Japanese flat rolled steel processors’ shipment increased by only 0.002 % to 15.143 million tonnes in fiscal 2011 ended March 2012 from fiscal 2010, according to members’ report by Japanese national association of coil centers. The shipment increased for 2 years in a row but the level was third lowest figure since 1982. The shipment was slow due to automobile makers’ output reduction just after the major earthquake and Japanese industry shift the operation to offshore transplants under higher yen exchange rate.
The flat rolled steel shipment was very low level in April-May 2011 during supply chain disruption due to the quake damage. The steel shipment rebounded to meet automakers’ output recovery in second half of fiscal 2011. The members’ operation rate keeps around 80% since December 2011 when Japanese government restarted subsidy for eco-friendly car purchase. The members’ reselling volume decreased by 0.6% to 6.305 million tonnes in fiscal 2011 from fiscal 2010. The shipment increased by 0.5% to 8.838 million tonnes for toll processing. The reselling rate decreased by 0.2 percentage points to record low of 41.6% of total shipment. The reselling market decreased for 8 years in a row when the buyers increase central purchase.Japan Steel Scrap Composite Prices (Sangyo Press)
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