Key Facts
• August saw 805 corporate bankruptcies, a 12-year high since 2013.
• Cases increased by 11.3% year-on-year, marking three consecutive months of growth.
• Total liabilities rose 12.82% to ¥114.37 billion.
• Major bankruptcies included MPH (¥26 billion) and N Planning (¥4.67 billion).
• Construction bankruptcies surged 44.6%, while real estate cases rose 72.2%.
• Tokyo led with 165 cases, followed by Osaka (80) and Aichi (56).
• Small-scale bankruptcies (liabilities under ¥10 million) dropped 20.4% to 35 cases.
• Service sector bankruptcies remained highest at 242 cases, unchanged year-on-year.
• Rising costs, interest rates, and tariffs pose risks for year-end financial needs.
Summary
In August 2025, Japan recorded 805 corporate bankruptcies, a 12-year high and an 11.3% year-on-year increase. Total liabilities reached ¥114.37 billion, with notable cases in sectors like construction and real estate. Tokyo led in bankruptcies with 165 cases, while small-scale bankruptcies declined for the second consecutive month. Despite this, rising costs, interest rates, and tariffs continue to pressure businesses, raising concerns about potential increases in bankruptcies toward the year-end.
