[Saitama Prefecture] Results of the Saitama Prefecture Quarterly Business Trends Survey (January-March 2026) and Announcement of the Launch of the "Saitama Prefecture Quarterly Business Trends Survey Data Site"

1. Regarding the Saitama Prefecture Quarterly Business Trends Survey (January-March 2026)

Saitama Prefecture conducts a quarterly business trends survey targeting 2,200 small and medium-sized enterprises (SMEs) within the prefecture. The results for the January-March 2026 period (survey date: as of March 1, 2026) have been compiled.

In addition to the regular survey on business sentiment, etc., this quarter also included surveys on "price pass-through" and "status of initiatives towards DX."

Business Sentiment of SMEs in the Prefecture

"Business sentiment of SMEs in the prefecture shows signs of recovery."

"Future outlook shows signs of improvement."

・ The business sentiment DI* for all industries was -37.6, a decrease of 0.4 points from the previous quarter, deteriorating for the first time in three quarters.

・ In the manufacturing industry, it was -39.5, a decrease of 1.7 points from the previous quarter, deteriorating for the first time in three quarters.

・ In the non-manufacturing industry, it was -36.2, an increase of 0.6 points from the previous quarter, improving for three consecutive quarters.

・ The sales DI and cash flow DI for all industries deteriorated for the first time in two quarters, and the profitability DI deteriorated for the first time in four quarters. Furthermore, the capital investment ratio decreased for the first time in four quarters.

・ The outlook DI for business sentiment for the next quarter (April-June 2026) was -12.7, an increase of 6.0 points from the previous quarter, improving for the first time in two quarters.

* An index calculated by subtracting the percentage of companies that responded "in recession" from the percentage of companies that responded "in boom" regarding the business sentiment of their own industry.

・ Regarding price pass-through, the percentage of companies that responded "we are able to sufficiently negotiate (discuss) prices with ordering companies" was 57.5%, an increase of 2.9 points from the previous survey.

・ On the other hand, the percentage of companies that responded "we are not able to sufficiently do so" was 26.9%, a decrease of 1.8 points from the previous survey.

・ Regarding challenges in pursuing DX, the most common response was "lack of personnel to handle DX" (40.0%), followed by "lack of financial leeway" (37.8%), and "not knowing what to do or how to proceed" (24.7%).

・ Regarding support expected from the prefecture for pursuing DX, the most common response was "financing and subsidies" (40.2%), followed by "human resource development and supply" (18.5%), and "enhancement of consultation services" (17.5%).

Survey Method: Written questionnaire survey, interviews with industry associations and individual companies.

Survey Period: January-March 2026 (Survey Date: As of March 1, 2026)

Target Industries and Number of Responses