Japan Small Bar Output Increases to 12 MTPA in 2006

Japanese small steel bar output increased by 8.9% to 12.11 million tonnes in 2006 from 2005, which exceeded 12 million tonnes for the first time in recent 4 years. The output of Kyoei Steel, Japanese electric furnace steel maker, increased by 10.5% to 1.36 million tonnes, especially increasing at Nagoya works. No.2 maker, Daiwa Steel’s output increased by 8.8% to 930,000 tonnes and no.3 maker, Tokyo Tekko’s output increased by 19.3% to 680,000 tonnes. Tokyo Tekko increased the sales of screw-in reinforcing bar and joint type products. All small bar makers and their works showed high output increase rate in 2006. The makers supplying small bar for Tokyo, Osaka and Nagoya areas notably increased their outputs. No.4 maker, Godo Steel increased the output by 19.4% to 580,000 tonnes in 2006 from a year ago. No.5 maker, Ito Seitetsujo increased the output by 16.2% to 570,000 tonnes. Small bar demand is steady thanks to many construction projects of condominium and office building mainly in urban areas. The output is expected to keep high level in 2007. In December 2006 the monthly output increased by 9.2% to 1.104 million tonnes from a year ago.