Japan Crude Steel Output Decreases by 2.7% M/M in August

Japanese crude steel production decreased by 2.7% to 8.908 million tonnes in August from July, announced Japan Iron & Steel Federation on Monday. The output by electric furnaces decreased by 5.6% due to scheduled production cut in summer. Integrated steel makers reduced the output by 1.9% due to adjustment for export though domestic demand was recovering mainly for automobile. By year-to-year comparison, total crude steel production increased by 0.1%, the first year-to-year plus in 6 months. This is due to unusual output decrease along blast furnace troubles in August 2010. Thus crude steel production didn’t recover the pre-disaster volume.

By year-to-year comparison, converter steel production increased by 0.1% to 7.065 million tonnes in August while electric furnace steel increased by 0.3% to 1.843 million tonnes. Converter steel represented first year-to-year plus in 6 months while electric furnace steel showed plus for 2 months in a row.

Carbon steel output decreased by 1.8% to 6.838 million tonnes, turning to year-to-year minus after 2 months. Special steel output increased by 6.9% to 2.069 million tonnes, first year-to-year plus in 6 months.

Production of hot-rolled carbon and special steel products decreased by 0.7% to 7.922 million tonnes, continuous year-to-year minus for 6 straight months. Hot-rolled carbon steels decreased by 0.9% to 6.255 million tonnes. Long products increased by 5.1% to 1.339 million tonnes, first plus in 4 months, while flat products decreased by 2.5% to 4.55 million tonnes, continuous yea-to-year minus for 7 months.

Wide strip decreased by 1.4% to 3.757 million tonnes, continuous year-to-year minus for 7 months. Steel plate decreased by 6.0% to 1.025 million tonnes, minus for 2 months in a row. Small bar increased by 5.7% to 663,000 tonnes, plus for 2 months in a row. H-beam increased by 7.1% to 248,000 tonnes, first year-to-year plus in 3 months. Large shape steels increased by 5.3% to 86,000 tonnes, plus for 6 straight months.