Japanese manufacturing took a turn for the worse as the latest Purchasing Managers Index (PMI) fell to 46.5 in November from 46.9 in October. This means that Japanese manufacturing activity contracted in November at the fastest pace in 19 months. On top of this figure, the Japanese GDP fell 0.9 percent in the July-September third quarter. The export sector has taken a significant beating and businesses are not looking at any capital investment. Economists predict that the Japanese GDP will continue to fall in 2012. Other figures from the PMI report were equally distasteful for the Japanese government. The figure for new orders fell to 45.1 in November from 46.7 in October, which is the eighth straight month that new orders have contracted. Economists cite the continuing debt crisis in Europe and the strength of the Yen as two events that has hurt the demand for exports, which is the key driver of Japan's economy.
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The Japanese economy has slowed, the issues with the Tsunami certainly did not help, as well as the slow down in consumer confidence.
I think you should include the fact that the Tsunami made a huge difference to the Japanese supply chain and their manufacturing capacity.