Japan's industrial output rose in October for the first time in two months, gaining 2.4 percent over the previous month.

The Ministry of Economy, Trade and Industry said on Wednesday that the index stood at 92.7 in October against a reference value of 100 for 2005.

The expansion was due to an increase in automobile production for the US and domestic markets. Some auto components were manufactured in Japan instead of in Thailand due to the flooding there. This also contributed to the expansion.

However, looking ahead, the negative impacts of the floods are expected to be felt particularly in the data communications machinery sector, such as digital cameras.

The ministry says that manufacturers have already included the effects of the flooding in their November-to-December manufacturing plans. But close monitoring is needed to determine whether the impact remains within the predicted range.

Source: http://www3.nhk.or.jp/daily/english/20111130_28.html

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