Japan Steel Export Increases by 11.9% to 43.3MT in F2010

Japanese steel export increased by 11.9% to 43.257 million tonnes in fiscal 2010 ended in March 2011 compared with the previous fiscal year, according to Ministry of Finance. The export hit the yearly record high since the export kept strong tone mainly to Asia despite of high yen rate. The export especially increased to Southeast Asia where many Japanese manufactures locate their offshore plants. The export to emerging countries is expected to maintain stable in fiscal 2011 while Japan Earthquake may negatively affect Japanese major manufacturers’ overseas operations. For instance, Toyota Motor announced the firm’s all factories in China down operation rate for April-June. Japanese steel export may slow down during the first half of fiscal 2011.

The export to Asia increased by 8.4% to 35.671 million tonnes. The export to ASEAN increased by 24.5% to 11.455 million tonnes, The export to China increased by 7.1% to 7.5 million tonnes. Meanwhile, the export to South Korea, Hong Kong, Singapore and Taiwan decreased by 1.9% to 15.63 million tonnes since South Korean steel makers started new plants.

The export to the U.S.A. increased by 57.1% to 1.631 million tonnes and the export to EU increased by 64.8% to 640,000 tonnes, those which rebounded from Lehman’s fall impact in fiscal 2009. The export to the Middle East decreased by 1.9% to 1.383 million tonnes due to political uncertainty.

Total export value increased by 25.2% to 3.795 trillion yen and hit the secondly yearly highest next to fiscal 2008. Average export price upped by 11.9% to 87,740 yen per tonne.

According to World Steel Association, world steel consumption is forecasted to increase by 5.9% year-to-year in 2011. The consumption is expected to increase by 5% in China and by 13% in India while to decrease in Japan. Japanese steel makers and large dealers are expanding production and sales bases in overseas markets and intend to increase steel export from Japan.

As for Japanese steel import, the yearly volume increased by 50.2% to 7.271 million tonnes in fiscal 2010 from fiscal 2009. The import from Asia increased by 46.9% to 5.398 million tonnes. The import from South Korea, Hong Kong, Singapore and Taiwan increased by 36.9% to 3.724 million tonnes. The import from China increased by 60.1% to 1.298 million tonnes.