe for Japanese rice farmers the trend is not so good but at the same time, there is also the trend that maybe Japanese farmers are at an age that they can't continue to work the farms and the younger generations in Japan don't seem to want to live on farms but instead want to live in the large metro cities in Japan.

The 2024 rice shortage was both a positive and a negative situation in Japan. For Japanese households and consumers it was a definite negative and they either couldn't find rice in the supermarkets and or the price was just too high for their budgets.

The rice shortage and the increased prices was a positive for foreign rice suppliers as some Japanese households turned to buying foreign rice as it was much cheaper than Japanese rice in the summer of 2024 and the following months.

Yes, anytime there are shortages and or prices become too high for consumer's budgets they look for substitutes and or alternatives to their regular food choices. Even though noodles, pasta, and bread might have been some of the alternatives, foreign rice became more popular in Japan as the price was much lower than normal Japanese rice and lower income groups might have taken advantage of the lower priced foreign rice and some actually found it to be reasonable compared to Japanese rice.

Yes, its probably now a given that rice consumption is not going to go back to any kind of normalcy and unfortunately for rice farmers and rice suppliers they will need to adjust their future estimates of supply and demand needs in Japan in the future.

Of course for the majority of the Japanese population rice will remain a major food staple but as societies and people continue to change it might not be the main food item in Japan eventually.

Have a nice day!

Article source:  https://mainichi.jp/english/articles/20260516/p2g/00m/0na/025000c