Key Facts
• On September 11, 2024, the Engineering Association announced record orders of $284.7 trillion.
• Orders increased 14.7% year-on-year, marking the third consecutive record-breaking year.
• Overseas orders rose 32.7% to $107.6 trillion; domestic orders grew 5.9% to $177.2 trillion.
• Decarbonization sector orders doubled to $9.9 trillion, driven by CCUS (Carbon Capture, Utilization, and Storage).
• All industry sectors saw growth: engineering-specific orders surged 37.9% to $28.6 trillion.
• Shipbuilding, heavy machinery, and industrial machinery orders rose 11.6% to $43.2 trillion.
• Power plant systems orders increased 22.9% to $86.3 trillion; urban development grew 1.7% to $66.5 trillion.
• 2025 orders are projected to decline 0.1% to $284.4 trillion, the first drop in four years.
• LNG, hydrogen storage, and transport sectors are expected to grow, while oil, gas, and domestic steel structures may decline.
• The Engineering Association emphasized supporting clean energy, nuclear power, and fossil fuels under Japan’s 7th Energy Basic Plan.
Summary
The Engineering Association reported a record $284.7 trillion in orders for 2024, a 14.7% increase from the previous year and the third consecutive record-breaking year. Overseas orders surged 32.7%, while domestic orders grew 5.9%. The decarbonization sector, including CCUS technologies, saw orders double to $9.9 trillion. Growth was observed across all industries, with engineering-specific orders up 37.9% and power plant systems leading at 22.9%. However, 2025 orders are forecasted to decline slightly by 0.1%, with growth in LNG and hydrogen sectors offset by declines in oil, gas, and domestic steel structures. The association reaffirmed its commitment to supporting Japan’s energy mix strategy, encompassing clean energy, nuclear power, and fossil fuels.
