The Kansai industrial region, regarded as one of the most depressed in Japan, has begun to grow faster than the national average thanks in part to rapid export growth to China, according to Yoshihisa Akiyama, chairman of the Kansai Economic Federation.
In June, the industrial production index rose 6.2 per cent against the previous year compared with 2.8 per cent for Japan as a whole, Mr Akiyama said, while consumer spending rose 4.5 per cent, three times the national average.
The figures provide evidence that Japan's economic recovery may be spreading to the regions and suggests that industry is learning to turn the perceived threat of China to its advantage.
"In recent months, we are starting to see vibrant signs of economic recovery," he said.