TOKYO (Reuters) - Japanese industrial output fell 2.5 per cent in April, government data showed on Friday, as companies cut back on production after ramping it up to meet a rush in demand ahead of an increase in the national sales tax from April.

The decrease was more than a median market forecast of a 2.0 per cent fall.

Manufacturers surveyed by the Ministry of Economy, Trade and Industry expect output to rise 1.7 per cent in May and decline 2.0 per cent in June.

The ministry downgraded its assessment of output, saying it is flattening out as a trend.