Retail sales in January Decreased for four consecutive months since the consumption tax hike February 28 13:24
Domestic retail sales in January fell 0.4% year-on-year in the same month of the previous year, down for the fourth consecutive month since October last year when the consumption tax rate was raised. Due to the spread of the new coronavirus infection from February onwards, major declines are expected mainly in department stores.
According to a commercial dynamic statistics bulletin released by the Ministry of Economy, Trade and Industry, retail sales in Japan nationwide last month were ¥ 11,789.90 billion, down 0.4% from the same month of the previous year.
Retail sales have declined for four consecutive months since the consumption tax hike last October.
Sales of department stores and other items decreased by 3.4% due to sluggish sales of winter clothing due to the warm winter, and sales of automobiles also decreased by 1.7% due to the lack of regular cars.
On the other hand, sales of pharmaceuticals and cosmetics increased by 3.9% due to sales growth of masks and sanitizing products affected by the new coronavirus.
Regarding future prospects, the Ministry of Economy, Trade and Industry stated, “The impact of the new coronavirus has reduced the number of foreign tourists and has had a major impact on department stores. I guess the sales value will drop considerably. "