2026.02.2623:50:00UTC+00Japan’s Retail Sales Rebound 1.8% in January, Snapping December Slump

Japan’s retail sector showed a solid rebound at the start of 2026, with January retail sales rising 1.8% year-over-year, according to data updated on 26 February 2026. The improvement follows a 0.9% year-over-year decline recorded in December 2025, marking a notable turnaround in consumer activity.

Measured on a year-over-year basis, the latest figure indicates that Japanese consumers spent more in January 2026 than in January 2025, reversing the contraction seen in December, when sales were lower than in December 2024. The shift from -0.9% to 1.8% suggests a strengthening in demand after the year-end weakness.

While the data do not specify the drivers within individual retail categories or regions, the headline numbers point to a firmer footing for domestic consumption early in the year—an important signal for Japan’s broader economic momentum in 2026.