Japan Steels Enjoy Favorable Market in 2006, Mr. Bada

Chairman Hajime Bada of Japan Iron and Steel Federation said at the monthly press conference on Thursday Japanese steel industry enjoyed the favorable market condition in the year when the raw steel output will reach 3rd high after 1973 and the makers secured record level profit. The president of JFE Steel said the favorable market condition could keep firm in 2007. Mr. Bada said Japanese government should secure equal footing in the legal rule for merger and acquisition as other countries. He said in general Japanese company should block acquisition attempt if the acquisition could harm corporate value and national interest. Mr. Bada expects China will keep exporting the steel products in 2007 after the country’s steel export will reach 40 million tonnes in 2006. He warns China could face potential trade conflict with USA and Europe and the conflict could divert Chinese steel export to other areas.