Japan Special Steel Order Receipt Weakens in November

Japanese order receipt for special steel products decreased by 9.5% to 1.49 million tonnes in November from October, according to Japan Iron and Steel Federation. The order receipt decreased by 5.1% to 1.07 million tonnes for domestic demand while the order dropped by 19.1% to 417,000 tonnes for export. The order for export represented month-to-month decrease for four straight months.

The total order receipt decreased to less than 1.5 million tonnes in April and May, just after the Japan Earthquake. The order turned to gradual improvement after June. However, the figure showed below 1.5 million tonnes in November for the first time in six months. Historical strong yen trend, economic slowdown in China and flood disaster in Thailand impact the Japanese order.

The order from automobile industry decreased by 9.6% to 351,200 tonnes in November from October, which represented first decrease in seven months. The order also decreased from other industries and applications including industrial machines, constructions, special steel wire secondary products, cold finished bars and bearings.

Among the order for domestic demand, tool steel order decreased by 11.9% to 16,000 tonnes in November from October. Structural steel order decreased by 5.1% to 591,600 tonnes and bearing steel decreased by 5% to 75,800 tonnes.