Japan Ferrous Scrap Consumption Hits Record in F2006

Japanese ferrous scrap consumption increased by 6.35% to record 51.348 million tonnes including converter, electric furnace and castings in fiscal 2006 ended March 2007 from fiscal 2005, according to Japan Ferrous Raw Materials Association. The demand increased when steel demand was strong and integrated steel makers increase the usage for environmental countermeasure along with additional steel source. The scrap consumption has increased for converter steel making operations in years. The converter steel operations increased the scrap consumption by 9.9% to 11.454 million tonnes in fiscal 2006 from fiscal 2005. The electric furnaces increased the usage by 6.12% to 31.697 million tonnes. The other operations including castings increased the usage by 2.75% to 6.862 million tonnes. The scrap sourcing volume by the operations increased by 4.4% to 51.782 million tonnes in fiscal 2006 from fiscal 2005. The internal scrap from steel plants decreased by 0.73% to 15.074 million tonnes and the purchase from domestic market increased by 6.36% to 36.708 million tonnes.