Japan Steel Plans To Cut 4-quarter Production

- Sep 02, 2016-

Japan steel works 4-quarter crude steel output target of 26.6 million tons this year, fell 2.4%, but is still higher than the Japan Ministry of economy trade and industry expected, mainly the latter demand is insufficient to support the production. The end of September this year, Japan METI expects 4 quarter of Japan will be reduced by more than 800,000 tons of steel demand, material needs will be 23.5 million tonnes of finished products, dipping 3.3%, 2.1% per cent drop, and the expected did not take into account the impact of territorial disputes with China.

Japan economy, trade and industry said exports to China and other factors in a comprehensive, 4 quarter Japan steel demand was likely to deteriorate further, the decline in demand has directly or indirectly been revealed. Expected 4 quarter Japan iron and steel export volume was 8.27 million tons, dipping 2%, but rose 13.4%. However, from the perspective of the production targets, some steel mills to consider only China Japan product boycott and cut production.

Japan steel works is expected, 4 quarter domestic steel sales to 14.9 million tons, dipping 0.7%, h 895,000 tonnes, increased 8.4% per cent; small 2.33 million tons, increased 7.6% per cent. From the local demand, due in September, the Government canceled subsidies for environmentally friendly cars, flat demand may decline and benefiting from reconstruction work in the North, construction demand is still strong, but have postponed some construction projects due to lack of workers, rising stocks of steel for the construction industry is very concerned about.