Japan Integrated Steels Use More Ferrous Scrap

Japanese integrated steel makers increased the ferrous scrap consumption rate by 0.4 percentage points to 12.3% in January-June from same period of 2006, according to Japan Ferrous Raw Materials Association. They increased the usage to increase the output and to reduce the carbon dioxide emission. They increased the consumption by 520,000 tonnes to 5.93 million tonnes. The integrated steel makers’ scrap consumption rate hit more than 10% in 2003 for the first time since 1979. The rate keeps increasing and the monthly rate has kept more than 12% for 9 months in a row since October 2006. Nippon Steel introduced the domestic largest shredder machine at Oita works to increase the scrap consumption. The works starts the machine operation in March 2008 to secure scrap materials stably. JFE Steel adds new scrap melting shaft furnace with 500,000 tonnes of annual melting capacity at Keihin of East Japan works. The firm purchases monthly 10,000 tonnes of scrap each at Kurashiki and Fukuyama of West Japan works.