(Research Paper) Mapping Japan's Manufacturing Supply Chains Through Firm-to-Firm Transaction Data
This research paper explores Japan's intricate manufacturing supply chains using firm-to-firm transaction data. The study identifies the extensive, multilayered supply chain structures within Japan's manufacturing sector and quantitatively examines their characteristics. It also examines the effects of firm-level shocks, originating from both supply and demand sides, on the entire manufacturing industry.
The analysis shows that automobile supply chains are notably long and extensive, with firms at the core of these chains having a more significant influence on individual suppliers' production activities compared to other industries. Additionally, the research demonstrates that supply constraints in certain products, identified as potential bottlenecks, can substantially weaken overall economic production.
The study further suggests that maintaining inventory levels can partially offset these negative effects. The authors express gratitude to several individuals and institutions for their valuable input and data provision, including Hibiki Ichiue, Ryo Jinnai, Naoya Kato, Takuji Kawamoto, Takayuki Mizuno, Tomohiro Sugo, Masaki Tanaka, the Ministry of Internal Affairs and Communications, the Ministry of Economy, Trade and Industry (METI), and the Bank of Japan.
The opinions presented in this paper belong to the authors and do not reflect the official stance of the Bank of Japan.
Written by urgent.news from Bank of Japan's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.