Thai Flood to Cut Japan Raw Steel Output by 890,000t, METI

Ministry of Economy, Trade and Industry reported Japanese raw steel output would decrease by 890,000 tonnes in October-December due to slow demand caused by Thai flood damage. METI conducted hearing research from 5 integrated steel makers and 10 electric furnace carbon and special steel makers.

METI announced in late October the output would be 28.21 million tonnes for October-December based on hearing from Japanese steel makers. However, the outlook failed to count the impact of Thai flood.

Since mid-November, Nippon Steel and JFE Steel revised the production plan downward compared with their earlier plans when they can recognize Thai flood impact.

Japanese raw steel output was 26.4 million tonnes in April-June due to production loss and slow demand after the major earthquake. The output increased to 26.95 million tonnes in July-September. METI expected 27.18 million tonnes of raw steel demand for October-December earlier.