Japan's factory activity extends declines in August, PMI shows

Workers assemble Honda Motor Co. North America-bound Fit vehicles on the production line at the company's Suzuka factory in Suzuka, Mie, Japan. Photographer: Kiyoshi Ota/Bloomberg

TOKYO: Japan's manufacturing activity contracted for the second month in August as U.S. tariffs weighed on overseas demand, a private-sector survey showed on Thursday.

The S&P Global flash Japan Manufacturing Purchasing Managers' Index (PMI) increased to 49.9 in August from July's final 48.9, but it remained below the 50.0 threshold that separates growth from contraction for two straight months.