Japan Steel Import Increases by 11.3% in F2011

Japanese steel import increased by 11.3% to 8.094 million tonnes in fiscal 2011 ended in March 2012 from fiscal 2010, which increased for 2 years in a row, announced by Ministry of Finance on Thursday. Japanese users increased the import when yen exchange rate was high since March. From the other point of view, the users apparently seek alternate supply source after the supply chain disruption due to impact of the major earthquake while Nippon Steel and Sumitomo Metal Industries announced the consolidation.

The import increased by 20.8% to 6.521 million tonnes from Asia in fiscal 2011 from fiscal 2010. The import increased by 6.7% to 1.386 million tonnes from China and by 27.2% to 4.738 million tonnes from Newly Industrializing Economies (NIEs).

The import decreased by 0.7% to 634,517 tonnes in March from a year earlier. The import decreased for the first time in 11 months when Japanese users reduced inventory of flat rolled steel and other items and yen exchange rate became low against US dollar. However, the import increased by 9.2% from February. Japanese industry source is still cautious about the import trend under higher yen exchange rate.

The import increased by 7.5% to 529,624 tonnes from Asia in March from a year earlier. The import increased by 7.2% to 110,528 tonnes from China and by 19.2% to 391,388 tonnes from NIEs. The import significantly decreased from Russia, Middle East and Association of Southeast Asian Nations.