In another sign of a tepid economy, Japan's industrial production index rose a seasonally adjusted 0.5% in May from April, but still slipped 1.8% from May a year ago, reported the Ministry of Economy Trade & Industry (METI) on Monday.

Industrial shipments rose 2.2% in May from April, but declined 2.4% on year, added the ministry.

The nation's strongest industrial segments in May were production machinery; general-purpose and business-oriented machinery; and motor vehicles, said METI.

The softer manufacturing segments included transport equipment (but excluding motor vehicles); chemicals; and electronic parts and devices.

According to the survey of production forecast in manufacturing, the nation's industrial production is expected to increase in June, but decrease in July, reported the METI.

The METI Japan factory report is roughly in line with recent manufacturing-sector purchasing manager index (PMI) reports issued by S&P Global.

Japan's flash manufacturing PMI in June logged at 50.4, up from 49.4 in May and but marginally striking above the 50-marker that separates growth from contraction, reported S&P Global last week.

The outlook for Japan's industrial sector may be muted, given a soggy global economy and possibly higher tariffs on exports to the US, under Trump Administration rules.

The Bank of Japan anticipates sluggish economic growth for the nation; in May, the central bank estimated nation's gross domestic product (GDP) would expand by a tepid 0.5% in the fiscal year started April 1, citing trade uncertainties.