Overview
This is a survey report on the business trends of companies in Gunma Prefecture for the April-June 2025 period, conducted by the Gunma Institute for Economic Research.
The survey targeted 900 companies, primarily clients of Gunma Bank, with 405 companies responding (response rate: 45.0%), including 170 manufacturing companies and 235 non-manufacturing companies. The survey period was from early May to early June 2025, examining the April-June 2025 actual results and July-September 2025 outlook compared to the previous quarter.
The Business Conditions Diffusion Index (DI) remained negative for the sixth consecutive quarter. The Business Conditions DI for companies in the prefecture for April-June 2025 was negative for the sixth consecutive quarter. Looking at the breakdown items, the Production/Sales (Sales/Orders) DI remained negative for the sixth consecutive quarter, while the Product/Commodity (Sales) Price DI and Raw Materials (Procurement) Price DI continued to show "rising" trends. The Profitability DI showed "deteriorating" trends, and the Personnel Assessment DI continued to show "shortage" trends.
By industry, the Business Conditions DI for manufacturing was -6.4, continuing the "deteriorating" trend, while non-manufacturing was -6.1, showing "deteriorating" trends for the second consecutive quarter. In manufacturing, the negative margin for transportation equipment narrowed from the previous quarter, but in non-manufacturing, wholesale trade remained significantly negative, continuing from the previous quarter.
Regarding management issues, more than half of the companies responded with "recruitment difficulties," "rising raw material costs," and "increased personnel and other expenses," continuing from the previous quarter. The Business Conditions DI for July-September 2025 is projected to be -7.2, continuing the "deteriorating" trend.
The article shows that the business environment for companies in Gunma Prefecture has deteriorated for six consecutive quarters, with structural challenges such as cost increase pressures and labor shortages continuing.
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This is a survey report on the business trends of companies in Gunma Prefecture for the April-June 2025 period, conducted by the Gunma Institute for Economic Research.
The survey targeted 900 companies, primarily clients of Gunma Bank, with 405 companies responding (response rate: 45.0%), including 170 manufacturing companies and 235 non-manufacturing companies. The survey period was from early May to early June 2025, examining the April-June 2025 actual results and July-September 2025 outlook compared to the previous quarter.
The Business Conditions Diffusion Index (DI) remained negative for the sixth consecutive quarter. The Business Conditions DI for companies in the prefecture for April-June 2025 was negative for the sixth consecutive quarter. Looking at the breakdown items, the Production/Sales (Sales/Orders) DI remained negative for the sixth consecutive quarter, while the Product/Commodity (Sales) Price DI and Raw Materials (Procurement) Price DI continued to show "rising" trends. The Profitability DI showed "deteriorating" trends, and the Personnel Assessment DI continued to show "shortage" trends.
By industry, the Business Conditions DI for manufacturing was -6.4, continuing the "deteriorating" trend, while non-manufacturing was -6.1, showing "deteriorating" trends for the second consecutive quarter. In manufacturing, the negative margin for transportation equipment narrowed from the previous quarter, but in non-manufacturing, wholesale trade remained significantly negative, continuing from the previous quarter.
Regarding management issues, more than half of the companies responded with "recruitment difficulties," "rising raw material costs," and "increased personnel and other expenses," continuing from the previous quarter. The Business Conditions DI for July-September 2025 is projected to be -7.2, continuing the "deteriorating" trend.
The article shows that the business environment for companies in Gunma Prefecture has deteriorated for six consecutive quarters, with structural challenges such as cost increase pressures and labor shortages continuing.